8-K

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): August 11, 2008

Cousins Properties Incorporated

(Exact name of registrant as specified in its charter)

Georgia

(State or other jurisdiction of incorporation)

0-3576

(Commission File Number)

58-0869052

(IRS Employer Identification Number)

191 Peachtree Street NE, Suite 3600 Atlanta, Georgia 30303-1740
(Address of principal executive offices)

Registrant’s telephone number, including area code: (404) 407-1000

Not applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

     o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

     o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

     o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

     o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition

     On August 11, 2008, Cousins Properties Incorporated (the “Company”) issued a Quarterly Information Package containing a press release and information about the Company’s financial condition and results of operations for the three and six months ended June 30, 2008. A copy of the Company’s Quarterly Information Package is attached hereto as Exhibit 99.1. The information contained in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed “filed” with the Commission nor incorporated by reference in any registration statement filed by the Company under the Securities Act of 1933, as amended.

Item 9.01. Financial Statements, Pro Forma Financial Information and Exhibits

     (c) Exhibits:

Exhibit Number	Description
99.1	Quarterly Information Package for the Quarter Ended June 30, 2008.

Signatures

     Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: August 11, 2008

COUSINS PROPERTIES INCORPORATED
By:	/s/ James A. Fleming
	James A. Fleming
	Executive Vice President and Chief Financial Officer

EX-99.1

Exhibit 99.1

COUSINS PROPERTIES INCORPORATED
Quarterly Information Package
For the Quarter Ended June 30, 2008

TABLE OF CONTENTS

Press Release	1
Condensed Consolidated Statements of Income	4
Funds From Operations	5
Condensed Consolidated Balance Sheets	6
Key Ratios and Supplemental Information	7
Net Income and Funds From Operations — Supplemental Detail	8
Development Pipeline	15
Portfolio Listing	17
Same Property Information	20
Square Feet Expiring:
Office	21
Retail	22
Industrial	23
Top 25 Largest Tenants	24
Inventory of Land Held for Investment or Future Development	25
Inventory of Residential Lots	27
Debt Outstanding	29
Reconciliations of Non-GAAP Financial Measures	30
Discussion of Non-GAAP Financial Measures	35

Certain matters contained in this package are forward-looking statements within the meaning of the federal securities laws and are subject to uncertainties and risks. These include, but are not limited to, general and local economic conditions, local real estate conditions (including the overall condition of the residential markets), the activity of others developing competitive projects, the risks associated with development projects (such as delay, cost overruns and leasing/sales risk of new properties), the cyclical nature of the real estate industry, the financial condition of existing tenants, interest rates, the Company’s ability to obtain favorable financing or zoning, environmental matters, the effects of terrorism, the ability of the Company to close properties under contract and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission, including the risks identified in Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007. The words “believes,” “expects,” “anticipates,” “estimates” and similar expressions are intended to identify forward- looking statements. Although the Company believes that its plans, intentions and expectations reflected in any forward-looking statements are reasonable, the Company can give no assurance that such plans, intentions or expectations will be achieved. Such forward-looking statements are based on current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise.

News Release

FOR IMMEDIATE RELEASE

CONTACT:
James A. Fleming	Matt Gove
Executive Vice President and	Senior Vice President
Chief Financial Officer	(404) 407-1490
(404) 407-1150	mattgove@cousinsproperties.com
jimfleming@cousinsproperties.com

Web site address: www.cousinsproperties.com

COUSINS PROPERTIES REPORTS RESULTS FOR
QUARTER ENDED JUNE 30, 2008

     ATLANTA (August 11, 2008) — Cousins Properties Incorporated (NYSE:CUZ) today reported its results of operations for the three and six months ended June 30, 2008. All per share amounts are reported on a diluted basis; basic per share data is included in the Condensed Consolidated Statements of Income accompanying this release.

     Funds from Operations Available to Common Stockholders (“FFO”) was $16.1 million, or $0.31 per share, for the second quarter of 2008 compared with FFO of $9.4 million, or $0.18 per share, for the second quarter of 2007. FFO was $29.9 million, or $0.58 per share, for the six months ended June 30, 2008 compared to $33.9 million, or $0.63 per share, for the same period in 2007.

     Net Income Available to Common Stockholders (“Net Income Available”) was $2.9 million, or $0.06 per share, for the second quarter of 2008 compared with Net Income Available of $395,000, or $0.01 per share, for the second quarter of 2007. Net Income Available was $4.8 million, or $0.09 per share, for the six months ended June 30, 2008, compared with $14.8 million, or $0.28 per share, for the same period in 2007.

Second quarter highlights of the Company included the following:
•	Sold two tracts totaling 70 acres at Jefferson Mill Business Park for approximately $8.5 million, generating FFO of approximately $748,000.
•	Entered into an agreement to sell an additional 53-acre tract at Jefferson Mill Business Park and a 44-acre tract at King Mill Distribution Park for an aggregate price of $10.1 million. These tracts are expected to close on or before December 31, 2009.
•	Sold a 28-acre tract adjacent to The Avenue Forsyth for $17.6 million, generating FFO of approximately $3.4 million. The Company expects to recognize an additional $664,000 in FFO from this sale in 2008 and 2009 as it completes certain site improvement work on the tract.

191 Peachtree Street NE    •    Suite 3600    •    Atlanta, Georgia 30303-1740    •    404/407-1000    •    FAX 404/407-1002

1

CUZ Reports Second Quarter Results
Page 2
August 11, 2008

	•	Through its CL Realty joint venture, sold 30 acres at its Long Meadows Farms project for $7.7 million, generating a gain of $4.8 million. The Company’s share of this gain, representing pre-tax FFO, is $931,000.
	•	Celebrated the grand opening of The Avenue Forsyth, a 527,000 square foot lifestyle center in north metropolitan Atlanta.
Other highlights subsequent to quarter-end:
	•	Through its 50 Biscayne joint venture, sold all of the remaining 120 residential units for $30.3 million. This venture currently holds only seven unsold commercial units.
	•	Entered into an $18.4 million mortgage loan secured by its Lakeshore Park Plaza office building. This non-recourse loan matures August 1, 2012 and bears interest at 5.89%.

      At June 30, 2008, the Company’s portfolio of operational office buildings was 93% leased, its portfolio of operational retail centers was 91% leased and its operational industrial buildings were 40% leased.

      At June 30, 2008, the Company and its joint ventures had seven office and retail projects under development and redevelopment totaling 3.8 million Company-owned square feet, and two multi-family projects under development containing a total of 208 units. The Company estimates the total cost of these projects will be approximately $957 million and expects completion of these projects throughout the next three years. In addition, the Company and its joint ventures had 24 residential communities in which approximately 2,000 completed lots are in inventory and an additional 7,900 lots are available for future development and/or sale.

“With economic conditions continuing to deteriorate, leasing remains a top priority for us, and our team is looking for distressed transactions where we can use our expertise to create value for our shareholders,” said Tom Bell, chairman and CEO of Cousins. “Fortunately, our tract sales business – selling entitled land to users or other developers – continues to be a bright spot this year and highlights a sometimes overlooked but important recurring business for Cousins. During the second half of the year, we will continue to press on the lease-up of our existing projects while aggressively pursuing opportunities that result from this down cycle,” Bell added.

      The Condensed Consolidated Statements of Income, Condensed Consolidated Balance Sheets and a schedule entitled Funds From Operations, which reconciles Net Income Available to FFO, are attached to this press release. More detailed information on Net Income Available and FFO results is included in the “Net Income and Funds From Operations-Supplemental Detail” schedule which is included along with other supplemental information in the Company’s Current Report on Form 8-K, which the Company is furnishing to the Securities and Exchange Commission (“SEC”), and which can be viewed through the “Quarterly Disclosures” and “SEC Filings” links on the Investor Relations page of the Company’s Web site at www.cousinsproperties.com. This information may also be obtained by calling the Company’s Investor Relations Department at (404) 407-1490.

2

CUZ Reports Second Quarter Results
Page 3
August 11, 2008

     The Company will conduct a conference call at 10:00 a.m. (Eastern Time) on Tuesday, August 12, 2008, to discuss the results of the quarter ended June 30, 2008. The number to call for this interactive teleconference is (303) 262-2140. A replay of the conference call will be available for 14 days by dialing (303) 590-3000 and entering the passcode 11116487#. The replay can be accessed on the Company’s Web site, www.cousinsproperties.com, through the “Q2 2008 Cousins Properties Incorporated Earnings Conference Call” link on the Investor Relations page, as well as at www.streetevents.com and www.earnings.com. The rebroadcast will be available on the Investor Relations page of the Company’s Web site for 14 days.

     Celebrating its 50^th anniversary in 2008, Cousins Properties Incorporated is a leading diversified real estate company with extensive experience in development, acquisition, financing, management and leasing. Based in Atlanta, the Company actively invests in office, multi-family, retail, industrial and land development projects. Since its founding, Cousins has developed 20 million square feet of office space, 20 million square feet of retail space, more than 4,000 multi-family units and more than 60 single-family neighborhoods. The Company is a fully integrated equity real estate investment trust (REIT) and trades on the New York Stock Exchange under the symbol CUZ. For more, please visit www.cousinsproperties.com.

     Certain matters discussed in this news release are forward-looking statements within the meaning of the federal securities laws and are subject to uncertainties and risk. These include, but are not limited to, general and local economic conditions, local real estate conditions (including the overall condition of the residential markets), the activity of others developing competitive projects, the risks associated with development projects (such as delay, cost overruns and leasing/sales risk of new properties), the cyclical nature of the real estate industry, the financial condition of existing tenants, interest rates, the Company’s ability to obtain favorable financing or zoning, environmental matters, the effects of terrorism, the ability of the Company to close properties under contract and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission, including those described in Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007. The words “believes,” “expects,” “anticipates,” “estimates” and similar expressions are intended to identify forward-looking statements. Although the Company believes that its plans, intentions and expectations reflected in any forward-looking statement are reasonable, the Company can give no assurance that these plans, intentions or expectations will be achieved. Such forward-looking statements are based on current expectations and speak as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise.

3

COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited, in thousands, except per share amounts)

	Three Months Ended June 30,						Six Months Ended June 30,
	2008			2007			2008			2007
REVENUES:
Rental property revenues	$	36,706		$	25,499		$	71,019		$	49,629
Fee income		7,802			9,860			15,360			17,926
Residential lot and outparcel sales		1,255			1,476			2,999			2,902
Interest and other		940			833			2,300			4,500
		46,703			37,668			91,678			74,957
COSTS AND EXPENSES:
Rental property operating expenses		14,792			11,341			28,470			21,358
General and administrative expenses		13,067			15,604			27,452			30,294
Depreciation and amortization		12,785			8,721			24,224			18,076
Residential lot and outparcel cost of sales		832			1,085			1,778			2,293
Interest expense		7,367			531			13,642			531
Other		549			758			2,304			1,118
		49,392			38,040			97,870			73,670
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE TAXES, MINORITY INTEREST AND INCOME FROM UNCONSOLIDATED JOINT VENTURES		(2,689	)		(372	)		(6,192	)		1,287
BENEFIT FOR INCOME TAXES FROM OPERATIONS		2,176			1,073			5,393			2,100
MINORITY INTEREST IN INCOME OF CONSOLIDATED SUBSIDIARIES		(251	)		(842	)		(922	)		(1,704	)
INCOME FROM UNCONSOLIDATED JOINT VENTURES		2,239			4,101			5,056			7,809
INCOME FROM CONTINUING OPERATIONS BEFORE GAIN ON SALE OF INVESTMENT PROPERTIES		1,475			3,960			3,335			9,492
GAIN ON SALE OF INVESTMENT PROPERTIES, NET OF APPLICABLE INCOME TAX PROVISION		5,212			62			9,004			4,502
INCOME FROM CONTINUING OPERATIONS		6,687			4,022			12,339			13,994
DISCONTINUED OPERATIONS, NET OF APPLICABLE INCOME TAX PROVISION:
Income from discontinued operations		36			207			36			291
Gain (loss) on sale of investment properties		—			(22	)		—			8,142
		36			185			36			8,433
NET INCOME		6,723			4,207			12,375			22,427
DIVIDENDS TO PREFERRED STOCKHOLDERS		(3,812	)		(3,812	)		(7,625	)		(7,625	)
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS	$	2,911		$	395		$	4,750		$	14,802
PER COMMON SHARE INFORMATION — BASIC:
Income from continuing operations	$	0.06		$	0.01		$	0.09		$	0.13
Income from discontinued operations		—			—			—			0.16
Basic net income available to common stockholders	$	0.06		$	0.01		$	0.09		$	0.29
PER COMMON SHARE INFORMATION — DILUTED:
Income from continuing operations	$	0.06		$	0.01		$	0.09		$	0.12
Income from discontinued operations		—			—			—			0.16
Diluted net income available to common stockholders	$	0.06		$	0.01		$	0.09		$	0.28
CASH DIVIDENDS DECLARED PER COMMON SHARE	$	0.37		$	0.37		$	0.74		$	0.74
WEIGHTED AVERAGE SHARES		51,187			51,825			51,167			51,772
DILUTED WEIGHTED AVERAGE SHARES		52,040			53,306			51,842			53,440

4 

COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES
FUNDS FROM OPERATIONS
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2008 AND 2007
(Unaudited, in thousands, except per share amounts)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008			2007
Net Income Available to Common Stockholders	$	2,911		$	395		$	4,750		$	14,802
Depreciation and amortization:
Consolidated properties		12,785			8,721			24,224			18,076
Discontinued properties		—			(14	)		—			151
Share of unconsolidated joint ventures		1,473			1,089			2,864			2,170
Depreciation of furniture, fixtures and equipment and amortization of specifically identifiable intangible assets:
Consolidated properties		(967	)		(758	)		(1,744	)		(1,259	)
Share of unconsolidated joint ventures		(26	)		—			(51	)		—
Gain on sale of investment properties, net of applicable income tax provision:
Consolidated		(5,212	)		(62	)		(9,004	)		(4,502	)
Discontinued properties		—			22			—			(8,142	)
Share of unconsolidated joint ventures		—			(10	)		—			34
Gain on sale of undepreciated investment properties		5,156			—			8,892			12,540
Funds From Operations Available to Common Stockholders	$	16,120		$	9,383		$	29,931		$	33,870
Per Common Share — Basic:
Net Income Available	$	.06		$	.01		$	.09		$	.29
Funds From Operations	$	.31		$	.18		$	.58		$	.65
Weighted Average Shares-Basic		51,187			51,825			51,167			51,772
Per Common Share — Diluted:
Net Income Available	$	.06		$	.01		$	.09		$	.28
Funds From Operations	$	.31		$	.18		$	.58		$	.63
Weighted Average Shares-Diluted		52,040			53,306			51,842			53,440

     The table above shows Funds From Operations Available to Common Stockholders (“FFO”) and the related reconciliation to Net Income Available to Common Stockholders (“Net Income Available”) for Cousins Properties Incorporated and Subsidiaries. The Company calculated FFO in accordance with the National Association of Real Estate Investment Trusts’ (“NAREIT”) definition, which is net income available to common stockholders (computed in accordance with accounting principles generally accepted in the United States (“GAAP”)), excluding extraordinary items, cumulative effect of change in accounting principle and gains or losses from sales of depreciable property, plus depreciation and amortization of real estate assets, and after adjustments for unconsolidated partnerships and joint ventures to reflect FFO on the same basis.

     FFO is used by industry analysts and investors as a supplemental measure of an equity REIT’s operating performance. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, many industry investors and analysts have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. Thus, NAREIT created FFO as a supplemental measure of REIT operating performance that excludes historical cost depreciation, among other items, from GAAP net income. Management believes that the use of FFO, combined with the required primary GAAP presentations, has been fundamentally beneficial, improving the understanding of operating results of REITs among the investing public and making comparisons of REIT operating results more meaningful. Company management evaluates the operating performance of its reportable segments and of its divisions based in part on FFO. Additionally, the Company uses FFO and FFO per share, along with other measures, to assess performance in connection with evaluating and granting incentive compensation to key employees.

