EX-99.1 2 e275522v3.txt PRESS RELEASE ATLANTIC REALTY TRUST 747 THIRD AVENUE NEW YORK, NEW YORK 10017 (212) 355-1255 FOR IMMEDIATE RELEASE ATLANTIC REALTY TRUST ANNOUNCES ONE-TIME RETURN OF CAPITAL ---------------------------------------------------------- NEW YORK, NY, APRIL 27, 2004 - ATLANTIC REALTY TRUST, A REAL ESTATE INVESTMENT TRUST WHICH IS INCLUDED FOR QUOTATION ON THE NASDAQ SMALL CAP MARKET (ATLRS), TODAY DECLARED A ONE-TIME RETURN OF CAPITAL TO ITS SHAREHOLDERS IN THE AMOUNT OF $3.25 PER SHARE. THE RETURN OF CAPITAL WILL BE EFFECTED BY MEANS OF A REDUCTION IN CAPITAL OF APPROXIMATELY $11,500,000. THE RETURN OF CAPITAL WILL BE PAYABLE ON MAY 19, 2004 TO SHAREHOLDERS OF RECORD AS OF THE CLOSE OF BUSINESS ON MAY 10, 2004. ATLANTIC'S BOARD OF TRUSTEES HAS DECIDED TO MAKE A RETURN OF CAPITAL DISTRIBUTION AT THIS TIME NOW THAT THE ISSUES SURROUNDING THE INTERNAL REVENUE SERVICE'S AUDIT OF THE RAMCO-GERSHENSON PROPERTIES TRUST FOR THE TAX YEARS 1991 TO 1995 HAVE BEEN SETTLED AND, AS A RESULT, ATLANTIC HAS BEEN ABLE TO ASSESS ITS REMAINING LIABILITIES UNDER ITS TAX INDEMNIFICATION AGREEMENT WITH THE RAMCO-GERSHENSON PROPERTIES TRUST. ATLANTIC EXPECTS THAT THE ONE-TIME DISTRIBUTION PAID FROM SURPLUS CAPITAL WILL QUALIFY AS A NON-TAXABLE RETURN OF CAPITAL TO THE EXTENT OF A SHAREHOLDER'S BASIS IN SHARES OF ATLANTIC. SHAREHOLDERS ARE ENCOURAGED TO CONSULT WITH THEIR OWN TAX ADVISORS REGARDING THE IMPLICATIONS OF THE RETURN OF CAPITAL ON THEIR INDIVIDUAL CIRCUMSTANCES. FOR FURTHER INFORMATION CONTACT EDWIN R. FRANKEL AT (212) 702-8561.