Fitch IBCA Issues Report on Irvine Apartment Communities LP

Business Wire, July 28, 1999

NEW YORK--(BUSINESS WIRE)--July 28, 1999--

Fitch IBCA, the international rating agency, has released a special report on Irvine Apartment Communities L.P. (IAC).

The report outlines Fitch IBCA's approach to analyzing IAC in response to the June 7, 1999 acquisition by The Irvine Co. (TIC) of all the common shares of Irvine Apartment Communities, Inc. it did not already own.

The report highlights IAC's adequate pro forma coverage ratios including projected future build-out of an additional eight properties in development, its dominant position on the Irvine Ranch, support offered through TIC, its high quality properties, and the vibrant economy in its California markets. Concerns mentioned in the report focus on the development risks associated with the build out of the portfolio, geographic concentration, increased refinance risk due to privatization, and increased leverage at TIC.

For a copy of the report released July 27, see Fitch IBCA's web site at `http://www.fitchibca.com'.