 5

COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited, in thousands, except share and per share amounts)

	June 30,			December 31,
	2008			2007
ASSETS
PROPERTIES:
Operating properties, net of accumulated depreciation of $167,713 and $142,955 in 2008 and 2007, respectively	$	866,185		$	654,633
Land held for investment or future development		101,583			105,117
Projects under development		228,298			358,925
Residential lots under development		52,179			44,690
Total properties		1,248,245			1,163,365
CASH AND CASH EQUIVALENTS		8,323			17,825
RESTRICTED CASH		2,881			3,587
NOTES AND OTHER RECEIVABLES, net of allowance for doubtful accounts of $1,440 and $883 in 2008 and 2007, respectively		54,572			44,414
INVESTMENT IN UNCONSOLIDATED JOINT VENTURES		211,100			209,477
OTHER ASSETS		84,922			70,943
TOTAL ASSETS	$	1,610,043		$	1,509,611
LIABILITIES AND STOCKHOLDERS’ INVESTMENT
NOTES PAYABLE	$	787,506		$	676,189
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES		74,723			57,208
DEFERRED GAIN		171,942			171,931
DEPOSITS AND DEFERRED INCOME		7,799			5,997
TOTAL LIABILITIES		1,041,970			911,325
MINORITY INTERESTS		45,458			45,783
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ INVESTMENT:
Preferred stock, 20,000,000 shares authorized, $1 par value:
7.75% Series A cumulative redeemable preferred stock, $25 liquidation preference; 4,000,000 shares issued and outstanding		100,000			100,000
7.50% Series B cumulative redeemable preferred stock, $25 liquidation preference; 4,000,000 shares issued and outstanding		100,000			100,000
Common stock, $1 par value, 150,000,000 shares authorized, 54,906,162 and 54,850,505 shares issued in 2008 and 2007, respectively		54,906			54,851
Additional paid-in capital		351,458			348,508
Treasury stock at cost, 3,570,082 shares in 2008 and 2007		(86,840	)		(86,840	)
Accumulated other comprehensive income		(3,979	)		(4,302	)
Cumulative undistributed net income		7,070			40,286
TOTAL STOCKHOLDERS’ INVESTMENT		522,615			552,503
TOTAL LIABILITIES AND STOCKHOLDERS’ INVESTMENT	$	1,610,043		$	1,509,611

 6

COUSINS PROPERTIES INCORPORATED
KEY RATIOS AND SUPPLEMENTAL INFORMATION
(in thousands, except per share amounts, percentages and ratios)

		2004			2005			2006 YTD			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
	NET INCOME (LOSS) AVAILABLE TO COMMON STOCKHOLDERS		399,742			34,491			217,441			14,407			395			7,849			(4,979	)		17,673			1,839			2,911			4,750
	FFO AVAILABLE TO COMMON STOCKHOLDERS (“FFO”), EXCLUDING LOSS ON EXTINGUISHMENT OF DEBT		109,483			73,746			74,469			24,487			9,383			7,316			7,251			48,437			13,811			16,120			29,931
	BASIC WEIGHTED AVERAGE COMMON SHARES		49,005			49,989			50,655			51,719			51,825			51,690			51,588			51,705			51,148			51,187			51,167
	DILUTED WEIGHTED AVERAGE COMMON SHARES		51,016			51,747			52,513			53,596			53,306			52,778			52,401			52,932			51,670			52,040			51,842
	NET INCOME (LOSS) PER COMMON SHARE — BASIC		8.16			0.69			4.29			0.28			0.01			0.15			(0.10	)		0.34			0.04			0.06			0.09
	NET INCOME (LOSS) PER COMMON SHARE — DILUTED		7.84			0.67			4.14			0.27			0.01			0.15			(0.10	)		0.34			0.04			0.06			0.09
	FFO PER COMMON SHARE — BASIC		2.23			1.48			1.47			0.47			0.18			0.14			0.14			0.94			0.27			0.31			0.58
	FFO PER COMMON SHARE — DILUTED		2.15			1.43			1.42			0.46			0.18			0.14			0.14			0.92			0.27			0.31			0.58
(H)	2ND GENERATION TI & LEASING COSTS AND BUILDING CAPEX (1)		19,258			9,439			13,421			6,897			6,455			4,087			1,540			18,979			6,936			8,375			15,311
	REGULAR COMMON DIVIDENDS		72,869			74,649			75,495			19,194			19,251			19,185			19,152			76,782			18,974			18,992			37,966
	SPECIAL COMMON DIVIDEND		356,493			—			175,470			—			—			—			—			—			—			—			—
	REGULAR COMMON DIVIDENDS PER SHARE		1.48			1.48			1.48			0.37			0.37			0.37			0.37			1.48			0.37			0.37			0.74
	SPECIAL COMMON DIVIDEND PER SHARE		7.15			—			3.40			—			—			—			—			—			—			—			—
	COMMON STOCK PRICE AT PERIOD END		30.27			28.30			35.27			32.86			29.01			29.36			22.10			22.10			24.71			23.10			23.10
	NUMBER OF COMMON SHARES OUTSTANDING AT PERIOD END		50,092			50,665			51,748			52,018			51,793			51,858			51,280			51,280			51,292			51,336			51,336
	PREFERRED STOCK — SERIES A — PRICE AT PERIOD END		26.15			25.75			25.90			25.64			26.00			24.90			22.38			22.38			21.14			22.50			22.50
	NUMBER OF PREFERRED SHARES — SERIES A — OUTSTANDING AT PERIOD END		4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000
	PREFERRED STOCK — SERIES B — PRICE AT PERIOD END		25.00			25.40			25.53			25.82			24.95			23.98			20.59			20.59			20.45			21.78			21.78
	NUMBER OF PREFERRED SHARES — SERIES B — OUTSTANDING AT PERIOD END		4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000			4,000
	COMMON EQUITY MARKET CAPITALIZATION		1,516,285			1,433,820			1,825,152			1,709,311			1,502,515			1,522,551			1,133,288			1,133,288			1,267,425			1,185,862			1,185,862
	PREFERRED EQUITY MARKET CAPITALIZATION		204,600			204,600			205,720			205,840			203,800			195,520			171,880			171,880			166,360			177,120			177,120
(A)	ADJUSTED DEBT (1)		350,346			514,560			376,516			436,009			558,816			645,219			773,482			773,482			898,205			899,140			899,140
	TOTAL MARKET CAPITALIZATION		2,071,231			2,152,980			2,407,388			2,351,160			2,265,131			2,363,289			2,078,650			2,078,650			2,331,990			2,262,122			2,262,122
	ADJUSTED DEBT AS A % OF TOTAL MARKET CAPITALIZATION		17	%		24	%		16	%		19	%		25	%		27	%		37	%		37	%		39	%		40	%		40	%
(A)	RECOURSE DEBT (1)		50,238			196,824			226,855			282,264			394,356			340,480			205,658			205,658			328,106			337,110			337,110
	RECOURSE DEBT AS A % OF TOTAL MARKET CAPITALIZATION		2	%		9	%		9	%		12	%		17	%		14	%		10	%		10	%		14	%		15	%		15	%
	COMMON EQUITY MARKET CAPITALIZATION		1,516,285			1,433,820			1,825,152			1,709,311			1,502,515			1,522,551			1,133,288			1,133,288			1,267,425			1,185,862			1,185,862
	PREFERRED EQUITY MARKET CAPITALIZATION		204,600			204,600			205,720			205,840			203,800			195,520			171,880			171,880			166,360			177,120			177,120
(A)	TOTAL DEBT (INCLUDING SHARE OF JV’S)		438,050			615,645			487,234			549,934			676,515			762,981			846,355			846,355			967,832			967,885			967,885
	TOTAL MARKET CAPITALIZATION		2,158,935			2,254,065			2,518,106			2,465,085			2,382,830			2,481,051			2,151,523			2,151,523			2,401,617			2,330,867			2,330,867
	TOTAL DEBT AS A % OF TOTAL MARKET CAPITALIZATION		20	%		27	%		19	%		22	%		28	%		31	%		39	%		39	%		40	%		42	%		42	%
(B)	CONSOLIDATED INTEREST EXPENSE (INC SHARE OF JV’S) (1)		31,656			11,908			14,653			714			1,242			4,089			6,149			12,194			7,400			8,422			15,822
	FFO BEFORE INTEREST		141,139			85,654			89,122			25,201			10,625			11,405			13,400			60,632			21,211			24,542			45,753
	INTEREST EXPENSE COVERAGE RATIO		4.46			7.19			6.08			35.30			8.56			2.79			2.18			4.97			2.87			2.91			2.89
(C)	FIXED CHARGES (excluding preferred dividends)(1)		43,854			20,505			24,089			3,000			2,604			4,878			8,173			18,655			8,751			9,675			18,426
	FFO PLUS FIXED CHARGES (excluding preferred dividends)		131,854			86,337			89,637			25,229			10,653			11,433			13,428			60,743			21,238			24,574			45,812
	FIXED CHARGE COVERAGE RATIO (excluding preferred dividends)		3.22			4.21			3.72			8.41			4.09			2.34			1.64			3.26			2.43			2.54			2.49
(C)	FIXED CHARGES (including preferred dividends)(1)		51,896			35,755			39,339			6,813			6,416			8,691			11,985			33,905			12,564			13,487			26,051
	FFO PLUS FIXED CHARGES (including preferred dividends)		139,896			101,587			104,887			29,042			14,465			15,246			17,240			75,993			25,051			28,386			53,437
	FIXED CHARGE COVERAGE RATIO (including preferred dividends)		2.87			2.84			2.67			4.26			2.25			1.75			1.44			2.24			1.99			2.10			2.05

 7

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS SUPPLEMENTAL DETAIL
(In thousands, except per share amounts, percentages and ratios)

			2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
		CONSOLIDATED ENTITY FFO AND NET INCOME:
(D	)	RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES (1):
		OFFICE:
		191 PEACHTREE		0			0			1,964			2,199			2,036			2,555			2,558			9,349			2,661			2,750			5,411
		221 PEACHTREE CENTER GARAGE		0			0			0			0			128			222			160			510			147			189			336
		AMERICAN CANCER SOCIETY CENTER (FORMERLY INFORUM)		12,808			11,376			11,774			2,678			2,436			3,454			3,391			11,959			3,555			3,598			7,153
		TERMINUS 100		0			0			0			0			120			1,783			3,096			5,000			4,056			4,161			8,217
		ONE GEORGIA CENTER		1,369			(1,361	)		(219	)		140			(98	)		38			(190	)		(109	)		(148	)		530			382
		THE POINTS AT WATERVIEW		1,949			1,872			2,124			508			549			552			569			2,179			531			504			1,035
		LAKESHORE PARK PLAZA		1,459			722			922			388			459			436			511			1,794			505			541			1,046
		3100 WINDY HILL RD		2,974			2,944			2,676			(256	)		(281	)		(264	)		(231	)		(1,032	)		(233	)		(204	)		(437	)
		MERIDIAN MARK PLAZA		4,224			4,487			4,475			1,135			1,053			1,065			1,086			4,339			1,109			1,178			2,287
		555 NORTH POINT CENTER EAST		945			1,506			1,771			466			462			474			480			1,882			488			525			1,013
		333 NORTH POINT CENTER EAST		1,036			1,395			1,183			320			334			319			314			1,287			310			280			590
		200 NORTH POINT CENTER EAST		417			363			839			322			356			406			406			1,490			458			317			775
		100 NORTH POINT CENTER EAST		1,010			1,020			1,035			309			312			348			351			1,320			416			406			822
		600 UNIVERSITY PARK PLACE		1,797			1,701			1,107			324			426			400			408			1,557			425			419			844
		GALLERIA 75		899			1,036			897			181			158			168			142			650			132			153			285
		COSMOPOLITAN CENTER		0			0			13			52			14			132			143			341			125			123			248
		ATHEROGENICS		1,222			1,241			1,263			319			318			322			319			1,279			324			328			652
		INHIBITEX		0			666			917			230			226			229			227			912			229			230			459
		615 PEACHTREE STREET		1,395			757			(28	)		(12	)		(11	)		0			0			(23	)		0			0			0
		SONO RENAISSANCE		38			270			223			43			44			52			47			187			48			(10	)		38
		SUBTOTAL		33,542			29,995			32,936			9,346			9,043			12,693			13,787			44,869			15,138			16,018			31,157
		RETAIL:
		THE AVENUE CARRIAGE CROSSING		0			743			5,835			1,775			1,748			1,662			1,589			6,774			1,487			1,660			3,147
		THE AVENUE WEBB GIN		0			0			1,653			1,276			1,271			1,533			1,478			5,558			1,612			1,495			3,107
		SAN JOSE MARKETCENTER		0			0			3,846			1,422			1,612			1,705			1,711			6,450			1,835			1,835			3,670
		THE AVENUE FORSYTH		0			0			0			0			0			0			0			0			73			546			619
		TIFFANY SPRINGS MARKETCENTER		0			0			0			0			0			0			0			0			0			(3	)		(3	)
		CP VENTURE FIVE (AVENUE FUND)		13,179			16,623			9,068			(31	)		(36	)		(60	)		82			(45	)		34			1			35
		SUBTOTAL		13,179			17,366			20,402			4,442			4,595			4,840			4,860			18,736			5,041			5,534			10,574
		INDUSTRIAL:
		KING MILL — BUILDING 3A		0			0			405			306			301			297			283			1,187			297			294			591
		KING MILL — BUILDING 3B		0			0			0			0			0			0			(32	)		(32	)		(72	)		(69	)		(141	)
		LAKESIDE 20		0			0			0			31			231			302			230			794			240			163			403
		JEFFERSON MILL BUILDING A		0			0			0			0			0			0			0			0			0			(29	)		(29	)
		SUBTOTAL		0			0			405			337			532			599			481			1,949			465			359			824
		OTHER RENTAL OPERATIONS:
		OTHER		(1	)		(6	)		8			(12	)		(11	)		(41	)		(17	)		(81	)		(9	)		3			(6	)
		SUBTOTAL		(1	)		(6	)		8			(12	)		(11	)		(41	)		(17	)		(81	)		(9	)		3			(6	)
		PROPERTIES SOLD, NOT IN DISCONTINUED OPERATIONS RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES		7,615			2			0			0			0			0			0			0			0			0			0
		TOTAL CONSOLIDATED RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES		54,335			47,357			53,752			14,113			14,158			18,091			19,111			65,473			20,635			21,914			42,549
(E	)	DISCONTINUED OPERATIONS RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES (1):
		GA 400 LAND LEASES		1,463			1,432			1,537			123			1			2			0			126			0			0			0
		FROST BANK TOWER		3,486			5,123			4,548			13			17			2			9			41			0			33			33
		THE AVENUE OF THE PENINSULA		4,213			4,446			5,114			11			62			5			(13	)		65			0			5			5
		3301 WINDY RIDGE PARKWAY		1,659			1,693			2,750			102			104			22			(4	)		224			0			(2	)		(2	)
		OTHER		15,760			718			41			0			9			0			0			9			0			0			0
		TOTAL DISCONTINUED OPERATIONS RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES		26,581			13,412			13,990			249			193			31			(8	)		465			0			36			36

 8

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS SUPPLEMENTAL DETAIL
(In thousands, except per share amounts, percentages and ratios)

