Article: Prime Retail, Inc. Issues Statement Concerning Unsolicited Proposal From Fortress Investment Group LLC.

Prime Retail, Inc. (BULLETIN BOARD: PMRE, PMREP, PMREO) (the "Company"), today announced that its Board of Directors acknowledged receipt on June 4, 2002 of an unsolicited recapitalization proposal (as amended on June 25, 2002, the "Proposal") from Fortress Investment Group LLC (together with its affiliates, "Fortress"). The Proposal was discussed in a Schedule 13D (the "Schedule 13D") filed today with the Securities and Exchange Commission by Fortress and certain of its affiliates.

Pursuant to the Proposal, Fortress would have commenced a cash tender offer for all outstanding capital stock of the Company for $8.00 per share of Series A preferred stock, $5.00 ...

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