			2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
		RESIDENTIAL LOT, OUTPARCEL AND TRACT FFO:
(G	)	OUTPARCEL SALES NET OF COST OF SALES — WHOLLY OWNED (1)		471			1,367			1,656			0			0			768			249			1,017			755			25			780
(G	)	TRACT SALES NET OF COST OF SALES — WHOLLY OWNED (1)		29,627			15,483			2,481			4,355			0			0			622			4,977			3,736			4,741			8,477
(G	)	TRACT SALES NET OF COST OF SALES — JOINT VENTURES (1)		2,198			3,390			6,675			0			463			0			188			651			0			931			931
		TOTAL TRACT & OUTPARCEL SALES NET OF COS		31,825			18,873			9,156			4,355			463			0			810			5,628			3,736			5,672			9,408
(G	)	OTHER INVESTMENT PROPERTY NET OF COST OF SALES — WHOLLY OWNED (1)		0			0			11,867			8,185			0			(1	)		0			8,184			0			0			0
		TOTAL OTHER INVESTMENT PROPERTY SALES NET OF COS		0			0			11,867			8,185			0			(1	)		0			8,184			0			0			0
(G	)	LOT SALES NET OF COST OF SALES — WHOLLY OWNED (1)		4,222			4,162			2,877			218			344			440			122			1,124			43			398			441
(G	)	LOT SALES NET OF COST OF SALES — JOINT VENTURES (1)		6,993			10,479			8,217			406			758			407			250			1,822			121			237			358
		TOTAL LOT SALES NET OF COS		11,215			14,641			11,094			624			1,102			848			372			2,946			164			635			799
(G	)	INTEREST — JOINT VENTURES (1)		(135	)		(152	)		(284	)		(35	)		(35	)		(83	)		(85	)		(238	)		(101	)		(85	)		(186	)
(G	)	OTHER — JOINT VENTURES (1)		(226	)		(528	)		(381	)		(141	)		(38	)		(237	)		(671	)		(1,087	)		1,014			258			1,272
(G	)	DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS — JOINT VENTURES (1)		0			(62	)		0			0			0			0			0			0			(21	)		(21	)		(42	)
		TOTAL RESIDENTIAL LOT, OUTPARCEL AND TRACT FFO		43,150			34,139			33,108			12,988			1,492			1,295			675			16,450			5,547			6,484			12,031
		MULTI-FAMILY FFO:
(I)		MULTI-FAMILY SALES NET OF COST OF SALES — CONSOLIDATED (1)		0			1,828			3,731			0			47			(3	)		100			144			0			0			0
(I)		MULTI-FAMILY SALES NET OF COST OF SALES — JOINT VENTURES (1)		0			7,182			10,343			2,424			1,804			(3,345	)		(1,068	)		(185	)		650			(227	)		423
		TOTAL MULTI-FAMILY FFO		0			9,010			14,074			2,424			1,851			(3,348	)		(968	)		(41	)		650			(227	)		423
		DEVELOPMENT INCOME		3,310			3,056			4,585			574			2,204			1,568			1,535			5,881			1,013			1,219			2,232
		MANAGEMENT FEES		21,931			24,058			24,437			6,354			6,698			6,043			5,687			24,782			5,791			6,153			11,944
		LEASING & OTHER FEES		4,463			8,084			6,443			1,138			958			2,902			653			5,651			754			430			1,184
		TERMINATION FEES		2,132			545			631			3,557			664			(17	)		989			5,193			131			(109	)		22
		INTEREST INCOME & OTHER		2,528			1,886			742			110			169			455			502			1,236			1,229			1,464			2,693
		GENERAL & ADMINISTRATIVE EXPENSES:
		GENERAL & ADMINISTRATIVE EXPENSES		(33,515	)		(39,190	)		(39,512	)		(9,993	)		(10,638	)		(9,955	)		(8,788	)		(39,374	)		(10,330	)		(9,013	)		(19,343	)
		THIRD PARTY MANAGEMENT DIRECT OPERATING EXPENSES		(13,414	)		(16,628	)		(19,080	)		(4,697	)		(4,966	)		(4,764	)		(4,009	)		(18,436	)		(4,055	)		(4,054	)		(8,109	)
		TOTAL GENERAL & ADMINISTRATIVE EXPENSES		(46,929	)		(55,818	)		(58,592	)		(14,690	)		(15,604	)		(14,719	)		(12,797	)		(57,810	)		(14,385	)		(13,067	)		(27,452	)
		INTEREST EXPENSE CONSOLIDATED:
		2007 CREDIT FACILITY — FLOATING @ LIBOR + .75% to 1.25%								0			0			0			(1,795	)		(1,513	)		(3,308	)		(1,339	)		(1,949	)		(3,288	)
		UNSECURED TERM LOAN — FIXED SWAP RATE OF 5.01% + .70% to 1.20%								0			0			0			(560	)		(1,417	)		(1,977	)		(1,470	)		(1,479	)		(2,949	)
		THE AMERICAN CANCER SOCIETY CENTER (FORMERLY THE INFORUM) - 6.45%								0			0			0			(756	)		(2,271	)		(3,027	)		(2,240	)		(2,240	)		(4,480	)
		333 & 555 NORTH POINT CENTER DEBT - 7%		(2,207	)		(2,165	)		(2,121	)		(523	)		(520	)		(516	)		(513	)		(2,072	)		(510	)		(507	)		(1,017	)
		MERIDIAN MARK PLAZA DEBT - 8.27%		(2,048	)		(2,021	)		(1,991	)		(493	)		(491	)		(489	)		(487	)		(1,959	)		(484	)		(482	)		(966	)
		600 UNIVERSITY PARK DEBT - 7.38%		(1,020	)		(1,009	)		(995	)		(247	)		(246	)		(245	)		(245	)		(983	)		(243	)		(242	)		(485	)
		100 NORTH POINT CENTER EAST DEBT - 5.39%		(932	)		(932	)		(932	)		(231	)		(208	)		(170	)		(170	)		(780	)		(169	)		(172	)		(341	)
		200 NORTH POINT CENTER EAST DEBT - 5.39%		(826	)		(826	)		(826	)		(205	)		(191	)		(170	)		(170	)		(736	)		(168	)		(172	)		(340	)
		LAKESHORE PARK PLAZA DEBT - 6.78%		(666	)		(648	)		(631	)		(155	)		(154	)		(152	)		(151	)		(612	)		(150	)		(115	)		(265	)
		KING MILL DEBT - 9%		0			(34	)		(293	)		(109	)		(114	)		(121	)		(124	)		(469	)		(121	)		(122	)		(243	)
		JEFFERSON MILL DEBT - 9%		0			0			(23	)		(40	)		(53	)		(62	)		(64	)		(218	)		(65	)		(67	)		(132	)
		THE POINTS AT WATERVIEW DEBT - 5.66%		0			(11	)		(1,051	)		(284	)		(263	)		(262	)		(261	)		(1,070	)		(259	)		(258	)		(517	)
		TERMINUS 100 DEBT - 6.13%		0			0			0			0			0			0			(2,358	)		(2,358	)		(2,800	)		(2,801	)		(5,601	)
		SAN JOSE MARKETCENTER DEBT - 5.6%		0			0			0			0			0			0			(448	)		(448	)		(1,223	)		(1,224	)		(2,447	)
		2005 CREDIT FACILITY — FLOATING @ LIBOR + .80% to 1.30%		0			0			(8,752	)		(2,732	)		(3,578	)		(1,704	)		0			(8,014	)		0			0			0
		2005 TERMINUS CONSTRUCTION FACILITY — FLOATING @ LIBOR + .80% to 1.30%		0			0			(2,598	)		(1,072	)		(1,265	)		(910	)		(19	)		(3,265	)		0			0			0
		BRIDGE LOAN — FLOATING @ LIBOR + .75%								0			0			0			(907	)		52			(855	)		0			0			0
		BANK OF AMERICA PLAZA FINANCING - 6.9575%		(10,406	)		(10,197	)		(7,447	)		0			(2	)		0			0			(2	)		0			0			0
		THE AVENUE EAST COBB DEBT - 8.39%		(3,188	)		(3,153	)		(1,546	)		0			0			0			0			0			0			0			0
		CREDIT FACILITY — FLOATING @ LIBOR + .90% to 1.50%		(764	)		(3,979	)		(2,103	)		0			0			0			0			0			0			0			0
		OTHER		(6,594	)		(1,312	)		(363	)		0			(2	)		(2	)		(2	)		(6	)		(2	)		(1	)		(3	)
		CAPITALIZED		14,028			17,193			20,553			6,091			6,555			5,556			5,141			23,343			4,968			4,464			9,432
		TOTAL INTEREST EXPENSE CONSOLIDATED		(14,623	)		(9,094	)		(11,119	)		0			(531	)		(3,265	)		(5,020	)		(8,816	)		(6,275	)		(7,367	)		(13,642	)

 9

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS SUPPLEMENTAL DETAIL
(In thousands, except per share amounts, percentages and ratios)

			2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
		OTHER EXPENSES — CONTINUING OPERATIONS:
		LOSS ON EXTINGUISHMENT OF DEBT (NOT ASSOCIATED WITH PROPERTY SALE)		0			0			0			0			0			(446	)		0			(446	)		0			0			0
		PROPERTY TAXES		(664	)		(754	)		(524	)		(187	)		165			(230	)		(327	)		(579	)		(248	)		(102	)		(350	)
		MINORITY INTEREST EXPENSE		(1,417	)		(3,037	)		(4,130	)		(862	)		(842	)		285			(238	)		(1,656	)		(671	)		(251	)		(922	)
		PREDEVELOPMENT & OTHER		(1,284	)		(568	)		(2,287	)		(173	)		(924	)		(824	)		(322	)		(2,243	)		(1,507	)		(447	)		(1,954	)
		TOTAL OTHER EXPENSES		(3,365	)		(4,359	)		(6,941	)		(1,222	)		(1,601	)		(1,215	)		(887	)		(4,925	)		(2,426	)		(800	)		(3,226	)
(E	)	OTHER EXPENSES — DISCONTINUED OPERATIONS:		(5,870	)		0			0			0			0			0			0			0			0			0			0
		INCOME TAX (PROVISION)/BENEFIT:
		CONTINUING OPERATIONS		(2,744	)		(7,756	)		(4,193	)		1,027			1,073			1,806			517			4,423			3,217			2,176			5,393
(E	)	DISCONTINUED OPERATIONS (1)		0			(126	)		(2	)		0			0			0			0			0			0			0			0
		TOTAL INCOME TAX (PROVISION)/BENEFIT		(2,744	)		(7,882	)		(4,195	)		1,027			1,073			1,806			517			4,423			3,217			2,176			5,393
		DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS:
		CONSOLIDATED		(2,652	)		(2,951	)		(2,911	)		(501	)		(758	)		(759	)		(775	)		(2,793	)		(777	)		(967	)		(1,744	)
		SHARE OF UNCONSOLIDATED JOINT VENTURES		0			0			0			0			0			(1	)		(4	)		(5	)		(4	)		(5	)		(9	)
		TOTAL NON-REAL ESTATE DEPRECIATION & AMORTIZATION		(2,652	)		(2,951	)		(2,911	)		(501	)		(758	)		(760	)		(779	)		(2,798	)		(781	)		(972	)		(1,753	)
(F	)	JOINT VENTURE FFO (EXCLUDING 905 JUNIPER, 50 BISCAYNE, TEMCO, CL REALTY, PINE MOUNTAIN BUILDERS, HANDY ROAD & VERDE) (1):
		CP VENTURE TWO LLC		1,861			1,722			1,725			436			425			404			389			1,654			400			364			764
		CP VENTURE FIVE LLC		0			0			3,849			609			683			589			572			2,453			606			571			1,177
		TEN PEACHTREE PLACE ASSOCIATES		1,533			1,506			1,433			296			312			299			319			1,226			326			331			657
		CSC ASSOCIATES, L.P. (BANK OF AMERICA PLAZA)		15,281			14,918			11,292			18			(19	)		16			0			15			6			1			7
		CHARLOTTE GATEWAY VILLAGE, LLC (GATEWAY VILLAGE)		1,208			1,191			1,208			302			302			302			302			1,208			302			302			604
		CRAWFORD LONG — CPI, LLC		1,447			1,865			2,007			515			524			532			476			2,047			533			526			1,059
		AVENUE MURFREESBORO																	79			29			108			318			442			760
		OTHER		13,948			6,351			201			3			1			40			(234	)		(190	)		33			61			94
		TOTAL SHARE OF JOINT VENTURE FFO		35,278			27,553			21,715			2,179			2,228			2,261			1,853			8,522			2,524			2,598			5,122
		PREFERRED STOCK DIVIDENDS		(8,042	)		(15,250	)		(15,250	)		(3,813	)		(3,812	)		(3,813	)		(3,812	)		(15,250	)		(3,813	)		(3,812	)		(7,625	)
		FFO AVAILABLE TO COMMON STOCKHOLDERS, EXCLUDING LOSS ON EXTINGUISHMENT OF DEBT		109,483			73,746			74,469			24,487			9,383			7,316			7,251			48,437			13,811			16,120			29,931
		LOSS ON EXTINGUISHMENT OF DEBT		(605	)		0			(18,207	)		0			0			0			0			0			0			0			0
		FFO AVAILABLE TO COMMON STOCKHOLDERS, AS DEFINED		108,878			73,746			56,262			24,487			9,383			7,316			7,251			48,437			13,811			16,120			29,931
		GAIN ON SALE OF DEPRECIATED INVESTMENT PROPERTIES, NET:
		CONTINUING OPERATIONS		118,056			15,733			3,012			4,440			62			355			678			5,535			3,792			5,212			9,004
(G	)	LESS GAIN ON SALE OF UNDEPRECIATED INVESTMENT PROPERTIES		(29,627	)		(15,483	)		(14,348	)		(12,540	)		0			1			(622	)		(13,161	)		(3,736	)		(5,156	)		(8,892	)
		DISCONTINUED OPERATIONS		81,927			1,037			86,495			8,164			(22	)		9,872			81			18,095			0			0			0
		SHARE OF UNCONSOLIDATED JOINT VENTURES		176,265			1,935			135,618			(44	)		10			1,232			(12	)		1,186			0			0			0
		TOTAL GAIN ON SALE OF INVESTMENT PROPERTIES, NET		346,621			3,222			210,777			20			50			11,460			125			11,655			56			56			112
		DEPRECIATION & AMORTIZATION OF REAL ESTATE (1):
		CONSOLIDATED		(27,101	)		(23,999	)		(28,593	)		(8,854	)		(7,963	)		(9,795	)		(11,086	)		(37,698	)		(10,662	)		(11,818	)		(22,480	)
(E	)	DISCONTINUED OPERATIONS		(12,776	)		(9,636	)		(12,186	)		(165	)		14			0			0			(151	)		0			0			0
		SHARE OF UNCONSOLIDATED JOINT VENTURES		(15,880	)		(8,842	)		(8,819	)		(1,081	)		(1,089	)		(1,132	)		(1,269	)		(4,571	)		(1,366	)		(1,447	)		(2,813	)
		TOTAL REAL ESTATE DEPRECIATION & AMORTIZATION		(55,757	)		(42,477	)		(49,598	)		(10,100	)		(9,038	)		(10,927	)		(12,355	)		(42,420	)		(12,028	)		(13,265	)		(25,293	)
		NET INCOME (LOSS) AVAILABLE TO COMMON STOCKHOLDERS		399,742			34,491			217,441			14,407			395			7,849			(4,979	)		17,672			1,839			2,911			4,750

 10

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS-SUPPLEMENTAL DETAIL
(in thousands, except per share amounts, percentages and ratios)

JOINT VENTURES	2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
COUSINS’ SHARE OF CP VENTURE TWO LLC (2):
RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES (REVENUES LESS OPERATING EXPENSES):
COUSINS’ SHARE OF CP VENTURE TWO LLC -OFFICE PORTFOLIO		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%
OFFICE:
FIRST UNION TOWER		322			8			0			0			0			0			0			0			0			0			0
GRANDVIEW II		276			196			157			0			(1	)		0			0			(1	)		0			0			—
100 NORTH POINT CENTER EAST		0			0			0			0			0			0			0			0			0			0			0
200 NORTH POINT CENTER EAST		1			0			0			0			0			0			0			0			0			0			0
PRESBYTERIAN MEDICAL PLAZA		106			111			106			28			30			24			34			116			21			29			50
SUBTOTAL OFFICE		705			315			263			28			29			24			34			115			21			29			50
COUSINS’ SHARE OF CP VENTURE TWO LLC -RETAIL PORTFOLIO		11.50	%		11.50	%		10.32	%		10.32	%		10.32	%		10.32	%		10.32	%		10.32	%		10.32	%		10.32	%		10.32	%
RETAIL:
NORTH POINT MARKETCENTER		591			649			668			156			154			155			148			613			155			143			298
MANSELL CROSSING II		141			144			153			34			36			0			2			72			0			0			—
GREENBRIER MARKETCENTER		518			517			534			128			121			135			127			511			133			128			261
LOS ALTOS MARKETCENTER		363			354			358			89			89			89			78			345			90			65			155
SUBTOTAL RETAIL		1,613			1,664			1,713			407			400			379			355			1,541			378			336			714
TOTAL REVENUES LESS OPERATING EXPENSES		2,318			1,979			1,976			435			429			403			389			1,656			399			365			764
INTEREST EXPENSE		(248	)		(240	)		(231	)		0			0			0			0			0			0			0			0
OTHER, NET		0			(17	)		(20	)		1			(4	)		1			0			(2	)		1			(1	)		0
IMPAIRMENT LOSS ON DEPRECIABLE PROPERTY		(209	)		0			0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		1,861			1,722			1,725			436			425			404			389			1,654			400			364			764
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(852	)		(667	)		(670	)		(123	)		(123	)		(115	)		(116	)		(477	)		(112	)		(111	)		(223	)
GAIN ON SALE OF DEPRECIATED INVESTMENT PROPERTIES, NET		0			0			736			0			0			1,231			(7	)		1,224			0			0			0
NET INCOME (LOSS)		1,009			1,055			1,791			313			302			1,520			266			2,401			288			253			541
COUSINS’ SHARE OF CP VENTURE FIVE (2):								40.63	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%		11.50	%
RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES (REVENUES LESS OPERATING EXPENSES):
THE AVENUE EAST COBB		0			0			1,382			201			192			156			174			723			175			182			357
THE AVENUE PEACHTREE CITY		0			0			843			132			122			123			114			491			122			116			238
THE AVENUE WEST COBB		0			0			1,132			158			179			184			164			685			167			142			309
THE AVENUE VIERA		0			0			947			154			159			155			152			620			164			155			319
VIERA MARKETCENTER		0			0			198			51			52			54			51			208			55			50			105
TOTAL REVENUES LESS OPERATING EXPENSES		0			0			4,502			696			704			672			655			2,727			683			645			1,328
INTEREST EXPENSE		0			0			(634	)		(88	)		(88	)		(87	)		(87	)		(350	)		(87	)		(86	)		(173	)
OTHER, NET		0			0			(19	)		1			68			4			4			77			10			12			22
FUNDS FROM OPERATIONS		0			0			3,849			609			684			589			572			2,454			606			571			1,177
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			(2,018	)		(298	)		(332	)		(331	)		(244	)		(1,205	)		(261	)		(269	)		(530	)
NET INCOME (LOSS)		0			0			1,831			311			352			258			328			1,249			345			302			647
COUSINS’ SHARE OF TEN PEACHTREE PLACE ASSOCIATES (2):		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
REVENUES LESS OPERATING EXPENSES		2,211			2,326			2,239			496			511			497			516			2,020			516			521			1,037
INTEREST EXPENSE		(678	)		(820	)		(806	)		(200	)		(199	)		(198	)		(197	)		(794	)		(190	)		(190	)		(380	)
FUNDS FROM OPERATIONS		1,533			1,506			1,433			296			312			299			319			1,226			326			331			657
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(1,134	)		(1,128	)		(1,060	)		(271	)		(250	)		(270	)		(261	)		(1,052	)		(267	)		(267	)		(534	)
NET INCOME		399			378			373			25			62			29			58			174			59			64			123
COUSINS’ SHARE OF CSC ASSOCIATES (2):		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
REVENUES LESS OPERATING EXPENSES		15,298			14,934			11,304			18			(19	)		16			0			15			6			1			7
INTEREST EXPENSE		0			0			0			0			0			0			0			0			0			0			0
DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS		(17	)		(16	)		(12	)		0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		15,281			14,918			11,292			18			(19	)		16			0			15			6			1			7
GAIN ON SALE OF DEPRECIATED INVESTMENT PROPERTIES, NET		0			0			133,789			(43	)		8			0			(5	)		(40	)		0			0			0
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(3,795	)		(3,956	)		(2,973	)		0			0			0			0			0			0			0			0
NET INCOME (LOSS)		11,486			10,962			142,108			(25	)		(11	)		16			(5	)		(25	)		6			1			7

 11

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS-SUPPLEMENTAL DETAIL
(in thousands, except per share amounts, percentages and ratios)

JOINT VENTURES	2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
COUSINS’ SHARE OF GATEWAY VILLAGE (2) (3):
REVENUES LESS OPERATING EXPENSES		1,208			1,191			1,208			302			302			302			302			1,208			302			302			604
INTEREST EXPENSE		0			0			0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		1,208			1,191			1,208			302			302			302			302			1,208			302			302			604
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(32	)		(33	)		(32	)		(8	)		(8	)		(8	)		(8	)		(32	)		(8	)		(8	)		(16	)
NET INCOME		1,176			1,158			1,176			294			294			294			294			1,176			294			294			588
COUSINS’ SHARE OF CRAWFORD LONG — CPI (2):		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
REVENUES LESS OPERATING EXPENSES		3,071			3,467			3,586			906			913			920			862			3,601			918			909			1,827
INTEREST EXPENSE		(1,624	)		(1,602	)		(1,579	)		(391	)		(389	)		(388	)		(386	)		(1,554	)		(385	)		(383	)		(768	)
FUNDS FROM OPERATIONS		1,447			1,865			2,007			515			524			532			476			2,047			533			526			1,059
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(1,352	)		(1,447	)		(1,468	)		(347	)		(340	)		(336	)		(329	)		(1,352	)		(321	)		(321	)		(642	)
NET INCOME		95			418			539			168			184			196			147			695			212			205			417
COUSINS’ SHARE OF AVENUE MURFREESBORO (2):																	50	%		50	%		50	%		50	%		50	%		50	%
REVENUES LESS OPERATING EXPENSES		0			0			0			0			0			147			407			554			680			753			1,433
INTEREST EXPENSE		0			0			0			0			0			(68	)		(374	)		(442	)		(362	)		(311	)		(673	)
DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS		0			0			0			0			0			0			(4	)		(4	)		(4	)		(5	)		(9	)
FUNDS FROM OPERATIONS		0			0			0			0			0			79			29			108			314			437			751
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			0			0			0			(38	)		(272	)		(310	)		(351	)		(425	)		(776	)
NET INCOME		0			0			0			0			0			41			(243	)		(202	)		(37	)		12			(25	)
COUSINS’ SHARE OF 905 JUNIPER, LLC (2):					72	%
MULTI-FAMILY SALES, NET OF COS		0			514			0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		0			514			0			0			0			0			0			0			0			0			0
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			0			0			0			0			0			0			0			0			0
NET INCOME		0			514			0			0			0			0			0			0			0			0			0
COUSINS’ SHARE OF 50 BISCAYNE, LLC (2):					40	%		40	%		40	%		40	%		40	%		40	%		40	%		40	%		40	%		40	%
MULTI-FAMILY SALES, NET OF COS		0			6,515			10,172			2,289			1,676			(3,460	)		(3,832	)		(3,327	)		199			195			394
OTHER, NET		0			153			171			135			128			115			2,764			3,142			451			(422	)		29
FUNDS FROM OPERATIONS		0			6,668			10,343			2,424			1,804			(3,345	)		(1,068	)		(185	)		650			(227	)		423
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			0			0			0			0			0			0			0			0			0
NET INCOME		0			6,668			10,343			2,424			1,804			(3,345	)		(1,068	)		(185	)		650			(227	)		423
COUSINS’ SHARE OF OTHER (2):
REVENUES LESS OPERATING EXPENSES		24,903			940			29			(1	)		8			49			(9	)		47			16			72			88
INTEREST EXPENSE		(8,478	)		0			0			0			0			0			0			0			0			0			0
OTHER, NET		791			5,411			172			4			(7	)		(8	)		(227	)		(238	)		17			(11	)		6
DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS		(18	)		0			0			0			0			0			0			0			0			0			0
MARK-TO-MARKET DEBT ADJUSTMENT		(3,250	)		0			0			0			0			0			0			0			0			0			0
IMPAIRMENT LOSS ON DEPRECIABLE PROPERTY		0			0			0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		13,948			6,351			201			3			1			41			(236	)		(191	)		33			61			94
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(8,626	)		(1,058	)		(18	)		(5	)		(4	)		(5	)		(5	)		(19	)		(35	)		(35	)		(70	)
GAIN ON SALE OF DEPRECIATED INVESTMENT PROPERTIES, NET		176,265			1,935			1,093			(1	)		0			0			0			(1	)		0			0			0
NET INCOME		181,587			7,228			1,276			(3	)		(3	)		36			(241	)		(211	)		(2	)		26			24
COUSINS’ SHARE OF TEMCO ASSOCIATES (2):		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
RESIDENTIAL LOT AND TRACT SALES, NET OF COS		5,336			4,092			7,523			82			228			134			253			697			14			32			46
INTEREST EXPENSE		(135	)		(152	)		(146	)		(35	)		(35	)		(35	)		(34	)		(139	)		(34	)		(33	)		(67	)
OTHER, NET		(6	)		105			125			(45	)		61			16			(306	)		(274	)		(89	)		276			187
DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS		0			0			0			0			0			0			0			0			(21	)		(21	)		(42	)
FUNDS FROM OPERATIONS		5,195			4,045			7,502			2			254			115			(87	)		284			(130	)		254			124
DEPRECIATION & AMORTIZATION OF REAL ESTATE		(88	)		(114	)		(114	)		(29	)		(31	)		(30	)		(33	)		(123	)		(11	)		(11	)		(22	)
NET INCOME		5,107			3,931			7,388			(27	)		223			85			(120	)		161			(141	)		243			102

 12

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS-SUPPLEMENTAL DETAIL
(in thousands, except per share amounts, percentages and ratios)

JOINT VENTURES	2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
COUSINS’ SHARE OF CL REALTY, LLC (2):		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
RESIDENTIAL LOT AND TRACT SALES, NET OF COS		3,457			9,052			6,629			330			976			280			150			1,736			101			1,093			1,194
INTEREST EXPENSE		0			0			0			0			0			(48	)		(51	)		(99	)		(44	)		(40	)		(84	)
OTHER, NET		(220	)		(150	)		(137	)		(53	)		(58	)		(210	)		(317	)		(638	)		1,110			(12	)		1,098
FUNDS FROM OPERATIONS		3,237			8,902			6,492			277			918			22			(218	)		999			1,167			1,041			2,208
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			0			0			0			0			0			0			0			0			0
NET INCOME		3,237			8,902			6,492			277			918			22			(218	)		999			1,167			1,041			2,208
COUSINS’ SHARE OF PINE MOUNTAIN BUILDERS, LLC (2):		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
RESIDENTIAL LOT AND TRACT SALES, NET OF COS		398			725			739			(5	)		18			(7	)		35			41			6			43			49
OTHER, NET		0			0			0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		398			725			739			(5	)		18			(7	)		35			41			6			43			49
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			0			0			0			0			0			0			0			0			0
NET INCOME		398			725			739			(5	)		18			(7	)		35			41			6			43			49
COUSINS’ SHARE OF HANDY ROAD ASSOCIATES, LLC (2):								50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%		50	%
RESIDENTIAL LOT AND TRACT SALES, NET OF COS		0			0			0			0			0			0			0			0			0			0			0
INTEREST EXPENSE		0			0			(138	)		0			0			0			0			0			(23	)		(12	)		(35	)
OTHER, NET		0			0			(155	)		(43	)		(41	)		(43	)		(48	)		(175	)		(7	)		(6	)		(13	)
FUNDS FROM OPERATIONS		0			0			(293	)		(43	)		(41	)		(43	)		(48	)		(175	)		(30	)		(18	)		(48	)
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			0			0			0			0			0			0			0			0			0			0
NET INCOME (LOSS)		0			0			(293	)		(43	)		(41	)		(43	)		(48	)		(175	)		(30	)		(18	)		(48	)
COUSINS’ SHARE OF VERDE GROUP, LLC (2):					4.94	%		N/A			N/A			N/A			N/A			N/A			N/A			N/A			N/A			N/A
RESIDENTIAL LOT AND TRACT SALES, NET OF COS		0			0			0			0			0			0			0			0			0			0			0
OTHER, NET		0			(483	)		(214	)		0			0			0			0			0			0			0			0
DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS		0			(62	)		0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		0			(545	)		(214	)		0			0			0			0			0			0			0			0
DEPRECIATION & AMORTIZATION OF REAL ESTATE		0			(439	)		(467	)		0			0			0			0			0			0			0			0
NET INCOME (LOSS)		0			(984	)		(681	)		0			0			0			0			0			0			0			0

 13

COUSINS PROPERTIES INCORPORATED
NET INCOME AND FUNDS FROM OPERATIONS-SUPPLEMENTAL DETAIL
(in thousands, except per share amounts, percentages and ratios)

FOOTNOTES

(1)	See corresponding reconciliations (identified with capital letters preceding the item descriptions) in Reconciliations of Non-GAAP Financial Measures.
(2)	Cousins’ share of income from unconsolidated joint ventures has been adjusted in certain instances for elimination of inter-company activities and depreciation on Cousins’ investment in joint ventures.
(3)	The Company recognizes a preferred return on its equity in Gateway Village. See Note 5 to “Notes to Consolidated Financial Statements” included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2007.

 14

COUSINS PROPERTIES INCORPORATED
DEVELOPMENT PIPELINE (1)
As of June 30, 2008
($ in thousands)

																Cousins’		Actual or
	Company		Total			Leased GLA (%)								Cousins’		Share of		Projected Dates
	Owned		Project			Total Project			Cousins’			Approximate		Share of		Cost Incurred		for Completion and
Project	GLA (2)		GLA (3)			(fully executed)			Ownership %			Total Cost		Total Cost		at 6/30/08		Fully Operational/Sold
OFFICE/MULTI-FAMILY
Terminus 200		565,000		565,000			0	%		50	%		172,500		86,250		26,545	const. - 3Q-09
(Atlanta, GA)																		fully operational 3Q-10
191 Peachtree Tower (4)		1,220,000		1,220,000			67% / 86%	(5)		100	%		233,750		233,750		178,604	acquired 3Q-06
(Atlanta, GA)																		fully stabilized 4Q-10
Palisades West (Austin, TX)
Building 1		216,000		216,000			100	%		50	%							const. - 3Q-08
																		fully operational 4Q-08
Building 2		157,000		157,000			21	%		50	%							const. - 3Q-08
																		fully operational 3Q-09
Total — Palisades West		373,000		373,000									77,500		38,750		33,841
TOTAL OFFICE		2,158,000		2,158,000									483,750		358,750		238,990
10 Terminus Place	137 units		137 units				N/A			100	%		83,200		83,200		65,812	const. - 3Q-08
(Atlanta, GA)																		fully sold - 3Q-09
Glenmore Garden Villas	71 Units		71 Units				N/A			50	%		27,600		13,800		3,773	const. - 2Q-10
(Charlotte, NC)																		fully sold - 3Q-10
TOTAL MULTI-FAMILY	208 Units		208 Units		(6)								110,800		97,000		69,585
TOTAL OFFICE/MULTI-FAMILY		2,158,000		2,158,000									594,550		455,750		308,575
RETAIL
Tiffany Springs MarketCenter		246,000		584,000			87	%		88.5	%		58,200		51,500		45,439	const. - 3Q-08
(Kansas City, MO)																		fully operational 3Q-09
The Avenue Murfreesboro (Suburban Nashville, TN)
Phases I and II		690,000		690,000			76	%		50	%							const. - 4Q-07
																		fully operational 4Q-08
Phase III A		8,000		8,000			100	%		50	%							const. - 4Q-07
																		fully operational 4Q-07
Phase III B		19,000		19,000			0	%		50	%							const. - 2Q-10
																		fully operational 2Q-11
Phase IV A		19,000		19,000			100	%		50	%							const. - 3Q-08
																		fully operational 3Q-08
Phase IV B		16,000		16,000			0	%		50	%							const. - 2Q-10
																		fully operational 2Q-11
Phase V A		30,000		30,000			99	%		50	%							const. - 3Q-08
																		fully operational 3Q-08
Phase V B		26,000		26,000			0	%		50	%							const. - 2Q-10
																		fully operational 2Q-11
Total — Avenue Murfreesboro		808,000		808,000									153,100		76,550		62,289

 15

															Cousins’			Actual or
	Company		Total		Leased GLA (%)								Cousins’		Share of			Projected Dates
	Owned		Project		Total Project			Cousins’			Approximate		Share of		Cost Incurred			for Completion and
Project	GLA (2)		GLA (3)		(fully executed)			Ownership %			Total Cost		Total Cost		at 6/30/08			Fully Operational/Sold
RETAIL (continued)
The Avenue Forsyth (Suburban Atlanta, GA)
Phase IA		463,000		463,000		58	%		88.5	%								const. - 2Q-08
																		fully operational 2Q-09
Phase IB		64,000		64,000		0	%		88.5	%								const. - 3Q-10
																		fully operational 3Q-11
Total — Avenue Forsyth		527,000		527,000								146,200		129,400		97,371
The Avenue Carriage Crossing Expansion (7) (Suburban Memphis, TN)
Phase II		20,000		20,000		0	%		100	%		5,200		5,200		3,513		const. - 4Q-07
																		fully operational 4Q-08
TOTAL RETAIL		1,601,000		1,939,000								362,700		262,650		208,612
Accumulated Depreciation on Partially Operational Properties		—		—								—		—		(312	)
TOTAL PORTFOLIO		3,759,000		4,097,000							$	957,250	$	718,400	$	516,875	(8)

(1)	This schedule includes all Office/Multi-Family and Retail projects under construction and redevelopment from the commencement of construction until the projects become fully operational pursuant to accounting principles generally accepted in the United States. Single-family residential projects are included on a separate schedule in this package. Amounts included in the total cost columns represent the estimated costs upon completion of the project and achievement of fully operational status. Significant estimation is required to derive these costs and the final costs may differ from these estimates. The projected dates for completion and fully operational status shown above are also estimates and are subject to change as the projects proceed through the development process.
(2)	Company owned GLA includes square footage owned either directly by the Company or by a joint venture in which the Company is a partner.
(3)	Total project GLA includes anchor stores who may own their own property and other non-owned property contained within the named development.
(4)	191 Peachtree Tower is under redevelopment and repositioning and is treated as a development property for the purposes of this schedule, although its cost basis is included in operating properties on the Company’s consolidated balance sheets. 201 Peachtree, a 7,500 square foot building adjacent to 191 Peachtree Tower, is also under redevelopment and is included in the amounts above.
(5)	As of June 30, 2008, 86% leased but 67% leased excluding the Wachovia lease which is expected to expire on December 31, 2008. Leased square footage includes 65,000 square feet occupied by the Company.
(6)	In addition to the two multi-family projects under construction, the Company owns approximately 40% of the recently completed 50 Biscayne multi-family project. As of July 31, 2008, only seven unsold commercial units remain in this project.
(7)	A third party will share in the results of operations and any gain on sale of the property, even though shown as 100% owned.
(8)	Reconciliation to Condensed Consolidated Balance Sheet

Total Cousins’ Investment per above schedule	$	516,875
Less: Operating Property under redevelopment/repositioning		(178,604	)
Less: Investment in unconsolidated joint ventures
Palisades West		(33,841	)
The Avenue Murfreesboro		(62,289	)
Terminus 200		(26,545	)
Glenmore Garden Villas		(3,773	)
Add: Prudential’s 11.5% interest in Tiffany Springs MarketCenter		4,903
Add: Prudential’s 11.5% interest in The Avenue Forsyth		11,572
Consolidated projects under development per balance sheet	$	228,298

 16

COUSINS PROPERTIES INCORPORATED
PORTFOLIO LISTING
BY PROPERTY TYPE
As of June 30, 2008

								Percent Leased
					Company’s			(Fully Executed)
	Metropolitan		Rentable		Ownership			Prior Quarter			Current Quarter
Property Description	Area	State	Square Feet		Interest			3/31/2008			6/30/2008
I. OFFICE OPERATING PROPERTIES
Gateway Village	Charlotte	North Carolina		1,065,000		50.00	%		100	%		100	%
The American Cancer Society Center (Formerly The Inforum)	Atlanta	Georgia		993,000		100.00	%		100	%		100	%
Terminus 100	Atlanta	Georgia		656,000		100.00	%		94	%		95	%
One Georgia Center (e)	Atlanta	Georgia		375,000		88.50	%		100	%		100	%
Emory Crawford Long Medical Office Tower	Atlanta	Georgia		358,000		50.00	%		98	%		98	%
Ten Peachtree Place	Atlanta	Georgia		260,000		50.00	%		94	%		94	%
The Points at Waterview	Dallas	Texas		203,000		100.00	%		100	%		100	%
Lakeshore Park Plaza (a)	Birmingham	Alabama		196,000		100.00	%		96	%		96	%
3100 Windy Hill Road	Atlanta	Georgia		188,000		100.00	%		0	%		0	%
Meridian Mark Plaza	Atlanta	Georgia		160,000		100.00	%		100	%		100	%
555 North Point Center East	Atlanta	Georgia		152,000		100.00	%		97	%		96	%
333 North Point Center East	Atlanta	Georgia		130,000		100.00	%		100	%		100	%
200 North Point Center East	Atlanta	Georgia		130,000		100.00	%		83	%		83	%
100 North Point Center East	Atlanta	Georgia		128,000		100.00	%		96	%		97	%
600 University Park Place (a)	Birmingham	Alabama		123,000		100.00	%		100	%		100	%
Galleria 75	Atlanta	Georgia		114,000		100.00	%		72	%		72	%
Cosmopolitan Center	Atlanta	Georgia		85,000		100.00	%		80	%		85	%
Presbyterian Medical Plaza at University	Charlotte	North Carolina		69,000		11.50	%		100	%		100	%
AtheroGenics	Atlanta	Georgia		51,000		100.00	%		100	%		100	%
Inhibitex	Atlanta	Georgia		51,000		100.00	%		100	%		100	%
Total Office Operating Portfolio				5,487,000								93	%
OFFICE DEVELOPMENT/REDEVELOPMENT PROPERTIES (b)
191 Peachtree Tower (c)	Atlanta	Georgia		1,220,000		100.00	%		86	%		86	%
Terminus 200 (e)	Atlanta	Georgia		565,000		50.00	%		0	%		0	%
Palisades West Building 1	Austin	Texas		216,000		50.00	%		100	%		100	%
Palisades West Building 2	Austin	Texas		157,000		50.00	%		0	%		21	%
Total Office Development/Redevelopment Properties				2,158,000
TOTAL OFFICE, OPERATING AND DEVELOPMENT/REDEVELOPMENT				7,645,000

 17

								Percent Leased
					Company’s			(Fully Executed)
	Metropolitan		Rentable		Ownership			Prior Quarter			Current Quarter
Property Description	Area	State	Square Feet		Interest			3/31/2008			6/30/2008
II. RETAIL OPERATING PROPERTIES
The Avenue Carriage Crossing (a)	Memphis	Tennessee		491,000		100.00	%		91	%		92	%
North Point MarketCenter	Atlanta	Georgia		401,000		10.32	%		99	%		100	%
Greenbrier MarketCenter	Chesapeake	Virginia		376,000		10.32	%		100	%		99	%
The Avenue Webb Gin	Atlanta	Georgia		356,000		100.00	%		82	%		83	%
The Avenue Viera	Viera	Florida		332,000		11.50	%		95	%		94	%
The Avenue West Cobb	Atlanta	Georgia		257,000		11.50	%		97	%		94	%
The Avenue East Cobb	Atlanta	Georgia		231,000		11.50	%		98	%		99	%
San Jose MarketCenter	San Jose	California		213,000		100.00	%		97	%		97	%
The Avenue Peachtree City	Atlanta	Georgia		183,000		11.50	%		98	%		98	%
Viera MarketCenter	Viera	Florida		178,000		11.50	%		95	%		95	%
Los Altos MarketCenter	Long Beach	California		157,000		10.32	%		100	%		100	%
Total Retail Operating Properties				3,175,000								91	%
RETAIL DEVELOPMENT PROPERTIES (b)
The Avenue Murfreesboro (d)	Nashville	Tennessee		808,000		50.00	%		77	%		77	%
The Avenue Forsyth (d) (e)	Atlanta	Georgia		527,000		88.50	%		56	%		58	%
Tiffany Springs MarketCenter (e)	Kansas City	Missouri		246,000		88.50	%		67	%		68	%
The Avenue Carriage Crossing Expansion (a)	Memphis	Tennessee		20,000		100.00	%		0	%		0	%
Total Retail Development Properties				1,601,000
TOTAL RETAIL, OPERATING AND DEVELOPMENT				4,776,000
III. INDUSTRIAL OPERATING PROPERTIES
Lakeside Ranch Business Park — Building 20	Dallas	Texas		749,000		(e	)		48	%		48	%
King Mill Distribution Park — Building 3A	Atlanta	Georgia		417,000		75.00	%		100	%		100	%
King Mill Distribution Park — Building 3B	Atlanta	Georgia		379,000		75.00	%		0	%		0	%
Jefferson Mill Business Park — Building A	Atlanta	Georgia		459,000		75.00	%		0	%		0	%
TOTAL INDUSTRIAL OPERATING PROPERTIES				2,004,000								40	%
TOTAL PORTFOLIO OPERATING AND DEVELOPMENT				14,425,000

 18

COUSINS PROPERTIES INCORPORATED
PORTFOLIO LISTING
BY PROPERTY TYPE & GEOGRAPHICAL CONCENTRATION
As of June 30, 2008

			Company		Weighted			Percent Leased -
			Share of		Portfolio			Fully Executed
	Rentable		Rentable		Ownership			Excludes
	Square Feet		Square Feet		%			Development Properties
SUMMARY BY TYPE
Office		7,645,000		6,230,000		61	%		93	%
Retail		4,776,000		2,401,000		23	%		91	%
Industrial		2,004,000		1,690,000		16	%		40	%
TOTAL		14,425,000		10,321,000		100	%
SUMMARY BY STATE
Georgia		8,826,000		6,863,000		66	%		80	%
Texas		1,325,000		1,139,000		11	%		59	%
Tennessee		1,319,000		915,000		9	%		92	%
North Carolina		1,134,000		540,000		5	%		100	%
Alabama		319,000		319,000		3	%		98	%
California		370,000		229,000		2	%		97	%
Missouri		246,000		218,000		2	%		N/A
Florida		510,000		59,000		1	%		95	%
Virginia		376,000		39,000		1	%		99	%
		14,425,000		10,321,000		100	%

(a)	These projects are shown as 100% owned by the Company; however, they are owned in a joint venture with a third party who may receive a participation in operations and/or on sale of the property depending upon achievement of certain thresholds.
(b)	These properties are under construction, redevelopment and/or in lease up.
(c)	Operating property purchased with intent to redevelop and reposition. 201 Peachtree, a 7,500 square foot building adjacent to 191 Peachtree Tower, is also under redevelopment and is included in the amounts above.
(d)	Total square footage for this property includes anticipated expansions; however, the percent leased excludes the expansions.
(e)	This project is owned through a joint venture with a third party who has contributed equity, but the equity ownership and the allocation of the results of operations and/or gain on sale may be disproportionate.

 19

COUSINS PROPERTIES INCORPORATED
SAME PROPERTY INFORMATION

	Second Quarter 2008 vs									Six Months
	First Quarter 2008									2008 vs 2007
	Office			Retail			Total			Office			Retail			Total
Rental Property Revenues(1) less Operating Expenses		4.0	%		-4.8	%		-0.1	%		10.7	%		-1.5	%		5.6	%
Cash Basis Rental Property Revenues(2) less Operating Expenses		5.3	%		-4.7	%		0.6	%		12.3	%		-0.9	%		6.8	%

Note: The following properties are included in the same property portfolio:	Office
	Gateway Village	333 Northpoint Center East
	American Cancer Society Center (formerly Inforum)	200 Northpoint Center East
	One Georgia Center	100 Northpoint Center East
	Emory Crawford Long Medical Office Tower	600 University Park Place
	Ten Peachtree Place	Galleria 75
	The Points at Waterview	Cosmopolitan Center
	Lakeshore Park Plaza	Presbyterian Medical Plaza
	3100 Windy Hill Road	AtheroGenics
	Meridian Mark Plaza	Inhibitex
	555 Northpoint Center East	Sono Renaissance
	Retail
	The Avenue Carriage Crossing	The Avenue Peachtree City
	North Point MarketCenter	Viera MarketCenter
	Greenbrier MarketCenter	Los Altos MarketCenter
	The Avenue Viera	San Jose MarketCenter (2Q to 1Q only)
	The Avenue West Cobb	The Avenue Webb Gin (2Q to 1Q only)
	The Avenue East Cobb

(1)	Rental Property Revenues is Total Rental Property Revenues of the Company and its unconsolidated joint ventures.
(2)	Cash Basis Rental Property Revenues is Rental Property Revenues of the Company and its unconsolidated joint ventures. It excludes straight-line rents and amortization of acquired above and below market leases.

 20

COUSINS PROPERTIES INCORPORATED
SQUARE FEET EXPIRING
As of June 30, 2008

OFFICE

As of June 30, 2008, the Company’s office portfolio included 20 commercial office buildings, excluding all properties currently under development, held for redevelopment and buildings in lease-up stage. The weighted average remaining lease term of these office buildings was approximately eight years as of June 30, 2008. Most of the major tenant leases in these buildings provide for pass through of operating expenses and contractual rents which escalate over time. The leases expire as follows:

																												2017 &
	2008			2009			2010			2011			2012			2013			2014			2015			2016			Thereafter			Total
Total (including Company’s % share of Joint Venture Properties):
Square Feet Expiring (1)		104,377			422,651			171,554			451,760			193,430			549,911			285,212			660,902			94,828			1,289,625			4,224,250
% of Leased Space		2	%		10	%		4	%		11	%		4	%		13	%		7	%		16	%		2	%		31	%		100	%
Annual Contractual   Rent (000’s) (2)	$	1,827		$	6,464		$	2,785		$	6,247		$	3,310		$	10,007		$	6,383		$	12,892		$	1,670		$	29,366		$	80,951
Annual Contractual   Rent/Sq. Ft. (2)	$	17.50		$	15.29		$	16.23		$	13.83		$	17.11		$	18.20		$	22.38		$	19.51		$	17.61		$	22.77		$	19.16
Wholly Owned:
Square Feet Expiring (1)		99,053			391,793			160,341			424,385			132,464			414,448			280,309			96,706			89,969			964,613			3,054,081	(3)
% of Leased Space		3	%		13	%		5	%		14	%		4	%		14	%		9	%		3	%		3	%		32	%		100	%
Annual Contractual Rent (000’s) (2)	$	1,754		$	5,989		$	2,574		$	5,845		$	2,171		$	7,464		$	6,272		$	2,395		$	1,599		$	24,599		$	60,662
Annual Contractual Rent/Sq. Ft. (2)	$	17.71		$	15.29		$	16.05		$	13.77		$	16.39		$	18.01		$	22.37		$	24.76		$	17.78		$	25.50		$	19.86
Joint Venture:
Square Feet Expiring (1)		17,953			48,022			20,357			47,286			142,589			266,419			9,805			1,115,268			6,098			430,787			2,104,584	(4)
% of Leased Space		1	%		2	%		1	%		2	%		7	%		13	%		1	%		53	%		0	%		20	%		100	%
Annual Contractual Rent (000’s) (2)	$	370		$	828		$	409		$	728		$	2,757		$	5,033		$	223		$	20,820		$	80		$	6,976		$	38,224
Annual Contractual Rent/Sq. Ft. (2)	$	20.62		$	17.23		$	20.10		$	15.40		$	19.34		$	18.89		$	22.78		$	18.67		$	13.12		$	16.19		$	18.16

(1)	Where a tenant has the option to cancel its lease without penalty, the lease expiration date used in the table above reflects the cancellation option date rather than the lease expiration date.
(2)	Annual Contractual Rent excludes the operating expense reimbursement portion of the rent payable. If the lease does not provide for pass through of such operating expense reimbursements, an estimate of operating expenses is deducted from the rental rate shown. The contractual rental rate shown is the estimated rate in the year of expiration.
(3)	Rentable square feet leased as of June 30, 2008 out of approximately 3,360,000 total rentable square feet.
(4)	Rentable square feet leased as of June 30, 2008 out of approximately 2,127,000 total rentable square feet.

 21

COUSINS PROPERTIES INCORPORATED
SQUARE FEET EXPIRING
As of June 30, 2008

RETAIL

As of June 30, 2008, the Company’s retail portfolio included 11 retail properties, excluding all properties currently under development and/or in lease-up. The weighted average remaining lease term of these retail properties was approximately nine years as of June 30, 2008. Most of the major tenant leases in these retail properties provide for pass through of operating expenses and contractual rents which escalate over time. The leases expire as follows:

																												2017 &
	2008			2009			2010			2011			2012			2013			2014			2015			2016			Thereafter			Total
Total (including only Company’s % share of Joint Venture Properties):
Square Feet Expiring		10,970			13,797			26,814			88,895			69,692			30,896			21,426			78,527			383,249			452,900			1,177,166
% of Leased Space		1	%		1	%		2	%		8	%		6	%		3	%		2	%		7	%		32	%		38	%		100	%
Annual Contractual   Rent (000’s) (1)	$	150		$	302		$	567		$	2,332		$	1,621		$	796		$	508		$	2,078		$	9,617		$	9,916		$	27,887
Annual Contractual   Rent/Sq. Ft. (1)	$	13.71		$	21.86		$	21.15		$	26.23		$	23.26		$	25.77		$	23.69		$	26.46		$	25.09		$	21.89		$	23.69
Wholly Owned:
Square Feet Expiring		7,721			3,039			3,204			61,159			36,594			15,422			2,275			54,561			362,301			404,673			950,949	(2)
% of Leased Space		1	%		0	%		0	%		6	%		4	%		2	%		0	%		6	%		38	%		43	%		100	%
Annual Contractual Rent (000’s) (1)	$	122		$	70		$	101		$	1,895		$	953		$	403		$	82		$	1,595		$	9,173		$	9,123		$	23,517
Annual Contractual Rent/Sq. Ft. (1)	$	15.75		$	22.90		$	31.45		$	30.99		$	26.05		$	26.10		$	36.00		$	29.23		$	25.32		$	22.54		$	24.73
Joint Venture:
Square Feet Expiring		30,883			99,352			215,300			262,845			306,871			136,971			170,097			216,455			190,909			432,876			2,062,559	(3)
% of Leased Space		2	%		5	%		10	%		13	%		15	%		7	%		8	%		10	%		9	%		21	%		100	%
Annual Contractual Rent (000’s) (1)	$	263		$	2,112		$	4,201		$	4,054		$	6,113		$	3,477		$	3,763		$	4,307		$	4,005		$	7,202		$	39,497
Annual Contractual Rent/Sq. Ft. (1)	$	8.50		$	21.26		$	19.51		$	15.42		$	19.92		$	25.39		$	22.12		$	19.90		$	20.98		$	16.64		$	19.15

(1)	Annual Contractual Rent excludes the operating expense reimbursement portion of the rent payable and any percentage rents due. The contractual rental rate shown is the estimated rate in the year of expiration.
(2)	Gross leasable area leased as of June 30, 2008 out of approximately 1,060,000 total gross leasable area.
(3)	Gross leasable area leased as of June 30, 2008 out of approximately 2,115,000 total gross leasable area.

 22

COUSINS PROPERTIES INCORPORATED
SQUARE FEET EXPIRING
As of June 30, 2008

INDUSTRIAL

As of June 30 2008, the Company’s operating industrial portfolio consisted of King Mill Distribution Park, Building 3, which is divided into two Phases (one of which is leased), Jefferson Mill Distribution Park, Building A, and Lakeside Ranch Business Park, Building 20. The leases provide for pass through of operating expenses and contractual rents which escalate over time. The leases expire as follows:

	2012			Total
Company’s % share of Joint Venture Properties:
Square Feet Expiring		668,671			668,671
% of Leased Space		100	%		100	%
Annual Contractual
Rent (000’s) (1)	$	2,063		$	2,063
Annual Contractual
Rent/Sq. Ft. (1)	$	3.09		$	3.09
Joint Venture:
Square Feet Expiring		773,021			773,021	(2)
% of Leased Space		100	%		100	%
Annual Contractual
Rent (000’s) (1)	$	2,368		$	2,368
Annual Contractual
Rent/Sq. Ft. (1)	$	3.06		$	3.06

(1)	Annual Contractual Rent excludes the operating expense reimbursement portion of the rent payable. The contractual rental rate shown is the estimated rate in the year of expiration.
(2)	Rentable square feet leased as of June 30, 2008 out of approximately 2,004,000 total rentable square feet.

 23

COUSINS PROPERTIES INCORPORATED
TOP 25 LARGEST TENANTS
BASED ON SQUARE FEET IN OPERATING PORTFOLIO
As of June 30, 2008

			Percentage of Total Portfolio			Average Remaining
	Tenant (1)	Product Type	at the Company’s Share (2)			Lease Term (Years)
1.	Bank of America	Office		7.1	%		7.5
2.	HD Supply	Industrial		4.7	%		3.8
3.	Snapper	Industrial		4.2	%		3.7
4.	American Cancer Society	Office		3.7	%		13.6
5.	Georgia Department of Transportation	Office		3.3	%		9.7
6.	AT&T	Office		1.8	%		1.3
7.	Georgia Lottery Corporation	Office		1.7	%		5.0
8.	Internap Network Services	Office		1.6	%		11.8
9.	AGL Services Company	Office		1.5	%		4.8
10.	Bombardier Aerospace Corporation	Office		1.3	%		4.7
11.	CB Richard Ellis	Office		1.3	%		9.0
12.	MedAssets Net Revenue Systems, LLC	Office		1.2	%		5.8
13.	Emory University	Office		1.0	%		8.5
14.	US South Communications	Office		1.0	%		2.6
15.	Citigroup	Office		0.9	%		10.3
16.	Northside Hospital	Office		0.9	%		3.5
17.	The Gap Inc.	Retail		0.8	%		3.1
18.	Turner Broadcasting System, Inc.	Office		0.8	%		2.9
19.	Barnes & Noble	Retail		0.8	%		7.5
20.	Sapient Corporation	Office		0.8	%		0.9
21.	Premiere Global Services, Inc.	Office		0.7	%		10.2
22.	KIDS II, Inc.	Office		0.7	%		7.5
23.	Inhibitex	Office		0.7	%		6.8
24.	AtheroGenics	Office		0.7	%		0.7
25.	Wachovia	Office		0.6	%		9.1
	Total leased square feet of Top 25 Largest Tenants			43.8	%		6.6

(1)	In some cases, the actual tenant may be an affiliate of the entity shown.
(2)	Percentages are based on square footage of operating properties only, and thus exclude properties under development, held for redevelopment and properties in the lease-up stage.

 24

COUSINS PROPERTIES INCORPORATED
INVENTORY OF LAND HELD FOR INVESTMENT OR FUTURE DEVELOPMENT
(excluding Building Pads (1))
As of June 30, 2008

		Company’s			Developable				Cost
		Ownership			Land Area		Year		Basis
Description and Location	Zoned Use	Interest			(Acres)		Acquired		($000)(2)
CONSOLIDATED
Round Rock/Austin, Texas Land
Austin, TX	Retail and Commercial		100	%		60		2005	$	17,115
King Mill Distribution Park
Suburban Atlanta, GA	Industrial		100	%(3)		132		2005		17,018
Jefferson Mill Business Park
Suburban Atlanta, GA	Industrial and Commercial		100	%(3)		184		2006		13,055
615 Peachtree Street
Atlanta, GA	Mixed Use		100	%		2		1996		10,164
Terminus
Atlanta, GA	Mixed Use		100	%		3		2005		10,833
Lakeside Ranch Business Park
Dallas, TX	Industrial and Commercial		(4	)		48		2006		9,286
Research Park V
Austin, TX	Commercial		100	%		6		1998		4,911
Lancaster
Dallas, TX	Industrial		(4	)		47		2007		4,845
Land Adjacent to The Avenue Forsyth
Suburban Atlanta, GA	Retail		100	%		11		2007		4,036
505 & 511 Peachtree Street
Atlanta, GA	Mixed Use		100	%		1		2004		3,389
North Point
Suburban Atlanta, GA	Mixed Use		100	%		37		1970-1985		3,133
Land Adjacent to The Avenue Carriage Crossing
Suburban Memphis, TN	Retail		100	%		2		2004		1,969
Land Adjacent to The Avenue Webb Gin
Suburban Atlanta, GA	Retail		100	%		2		2005		946
Wildwood Office Park
Suburban Atlanta, GA	Mixed Use		100	%		23		1971-1989		883
The Lakes at Cedar Grove
Suburban Atlanta, GA	Mixed Use		100	%		10		2002		—	(5)
TOTAL CONSOLIDATED LAND HELD FOR INVESTMENT OR FUTURE DEVELOPMENT									$	101,583

 25

COUSINS PROPERTIES INCORPORATED
INVENTORY OF LAND HELD FOR INVESTMENT OR FUTURE DEVELOPMENT
(excluding Building Pads (1))
As of June 30, 2008

		Company’s			Developable				Cost
		Ownership			Land Area		Year		Basis
Description and Location	Zoned Use	Interest			(Acres)		Acquired		($000)(2)
JOINT VENTURES
TEMCO ASSOCIATES TRACTS:
Paulding County
Suburban Atlanta, GA	Residential and Mixed Use		50	%		6,127		2005	$	14,206
Happy Valley
Suburban Atlanta, GA	Residential		50	%		228		2003		2,755
Seven Hills
Suburban Atlanta, GA	Residential and Mixed Use		50	%		85		2002-2005		—	(5)
CL REALTY, L.L.C. TRACTS:
Padre Island
Corpus Christi, TX	Residential and Mixed Use		50	%		15		2005		11,545
Summer Creek Ranch
Forth Worth, TX	Residential and Mixed Use		50	%		363		2002		—	(5)
Long Meadow Farms
Houston, TX	Residential and Mixed Use		19	%		156		2002		—	(5)
Waterford Park
Rosenberg, TX	Commercial		50	%		37		2005		—	(5)
Summer Lakes
Rosenberg, TX	Commercial		50	%		3		2003		—	(5)
Village Park
McKinney, TX	Residential		50	%		5		2003-2005		—	(5)
OTHER JOINT VENTURES:
Wildwood Office Park
Suburban Atlanta, GA	Office and Commercial		50	%		36		1971-1989		21,856
Handy Road Associates, LLC
Suburban Atlanta, GA	Large Lot Residential		50	%		1,187		2004		5,307
Total Acres						8,810

(1) The following properties include adjacent building pads. The aggregate cost of these pads is included in Operating Properties in the Company’s consolidated financial statements or the applicable joint venture’s financial statements. The square footage of potential office buildings which could be built on the land is estimated as follows:

	Ownership			Square
	Interest			Footage
Ten Peachtree Place		50.0	%		400,000
One Georgia Center		88.5	%		300,000
The Points at Waterview		100.0	%		60,000

(2)	Cost Basis reflects the Company’s basis for consolidated properties and the venture’s basis for joint venture properties.
(3)	A third party has the option to purchase certain tracts aggregating approximately 145 acres through June 30, 2011, under certain circumstances, and is obligated to purchase certain other tracts aggregating approximately 97 acres on or before December 31, 2009.
(4)	This project is owned through a joint venture with a third party who has contributed equity, but the equity ownership and the allocation of the results of operations and/or gain on sale most likely will be disproportionate.
(5)	These residential communities have adjacent land that may be sold to third parties in large tracts for residential, multi-family or commercial development. The basis of these tracts and the lot inventory are included on the Inventory of Residential Lots schedule.

 26

COUSINS PROPERTIES INCORPORATED
INVENTORY OF RESIDENTIAL LOTS
As of June 30, 2008

			Estimated		Estimated		Developed		Lots Sold		Lots Sold		Total		Remaining
	Year		Project Life		Total Lots to		Lots in		in Current		Year to		Lots		Lots to be		Cost
Description	Commenced		(In Years)		be Developed (1)		Inventory		Quarter		Date		Sold		Sold		Basis (2)
Cousins Real Estate Corporation (Consolidated)
The Lakes at Cedar Grove (3)		2001		10		906		73		—		—		702		204	$	5,039
Fulton County Suburban Atlanta, GA
Callaway Gardens (50% owned)(4)		2006		8		559		109		6		8		10		549		11,225
Harris County Pine Mountain, GA
Blalock Lakes		2006		9		399		94		1		1		16		383		34,781
Coweta County Newnan, GA
Longleaf at Callaway (5)		2002		7		138		16		1		1		123		15		489
Harris County Pine Mountain, GA
River’s Call		1999		11		107		14		—		—		93		14		645
East Cobb County Suburban Atlanta, GA
Total consolidated						2,109		306		8		10		944		1,165		52,179
Temco Associates (50% owned) (6)
Bentwater		1998		11		1,676		5		—		—		1,671		5		6
Paulding County Suburban Atlanta, GA
The Georgian (75% owned)		2003		14		1,385		260		1		1		288		1,097		22,729
Paulding County Suburban Atlanta, GA
Seven Hills		2003		9		1,077		264		5		7		634		443		15,571
Paulding County Suburban Atlanta, GA
Harris Place		2004		6		27		9		—		—		18		9		649
Paulding County Suburban Atlanta, GA
Total Temco						4,165		538		6		8		2,611		1,554		38,955
CL Realty, LLC (50% owned) (6)
Long Meadow Farms (37.5% owned)		2003		14		2,106		156		2		3		602		1,504		17,974
Fort Bend County Houston, TX
Summer Creek Ranch		2003		13		2,108		188		1		2		795		1,313		22,956
Tarrant County Fort Worth, TX
Bar C Ranch		2004		15		1,181		138		—		1		176		1,005		8,250
Tarrant County Fort Worth, TX
Summer Lakes		2003		10		1,144		177		31		31		325		819		7,461
Fort Bend County Rosenberg, TX

27 

COUSINS PROPERTIES INCORPORATED
INVENTORY OF RESIDENTIAL LOTS
As of June 30, 2008

			Estimated		Estimated			Developed			Lots Sold			Lots Sold			Total			Remaining
	Year		Project Life		Total Lots to			Lots in			in Current			Year to			Lots			Lots to be			Cost
Description	Commenced		(In Years)		be Developed (1)			Inventory			Quarter			Date			Sold			Sold			Basis (2)
CL Realty, LLC, continued
Southern Trails (80% owned)		2005		9		1,069			75			19			44			294			775		$	20,880
Brazoria County Pearland, TX
Village Park		2003		7		569			19			2			2			337			232			7,794
Collin County McKinney, TX
Waterford Park		2005		7		493			—			—			—			—			493			8,054
Fort Bend County Rosenberg, TX
Stonewall Estates (50% owned)		2005		7		381			126			10			10			124			257			7,491
Bexar County San Antonio, TX
Manatee River Plantation		2003		8		457			109			—			—			348			109			4,179
Manatee County Tampa, FL
Stillwater Canyon		2003		8		336			6			—			—			226			110			2,966
Dallas County DeSoto, TX
Creekside Oaks		2003		10		301			176			—			—			125			176			6,099
Manatee County Bradenton, FL
Blue Valley (25% owned)		2005		7		198			3			—			—			25			173			32,862
Cherokee & Fulton Counties Alpharetta, GA
Village Park North		2005		7		195			18			1			4			61			134			2,647
Collin County McKinney, TX
Bridle Path Estates		2004		8		87			—			—			—			—			87			3,606
Hillsborough County Tampa, FL
West Park		2005		8		85			—			—			—			21			64			5,226
Cobb County Suburban Atlanta, GA
Total CL Realty						10,710			1,191			66			97			3,459			7,251			158,445
Total						16,984			2,035			80			115			7,014			9,970		$	249,579
Company Share of Total						8,159			995			36			51			3,680			4,479		$	120,525
Company Weighted Average Ownership						48	%		49	%		45	%		44	%		52	%		45	%		48	%

(1)	This estimate represents the total projected development capacity for a development on both owned land and land expected to be purchased for further development. The numbers shown include lots currently developed or to be developed over time, based on management’s current estimates, and lots sold to date from inception of development.
(2)	Includes cost basis of land tracts as detailed on the Inventory of Land Held for Investment or Future Development schedule.
(3)	A third party has a participation in this project after certain thresholds are met.
(4)	Callaway Gardens is owned in a joint venture which is consolidated with the Company. The partner is entitled to a share of the profits after the Company’s capital is recovered.
(5)	Longleaf at Callaway lots are sold to a home building venture, of which the Company is a joint venture partner. As a result of this relationship, the Company recognizes profits when houses are built and sold, rather than at the time lots are sold, as is the case with the Company’s other residential developments. As of June 30, 2008, 119 houses have been sold by this venture.
(6)	The Company owns 50% of Temco Associates and CL Realty, LLC. See the Company’s Annual Report on Form 10-K for the year ended December 31, 2007 for a description of these entities.

 28

COUSINS PROPERTIES INCORPORATED
DEBT OUTSTANDING
AS OF JUNE 30, 2008

												Company’s		Company’s		Total		Weighted
	Total			Ownership			Maturity		Rate end of			Share		Share		Company		Average Years
Description (Interest Rate Base, if not fixed)	Debt			Percentage			Date		Quarter			Recourse		Non-Recourse(1)		Share		to Maturity
CONSOLIDATED DEBT
CREDIT FACILITY, UNSECURED (LIBOR + 0.75%-1.25%)	$	173,600			100	%		8/29/2011		3.55	%	$	173,600	$	—	$	173,600
TERM FACILITY, UNSECURED		100,000			100	%		8/29/2012		5.91	%(2)		100,000				100,000
TERMINUS 100 (INTEREST ONLY)		180,000			100	%		10/1/2012		6.13	%		5,000		175,000		180,000
THE AMERICAN CANCER SOCIETY CENTER (INTEREST ONLY UNTIL 10/1/2011) (3)		136,000			100	%		9/1/2017		6.45	%				136,000		136,000
SAN JOSE MARKETCENTER (INTEREST ONLY) (3)		83,300			100	%		12/1/2010		5.60	%				83,300		83,300
333/555 NORTH POINT CENTER EAST		28,488			100	%		11/1/2011		7.00	%		28,488				28,488
MERIDIAN MARK PLAZA		22,981			100	%		9/1/2010		8.27	%				22,981		22,981
100/200 NORTH POINT CENTER EAST (INTEREST ONLY UNTIL 7/1/2010)		25,000			100	%		6/1/2012		5.39	%				25,000		25,000
THE POINTS AT WATERVIEW		17,628			100	%		1/1/2016		5.66	%				17,628		17,628
600 UNIVERSITY PARK PLACE		12,870			100	%		8/10/2011		7.38	%				12,870		12,870
KING MILL PROJECT I (INTEREST ONLY)(4)		2,703			75	%		8/30/2008		9.00	%				2,703		2,703
KING MILL PROJECT I (INTEREST ONLY)(4)		2,047			75	%		6/26/2009		9.00	%				2,047		2,047
JEFFERSON MILL PROJECT I (INTEREST ONLY)(4)		2,615			75	%		9/13/2009		9.00	%				2,615		2,615
OTHER MISCELLANEOUS NOTES		274			100	%	VARIOUS		VARIOUS				222		52		274
TOTAL CONSOLIDATED		787,506	(5)							5.62	%		307,310		480,196		787,506		4.6
UNCONSOLIDATED DEBT
CF MURFREESBORO ASSOCIATES (LIBOR +1.15%) ($131MM CONSTRUCTION LOAN)		103,374			50	%		7/20/2010		3.75	%		20,675		31,012		51,687
EMORY CRAWFORD LONG MEDICAL OFFICE TOWER		51,116			50	%		6/1/2013		5.90	%				25,558		25,558
THE AVENUE EAST COBB		37,495			11.5	%		8/1/2010		8.39	%				4,312		4,312
TEN PEACHTREE PLACE		28,125			50	%		4/1/2015		5.39	%				14,063		14,063
HANDY ROAD ASSOCIATES (PRIME +0.5%)		3,204			50	%		3/31/2010		5.50	%				1,602		1,602
PINE MOUNTAIN BUILDERS (PRIME)		2,700			50	%		3/27/2009		5.00	%				1,350		1,350
TERMINUS 200 LLC (LIBOR + 1.65%) ($138MM CONSTRUCTION LOAN)		13,023			50	%		6/6/2011		4.25	%		6,512		—		6,512
GLENMORE GARDEN VILLAS (LIBOR + 2.25%) ($13.5MM CONSTRUCTION LOANS)		5,225			50	%		10/3/2010		4.85	%		2,613		—		2,613
TEMCO ASSOCIATES, LLC:
BENTWATER LINKS		3,259			50	%		1/22/2009		7.98	%				1,630		1,630
BENTWATER LINKS, EQUIPMENT NOTE		40			50	%		1/15/2009		7.00	%				20		20
CL REALTY, L.L.C.:
SUMMER LAKES (PRIME + 1.5%)		2,041			50	%		2/22/2009		6.50	%				1,021		1,021
VILLAGE PARK (LIBOR + 2.25%)		2,482			50	%		3/28/2009		4.85	%				745		745
SOUTHERN TRAILS (LIBOR + 0.25%) ($13MM CONSTRUCTION LINE)		—			40	%		1/30/2009		2.85	%				—		—
WATERFORD PARK (PRIME + 1.5%)		1,041			50	%		5/8/2009		6.50	%				521		521
TOTAL UNCONSOLIDATED		253,125								4.83	%		29,800		81,834		111,634		3.3
TOTAL ADJUSTED DEBT	$	1,040,631	(5)							5.52	%	$	337,110	$	562,030	$	899,140		4.4
INVESTMENT ENTITY DEBT (6)
GATEWAY VILLAGE	$	128,205			50	%		12/1/2016		6.41	%			$	64,103	$	64,103
CL REALTY, L.L.C.:
BLUE VALLEY (PRIME)		22,960			12.5	%		9/30/2009		5.00	%				2,870		2,870
LONG MEADOW FARMS (PRIME )		3,369			18.75	%		9/8/2009		5.00	%				632		632
STONEWALL ESTATES (PRIME)		4,561			25.0	%		5/31/2010		5.00	%				1,140		1,140
TOTAL INVESTMENT ENTITY DEBT		159,095								6.34	%		—		68,745		68,745		8.0
TOTAL	$	1,199,726	(5)							5.58	%	$	337,110	$	630,775	$	967,885		4.7

(1)	Subject to customary carve-outs for non-recourse loans.
(2)	The interest rate on this instrument is LIBOR plus .70% to 1.20%. The Company entered into an interest rate swap that effectively fixes the underlying LIBOR rate at 5.01%. Rate at the end of the quarter represents stated rate of LIBOR plus .90% plus interest rate swap differential.
(3)	The real estate and other assets of these properties are restricted under loan agreements such that these assets are not available to settle other debts of the Company.
(4)	Represents a secured note payable with Weeks Properties CW Holdings, LLC, the Company’s 25% partner in the development of King Mill Project I and Jefferson Mill Project I.
(5)	Subsequent to quarter end, the Company entered into an $18.35 million mortgage loan secured by its Lakeshore Park Plaza office building. This debt matures 8/1/2012, bears interest at 5.89% and is non-recourse except for customary carve-outs.
(6)	An investment entity is defined as an entity where the Company (1) has a fixed commitment to the venture, (2) has no direct or contingent liability for any indebtedness of the venture, except for customary carve-outs, which are commonly included in non-recourse financings and (3) is not the managing member of the venture. Investment entity debt is not included in any of the financial covenant calculations in the Company’s credit facility.

 29

COUSINS PROPERTIES INCORPORATED
SAME PROPERTY GROWTH
First Quarter 2008 Compared to Second Quarter 2008
(in thousands, except percentages)

	Same Property																									Non-Same						All Properties
	Office									Retail							Total
	Q1 2008			Q2 2008			% Change			Q1 2008		Q2 2008		% Change			Q1 2008			Q2 2008			% Change			Q1 2008			Q2 2008			Q1 2008			Q2 2008
RENTAL PROPERTY REVENUES	$	28,163		$	28,999					$	20,005	$	20,185				$	48,168		$	49,184					$	14,199		$	15,673		$	62,367		$	64,857
RENTAL PROPERTY OPERATING EXPENSES		11,431			11,603						5,464		6,337					16,895			17,940						5,377			6,147			22,272			24,087
RENTAL PROPERTY REVENUES LESS OPERATING EXPENSES	$	16,732		$	17,396			4.0	%	$	14,541	$	13,848		-4.8	%	$	31,273		$	31,244			-0.1	%	$	8,822		$	9,526		$	40,095		$	40,770
RENTAL PROPERTY REVENUES	$	28,163		$	28,999					$	20,005	$	20,185				$	48,168		$	49,184					$	14,199		$	15,673		$	62,367		$	64,857
Less: STRAIGHT-LINE RENTS		309			108						321		299					630			407						2,584			2,251			3,214			2,658
AMORTIZATION OF LEASE INDUCEMENTS		(47	)		(47	)					21		21					(26	)		(26	)					(119	)		(189	)		(145	)		(215	)
AMORTIZATION OF ACQUIRED ABOVE MARKET LEASES		4			4						0		0					4			4						(987	)		(816	)		(983	)		(812	)
CASH BASIS RENTAL PROPERTY REVENUES (1)		27,897			28,934						19,663		19,865					47,560			48,799						12,721			14,427			60,281			63,226
RENTAL PROPERTY OPERATING EXPENSES		11,431			11,603						5,464		6,337					16,895			17,940						5,377			6,147			22,272			24,087
CASH BASIS RENTAL PROPERTY REVENUES LESS OPERATING EXPENSES	$	16,466		$	17,331			5.3	%	$	14,199	$	13,528		-4.7	%	$	30,665		$	30,859			0.6	%	$	7,344		$	8,280		$	38,009		$	39,139
RECONCILIATION OF RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES
RENTAL PROPERTY REVENUES	$	28,163		$	28,999					$	20,005	$	20,185				$	48,168		$	49,184					$	14,199		$	15,673		$	62,367		$	64,857
RENTAL PROPERTY OPERATING EXPENSES		11,431			11,603						5,464		6,337					16,895			17,940						5,377			6,147			22,272			24,087
	$	16,732		$	17,396					$	14,541	$	13,848				$	31,273		$	31,244					$	8,822		$	9,526		$	40,095		$	40,770
RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES:
OPERATING PROPERTIES (2)																																$	20,635		$	21,914
DISCONTINUED OPERATIONS (3)																																	—			36
SHARE OF UNCONSOLIDATED JOINT VENTURES (4)																																	3,520			3,568
COMPANY’S’ SHARE OF RENTAL REVENUES LESS RENTAL PROPERTY EXPENSES																																	24,155			25,518
PARTNERS’ SHARE OF UNCONSOLIDATED JVs (5)																																	15,940			15,252
TOTAL RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES																																$	40,095		$	40,770

(1)	Cash Basis Rental Property Revenues is Rental Property Revenues of the Company and its unconsolidated joint ventures. It excludes termination fees, inter-company activities, straight-line rents and amortization of acquired above market leases.
(2)	See reconciliation (D) of Reconciliations of Non-GAAP Financial Measures.
(3)	See reconciliation (E) of Reconciliations of Non-GAAP Financial Measures.
(4)	See reconciliation (F) of Reconciliations of Non-GAAP Financial Measures.
(5)	Same property information includes unconsolidated joint venture properties at 100%.

 30

COUSINS PROPERTIES INCORPORATED
SAME PROPERTY GROWTH
Six Months 2008 Compared to Six Months 2007
(in thousands, except percentages)

	Same Property
	Office									Retail									Total									Non-Same						All Properties
	6M 2007			6M 2008			% Change			6M 2007			6M 2008			% Change			6M 2007			6M 2008			% Change			6M 2007			6M 2008			6M 2007			6M 2008
RENTAL PROPERTY REVENUES	$	51,639		$	57,163					$	30,299		$	31,002					$	81,938		$	88,165					$	18,876		$	39,061		$	100,814		$	127,226
RENTAL PROPERTY OPERATING EXPENSES		20,798			23,035						8,361			9,389						29,159			32,424						7,001			13,937			36,160			46,361
RENTAL PROPERTY REVENUES LESS OPERATING EXPENSES	$	30,841		$	34,128			10.7	%	$	21,938		$	21,613			-1.5	%	$	52,779		$	55,741			5.6	%	$	11,875		$	25,124		$	64,654		$	80,865
RENTAL PROPERTY REVENUES	$	51,639		$	57,163					$	30,299		$	31,002					$	81,938		$	88,165					$	18,876		$	39,061		$	100,814		$	127,226
Less: STRAIGHT-LINE RENTS		1,004			417						450			288						1,454			705						1,162			5,166			2,616			5,871
AMORTIZATION OF LEASE INDUCEMENTS		(10	)		(93	)					(43	)		(22	)					(53	)		(115	)					(16	)		(222	)		(69	)		(337	)
AMORTIZATION OF ACQUIRED ABOVE MARKET LEASES		(246	)		8						0			0						(246	)		8						(2,256	)		(1,804	)		(2,502	)		(1,796	)
CASH BASIS RENTAL PROPERTY REVENUES (1)		50,891			56,831						29,892			30,736						80,783			87,567						19,986			35,921			100,769			123,488
RENTAL PROPERTY OPERATING EXPENSES		20,798			23,035						8,361			9,389						29,159			32,424						7,001			13,937			36,160			46,361
CASH BASIS RENTAL PROPERTY REVENUES LESS OPERATING EXPENSES	$	30,093		$	33,796			12.3	%	$	21,531		$	21,347			-0.9	%	$	51,624		$	55,143			6.8	%	$	12,985		$	21,984		$	64,609		$	77,127
RECONCILIATION OF RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES
RENTAL PROPERTY REVENUES	$	51,639		$	57,163					$	30,299		$	31,002					$	81,938		$	88,165					$	18,876		$	39,061		$	100,814		$	127,226
RENTAL PROPERTY OPERATING EXPENSES		20,798			23,035						8,361			9,389						29,159			32,424						7,001			13,937			36,160			46,361
	$	30,841		$	34,128					$	21,938		$	21,613					$	52,779		$	55,741					$	11,875		$	25,124		$	64,654		$	80,865
RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES:
OPERATING PROPERTIES (2)																																		$	28,271		$	42,549
DISCONTINUED OPERATIONS (3)																																			442			36
SHARE OF UNCONSOLIDATED JOINT VENTURES (4)																																			5,700			7,088
COMPANY’S’ SHARE OF RENTAL REVENUES LESS RENTAL PROPERTY EXPENSES																																			34,413			49,673
PARTNERS’ SHARE OF UNCONSOLIDATED JVs (5)																																			30,241			31,192
TOTAL RENTAL PROPERTY REVENUES LESS RENTAL
PROPERTY OPERATING EXPENSES																																		$	64,654		$	80,865

(1)	Cash Basis Rental Property Revenues is Rental Property Revenues of the Company and its unconsolidated joint ventures. It excludes termination fees, inter-company activities, straight-line rents and amortization of acquired above market leases.
(2)	See reconciliation (D) of Reconciliations of Non-GAAP Financial Measures.
(3)	See reconciliation (E) of Reconciliations of Non-GAAP Financial Measures.
(4)	See reconciliation (F) of Reconciliations of Non-GAAP Financial Measures.
(5)	Same property information includes unconsolidated joint venture properties at 100%.

 31

COUSINS PROPERTIES INCORPORATED
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
($ in thousands)

RECONCILIATIONS	2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
(A) ADJUSTED DEBT:
CONSOLIDATED DEBT		302,286			467,516			315,149			367,681			477,971			557,557			676,189			676,189			793,882			787,506			787,506
SHARE OF UNCONSOLIDATED JOINT VENTURE DEBT		135,764			148,129			172,085			182,253			198,544			205,424			170,166			170,166			173,950			180,379			180,379
TOTAL DEBT INCLUDING SHARE OF JV’S		438,050			615,645			487,234			549,934			676,515			762,981			846,355			846,355			967,832			967,885			967,885
SHARE OF INVESTMENT ENTITY DEBT		(87,704	)		(101,085	)		(110,718	)		(113,925	)		(117,699	)		(117,762	)		(72,873	)		(72,873	)		(69,627	)		(68,745	)		(68,745	)
ADJUSTED DEBT		350,346			514,560			376,516			436,009			558,816			645,219			773,482			773,482			898,205			899,140			899,140
RECOURSE DEBT		50,238			196,824			226,855			282,264			394,356			340,480			205,658			205,658			328,106			337,110			337,110
NON-RECOURSE DEBT		305,677			317,736			149,661			153,745			164,460			304,738			567,824			567,824			570,099			562,030			562,030
ADJUSTED DEBT		355,915			514,560			376,516			436,009			558,816			645,218			773,482			773,482			898,205			899,140			899,140
(B) CONSOLIDATED INTEREST EXPENSE (INCLUDING SHARE OF JOINT VENTURES):
CONSOLIDATED INTEREST EXPENSE		14,623			9,094			11,119			0			531			3,265			5,020			8,816			6,275			7,367			13,642
DISCONTINUED OPERATIONS INTEREST EXPENSE		5,870			0			0			0			0			0			0			0			0			0			0
SHARE OF JOINT VENTURE INTEREST EXPENSE		11,163			2,814			3,534			714			711			824			1,129			3,378			1,125			1,055			2,180
CONSOLIDATED INTEREST EXPENSE (INC SHARE OF JV’S)		31,656			11,908			14,653			714			1,242			4,089			6,149			12,194			7,400			8,422			15,822
(C) FIXED CHARGES:
CONSOLIDATED INTEREST EXPENSE (INCLUDING SHARE OF JV’S)		31,656			11,908			14,653			714			1,242			4,089			6,149			12,194			7,400			8,422			15,822
LESS INVESTMENT ENTITY DEBT INTEREST EXPENSE		(124	)		(240	)		(231	)		0			0			0			0			0			0			0			0
PRINCIPAL PAYMENTS:
CONSOLIDATED		6,560			5,361			3,926			628			516			536			529			2,209			519			471			990
SHARE OF JOINT VENTURES		5,257			2,793			5,226			1,630			818			225			1,467			4,140			805			750			1,555
GROUND LEASE PAYMENTS:
CONSOLIDATED		493			671			500			22			22			22			22			88			21			23			44
SHARE OF JOINT VENTURES		12			12			15			6			6			6			6			24			6			9			15
TOTAL FIXED CHARGES (excluding Preferred Dividends)		43,854			20,505			24,089			3,000			2,604			4,878			8,173			18,655			8,751			9,675			18,426
PREFERRED STOCK DIVIDENDS		8,042			15,250			15,250			3,813			3,812			3,813			3,812			15,250			3,813			3,812			7,625
TOTAL FIXED CHARGES (including Preferred Dividends)		51,896			35,755			39,339			6,813			6,416			8,691			11,985			33,905			12,564			13,487			26,051
(D) RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES:
RENTAL PROPERTY REVENUES		81,928			76,685			88,996			24,130			25,499			30,664			32,376			112,669			34,313			36,706			71,019
RENTAL PROPERTY OPERATING EXPENSES		(27,592	)		(29,328	)		(35,243	)		(10,017	)		(11,341	)		(12,573	)		(13,265	)		(47,196	)		(13,678	)		(14,792	)		(28,470	)
RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES		54,336			47,357			53,753			14,113			14,158			18,091			19,111			65,473			20,635			21,914			42,549
(E) INCOME FROM DISCONTINUED OPERATIONS:
RENTAL PROPERTY REVENUES		40,477			23,849			19,802			411			358			87			(38	)		818			0			0			0
LEASE TERMINATION FEES & OTHER INCOME		253			302			3,155			47			14			11			34			106			0			0			0
RENTAL PROPERTY OPERATING EXPENSES		(14,150	)		(10,738	)		(8,969	)		(209	)		(179	)		(67	)		(4	)		(459	)		0			36			36
TOTAL RENTAL PROPERTY REVENUES LESS RENTAL PROPERTY OPERATING EXPENSES		26,580			13,413			13,988			249			193			31			(8	)		465			0			36			36
INTEREST EXPENSE		(5,870	)		0			0			0			0			0			0			0			0			0			0
OTHER, NET		0			0			0			0			0			0			0			0			0			0			0
MINORITY INTEREST EXPENSE		0			0			0			0			0			0			0			0			0			0			0
MARK-TO-MARKET DEBT ADJUSTMENT		(605	)		0			0			0			0			0			0			0			0			0			0
PROVISION FOR INCOME TAXES		0			(125	)		0			0			0			0			0			0			0			0			0
FUNDS FROM OPERATIONS		20,105			13,288			13,988			249			193			31			(8	)		465			0			36			36
DEPRECIATION AND AMORTIZATION OF REAL ESTATE		(12,776	)		(9,636	)		(12,186	)		(165	)		13			0			0			(152	)		0			0			0
INCOME FROM DISCONTINUED OPERATIONS		7,329			3,652			1,802			84			206			31			(8	)		313			0			36			36

 32

COUSINS PROPERTIES INCORPORATED
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
($ in thousands)

	RECONCILIATIONS	2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
(F)	SHARE OF INCOME FROM UNCONSOLIDATED JOINT VENTURES:
	CP VENTURE TWO LLC		1,009			1,055			1,791			313			302			1,520			266			2,401			288			253			541
	CP VENTURE FIVE LLC		0			0			1,831			311			352			258			328			1,249			345			302			647
	TEN PEACHTREE PLACE ASSOCIATES		399			378			373			25			62			29			58			174			59			64			123
	CSC ASSOCIATES		11,486			10,962			142,108			(25	)		(11	)		16			(5	)		(25	)		6			1			7
	GATEWAY VILLAGE		1,176			1,158			1,176			294			294			294			294			1,176			294			294			588
	CRAWFORD LONG — CPI		95			418			539			168			184			196			147			695			212			205			417
	AVENUE MURFREESBORO		0			0			0			0			0			41			(243	)		(202	)		(37	)		12			(25	)
	905 JUNIPER, LLC		0			514			0			0			0			0			0			0			0			0			0
	50 BISCAYNE, LLC		0			6,668			10,343			2,424			1,804			(3,345	)		(1,068	)		(185	)		650			(227	)		423
	TEMCO ASSOCIATES		5,107			3,931			7,388			(27	)		223			85			(120	)		161			(141	)		243			102
	CL REALTY, LLC		3,237			8,902			6,492			277			918			22			(218	)		999			1,167			1,041			2,208
	PINE MOUNTAIN BUILDERS, LLC		398			725			739			(5	)		18			(7	)		35			41			6			43			49
	HANDY ROAD ASSOCIATES, LLC		0			0			(293	)		(43	)		(41	)		(43	)		(48	)		(175	)		(30	)		(18	)		(48	)
	VERDE GROUP, LLC		0			(984	)		(681	)		0			0			0			0			0			0			0			0
	OTHER		181,587			7,228			1,276			(3	)		(3	)		36			(241	)		(213	)		(2	)		26			24
	NET INCOME (INCOME FROM UNCONSOLIDATED JOINT VENTURES)		204,494			40,955			173,083			3,709			4,102			(898	)		(815	)		6,096			2,817			2,239			5,056
(G)	CONSOLIDATED RESIDENTIAL AND OUTPARCEL SALES AND COST OF SALES:
	RESIDENTIAL LOT AND OUTPARCEL SALES — WHOLLY OWNED:
	OUTPARCEL SALES		1,400			7,004			6,788			0			0			1,700			1,300			3,000			1,600			0			1,600
	LOT SALES		15,300			14,929			10,497			1,426			1,476			2,851			1,196			6,949			144			1,255			1,399
	TOTAL RESIDENTIAL AND OUTPARCEL SALES		16,700			21,933			17,285			1,426			1,476			4,551			2,496			9,949			1,744			1,255			2,999
	RESIDENTIAL LOT AND OUTPARCEL COST OF SALES — WHOLLY-OWNED:
	OUTPARCEL COST OF SALES		929			5,637			5,132			0			0			932			1,051			1,983			845			(25	)		820
	LOT COST OF SALES		11,078			10,767			7,620			1,208			1,132			2,411			1,074			5,825			101			857			958
	TOTAL RESIDENTIAL AND OUTPARCEL COST OF SALES		12,007			16,404			12,752			1,208			1,132			3,343			2,125			7,808			946			832			1,778
	OTHER INVESTMENT PROPERTY INCLUDED IN GAIN ON SALE OF INVESTMENT PROPERTIES		0			0			11,867			8,185			0			(1	)		0			8,184			0			0			0
	TRACT SALES INCLUDED IN GAIN ON SALE OF INVESTMENT PROPERTIES		29,627			15,483			2,481			4,355			0			0			622			4,977			3,736			4,741			8,477
	OUTPARCEL SALES, TRACT SALES, RESIDENTIAL LOT SALES AND OTHER INVESTMENT PROPERTY SALES, NET -WHOLLY OWNED		34,320			21,012			18,881			12,758			344			1,207			993			15,302			4,534			5,164			9,698
	SUMMARY:
	OUTPARCEL SALES NET OF COS — WHOLLY OWNED		471			1,367			1,656			0			0			768			249			1,017			755			25			780
	OTHER INVESTMENT PROPERTY INCLUDED IN GAIN ON SALE OF INVESTMENT PROPERTIES		0			0			11,867			8,185			0			(1	)		0			8,184			0			0			0
	TRACT SALES NET OF COS — WHOLLY OWNED		29,627			15,483			2,481			4,355			0			0			622			4,977			3,736			4,741			8,477
	LOT SALES NET OF COS — WHOLLY OWNED		4,222			4,162			2,877			218			344			440			122			1,124			43			398			441
	TOTAL WHOLLY OWNED SALES, NET		34,320			21,012			18,881			12,758			344			1,207			993			15,302			4,534			5,164			9,698
	SHARE OF UNCONSOLIDATED JOINT VENTURES RESIDENTIAL LOT AND TRACT SALES AND COST OF SALES:
	RESIDENTIAL LOT AND TRACT SALES — JOINT VENTURES:
	LOT SALES		32,116			41,232			38,676			1,715			3,465			1,292			2,246			8,718			1,074			1,059			2,133
	TRACT SALES		3,434			6,218			14,235			0			855			0			500			1,355			0			931			931
	TOTAL RESIDENTIAL LOT AND TRACT SALES		35,550			47,450			52,911			1,715			4,320			1,292			2,746			10,073			1,074			1,990			3,064
	RESIDENTIAL LOT AND TRACT COST OF SALES — JOINT VENTURES:
	LOT COST OF SALES		25,123			30,753			30,459			1,309			2,707			884			1,996			6,896			953			822			1,775
	TRACT COST OF SALES		1,236			2,828			7,560			0			392			0			312			704			0			0			0
	TOTAL RESIDENTIAL LOT AND TRACT COST OF SALES		26,359			33,581			38,019			1,309			3,099			884			2,308			7,600			953			822			1,775
	RESIDENTIAL LOT SALES AND TRACT SALES, NET -JOINT VENTURES		9,191			13,869			14,892			406			1,221			408			438			2,473			121			1,168			1,289
	SHARE OF UNCONSOLIDATED JOINT VENTURES:
	LOT SALES LESS COST OF SALES		6,993			10,479			8,217			406			758			408			250			1,822			121			237			358
	TRACT SALES LESS COST OF SALES		2,198			3,390			6,675			0			463			0			188			651			0			931			931
	INTEREST EXPENSE		(135	)		(152	)		(284	)		(35	)		(35	)		(83	)		(85	)		(238	)		(101	)		(85	)		(186	)
	OTHER		(226	)		(528	)		(381	)		(141	)		(38	)		(237	)		(671	)		(1,087	)		1,014			258			1,272
	DEPRECIATION & AMORTIZATION OF NON-REAL ESTATE ASSETS		0			(62	)		0			0			0			0			0			0			(21	)		(21	)		(42	)
	RESIDENTIAL LOT AND TRACT SALES, NET — SHARE OF JOINT VENTURES		8,830			13,127			14,227			230			1,148			88			(318	)		1,148			1,013			1,320			2,333
	TOTAL RESIDENTIAL, OUTPARCEL AND TRACT FFO		43,150			34,139			33,108			12,988			1,492			1,295			675			16,450			5,547			6,484			12,031

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COUSINS PROPERTIES INCORPORATED
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
($ in thousands)

	RECONCILIATIONS	2004			2005			2006			2007 1st			2007 2nd			2007 3rd			2007 4th			2007 YTD			2008 1st			2008 2nd			2008 YTD
(H)	2ND GENERATION TI & LEASING COSTS & BUILDING CAPEX:
	TOTAL BY TYPE:
	SECOND GENERATION LEASING RELATED COSTS		19,210			8,422			12,355			6,933			6,260			3,794			1,157			18,144			5,573			5,380			10,953
	SECOND GENERATION BUILDING IMPROVEMENTS		48			1,017			1,066			(37	)		195			293			383			834			1,363			2,995			4,358
			19,258			9,439			13,421			6,896			6,455			4,087			1,540			18,978			6,936			8,375			15,311
	TOTAL BY SEGMENT:
	OFFICE:
	SECOND GENERATION LEASING RELATED COSTS		18,882			7,820			9,332			6,919			6,260			3,794			1,157			18,130			5,573			5,380			10,953
	SECOND GENERATION BUILDING IMPROVEMENTS		(30	)		1,015			1,066			(37	)		195			293			383			834			1,363			2,995			4,358
			18,852			8,835			10,398			6,882			6,455			4,087			1,540			18,964			6,936			8,375			15,311
	RETAIL:
	SECOND GENERATION LEASING RELATED COSTS		328			602			3,023			15			0			0			0			15			0			0			0
	SECOND GENERATION BUILDING IMPROVEMENTS		78			2			0			0			0			0			0			0			0			0			0
			406			604			3,023			15			0			0			0			15			0			0			0
	TOTAL 2ND GENERATION TI & LEASING & BUILDING CAPEX		19,258			9,439			13,421			6,897			6,455			4,087			1,540			18,979			6,936			8,375			15,311
(I)	CONSOLIDATED MULTI-FAMILY SALES AND COST OF SALES:
	MULTI-FAMILY SALES — CONSOLIDATED:
	MULTI-FAMILY SALES		0			11,233			23,134			0			0			20			0			20			0			0			0
	MULTI-FAMILY COST OF SALES		0			(9,405	)		(19,403	)		0			47			(23	)		100			124			0			0			0
	MULTI-FAMILY SALES — CONSOLIDATED, NET		0			1,828			3,731			0			47			(3	)		100			144			0			0			0
	MULTI-FAMILY SALES — JOINT VENTURES:
	MULTI-FAMILY SALES		0			26,127			56,734			9,696			9,199			(11,780	)		(7,181	)		(66	)		3,321			6,171			9,492
	MULTI-FAMILY COST OF SALES		0			(19,098	)		(46,562	)		(7,407	)		(7,523	)		8,320			3,349			(3,261	)		(3,122	)		(5,976	)		(9,098	)
	OTHER, NET		0			153			171			135			128			115			2,764			3,142			451			(422	)		29
	MULTI-FAMILY SALES — SHARE OF JOINT VENTURES, NET		0			7,182			10,343			2,424			1,804			(3,345	)		(1,068	)		(185	)		650			(227	)		423
	TOTAL MULTI-FAMILY FFO		0			9,010			14,074			2,424			1,851			(3,348	)		(968	)		(41	)		650			(227	)		423

 34

COUSINS PROPERTIES INCORPORATED
DISCUSSION OF NON-GAAP FINANCIAL MEASURES

     The Company uses non-GAAP financial measures in its filings and other public disclosures. These non-GAAP financial measures are defined below. For oral presentations, reconciliations to the most directly comparable GAAP measure may be accessed through the “Quarterly Disclosures” link and the “Supplemental SEC Information” link on the Investor Relations page of the Company’s Web site, www.cousinsproperties.com.

     The following is a list of non-GAAP financial measures that the Company commonly uses and a description for each measure of (1) the reasons that management believes the measure is useful to investors and (2) if material, any additional uses of the measure by management of the Company.

     “2^nd Generation Tenant Improvements and Leasing Costs and Building Capital Expenditures” is used in the valuation and analysis of real estate. Because the Company develops and acquires properties, in addition to operating existing properties, its property acquisition and development expenditures included in the Statements of Cash Flows includes both initial costs associated with developing and acquiring investment assets and those expenditures necessary for operating and maintaining existing properties at historical performance levels. The latter costs are referred to as second generation costs and are useful in evaluating the economic performance of the asset and in valuing the asset. Accordingly, the Company discloses the portion of its property acquisition and development expenditures that pertain to second generation space in its operating properties.

     “Adjusted Debt” is defined as the Company’s debt and the Company’s pro rata share of unconsolidated joint venture debt, excluding debt related to Investment Entities. Investment Entities are unconsolidated joint ventures where the Company (1) has a fixed commitment to the venture, (2) has no direct or contingent liability for any indebtedness of the venture, except for customary carve-outs, which are commonly included in non-recourse financings, and (3) is not the managing member of the venture. Investment Entity debt is not included in any of the financial covenant calculations in the Company’s credit facility. Adjusted Debt is useful as a measure of the Company’s ability to meet its debt obligations and to borrow additional funds.

     “Fixed Charge Coverage Ratio” is defined as FFO plus those fixed charges which have been expensed in calculating FFO (“FFO Plus Fixed Charges”), divided by fixed charges. Fixed charges is the sum of interest expense, net of amounts capitalized, principal amortization under mortgage notes payable, ground lease rental payments and preferred stock dividends. Fixed charges include the Company’s share of fixed charges for unconsolidated joint ventures, with Investment Entity expenses excluded, as discussed above. This measure is useful as a measure of the Company’s ability to meet its debt obligations and to raise additional debt or capital.

     “Funds From Operations Available to Common Stockholders” (“FFO”) is a supplemental operating performance measure used in the real estate industry. For periods other than 2005, the Company calculated FFO in

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COUSINS PROPERTIES INCORPORATED
DISCUSSION OF NON-GAAP FINANCIAL MEASURES

accordance with the National Association of Real Estate Investment Trusts’ (“NAREIT”) definition of FFO, which is net income available to common stockholders (computed in accordance with accounting principles generally accepted in the United States (“GAAP”)), excluding extraordinary items, cumulative effect of change in accounting principle and gains or losses from sales of depreciable property, plus depreciation and amortization of real estate assets, and after adjustments for unconsolidated partnerships and joint ventures to reflect FFO on the same basis. For the 2005 period, the Company modified its NAREIT defined calculations of FFO to include $5.0 million in income from a real estate venture related to the sale of real estate. The Company included this amount in FFO because, based on the nature of the investment, the Company believes that, for FFO purposes, this income should not be considered gain on the sale of depreciable property.

     FFO is used by industry analysts and investors as a supplemental measure of an equity REIT’s operating performance. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, many industry investors and analysts have considered presentation of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. Thus, NAREIT created FFO as a supplemental measure of REIT operating performance that excludes historical cost depreciation, among other items, from GAAP net income. Management believes that the use of FFO, combined with the required primary GAAP presentations, has been fundamentally beneficial, improving the understanding of operating results of REITs among the investing public and making comparisons of REIT operating results more meaningful. Company management evaluates the operating performance of its reportable segments and of its divisions in part based on FFO. Additionally, the Company uses FFO and FFO per share, along with other measures, to assess performance in connection with evaluating and granting incentive compensation to its officers and other key employees.

     “Funds From Operations, Excluding Loss on Extinguishment of Debt” is FFO adjusted to exclude loss on extinguishment of debt, which the Company has presented in the year ended December 31, 2006 in addition to NAREIT-defined FFO. During the second quarter of 2006, the Company contributed The Avenue East Cobb to CP Venture Five, LLC, one of the ventures formed with the Prudential Insurance Company of America. The Avenue East Cobb was encumbered by a mortgage note payable, which was marked-to-market upon contribution to the venture. The Company recorded 88.5%, the extent of outside ownership in the venture, of the debt mark-to-market adjustment, approximately $2.8 million, as a loss on extinguishment of debt. During the third quarter of 2006, in conjunction with the sale of Bank of America Plaza, CSC Associates, L.P. (“CSC”) repaid the non-recourse mortgage note payable on the building. The Company was obligated to CSC to fund this repayment and an additional defeasance charge. The defeasance charge and the unamortized balance of closing costs related to the origination of the note, approximately

 36

COUSINS PROPERTIES INCORPORATED
DISCUSSION OF NON-GAAP FINANCIAL MEASURES

$15.4 million in the aggregate, were recorded as loss on extinguishment of debt in the third quarter of 2006. NAREIT-defined FFO includes losses on extinguishment of debt in the FFO calculation. The Company believes the charges in the second and third quarters of 2006 relate to the sale or exchange of real estate and should be excluded from FFO to provide the user with a clearer picture of ongoing funds from operations.

     “Interest Expense Coverage Ratio” is defined as the ratio of FFO plus consolidated interest expense (“FFO Before Interest”) divided by consolidated interest expense. Consolidated interest expense is the sum of the Company’s interest expense plus its share of interest expense for unconsolidated joint ventures. The Company’s share of interest expense for Investment Entities has been excluded in accordance with the discussion under “Adjusted Debt” above. This measure is useful as a measure of the Company’s ability to meet its debt obligations and to borrow additional funds.

     “Rental Property Revenues Less Rental Property Operating Expenses” is used by industry analysts, investors and Company management to measure operating performance of the Company’s properties. Like FFO, Rental Property Revenues Less Rental Property Operating Expenses excludes certain components from net income in order to provide results that are more closely related to a property’s results of operations. Certain items, such as interest expense, while included in FFO and net income, do not affect the operating performance of a real estate asset and are often incurred at the corporate level as opposed to the property level. As a result, management uses only those income and expense items that are incurred at the property level to evaluate a property’s performance. Depreciation and amortization are also excluded from this item for the reasons described under FFO above. Additionally, appraisals of real estate are based on the value of an income stream before interest and depreciation.

     “Same-Property Growth” represents the percentage change in Rental Property Revenues less rental property operating expenses and in Cash Basis Rental Property Revenues less rental property operating expenses for Same Properties. Rental Property Revenues is defined as rental property revenues of the Company and its unconsolidated joint ventures, excluding lease termination fees, which are generally one-time payments that may distort results of operations for comparable periods, and inter-company activities. Cash Basis Rental Property Revenues excludes lease termination fees and inter-company activities and also excludes straight-line rents and amortization of acquired above or below market rents. Same Properties include those properties that have been fully operational in each of the comparable reporting periods. Same-Property Growth allows analysts, investors and management to analyze continuing operations and evaluate the growth trend of the Company’s portfolio.

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