AMB Property Corporation(R) Announces Tax Treatment of 2006 Dividends

AMB Property Corporation(R) today announced the treatment for dividend distributions taxable in 2006 on its Common Stock ; 6.5% Series L Cumulative Redeemable Preferred Stock ; 6.75% Series M Cumulative Redeemable Preferred Stock ; and 7% Series O Cumulative Redeemable Preferred Stock .

For shareholders of AMB Property Corporation(R) Common Stock, the 2006 taxable dividend of $1.38 per share includes three quarterly distributions declared and paid in 2006. To note: the distribution of $0.44 per share declared on December 7, 2005, that was paid on January 6, 2006, was included in 2005 for income tax purposes.

The 2006 taxable dividend of $1.38 per share is classified for income tax purposes as follows: $0.530 per share (38.41%) as Ordinary Taxable Dividend; $0.160 per share (11.59%) as a 15% rate Capital Gain Dividend; $0.199 per share (14.42%) as a 25% rate Capital Gain Dividend; and $0.491 per share (35.58%) as return of capital on the 2006 Form 1099-DIV.

For the company's 6.5% Series L Cumulative Redeemable Preferred Stock , the reportable 2006 dividend totaling $1.625 per share is classified for income tax purposes as follows: $0.969 per share (59.64%) as an Ordinary Taxable Dividend; $0.293 per share (18.04%) as a 15% rate Capital Gain Dividend; and $0.363 per share (22.32%) as a 25% rate Capital Gain Dividend on the 2006 Form 1099-DIV.

For the company's 6.75% Series M Cumulative Redeemable Preferred Stock , the reportable 2006 dividend totaling $1.6875 per share is classified for income tax purposes as follows: $1.0064 per share (59.64%) as an Ordinary Taxable Dividend; $0.3044 per share (18.04%) as a 15% rate Capital Gain Dividend; and $0.3767 per share (22.32%) as a 25% rate Capital Gain Dividend on the 2006 Form 1099-DIV.

For the company's 7.0% Series O Cumulative Redeemable Preferred Stock , the reportable 2006 dividend totaling $1.4729 per share is classified for income tax purposes as follows: $0.8784 per share (59.64%) as an Ordinary Taxable Dividend; $0.2657 per share (18.04%) as a 15% rate Capital Gain Dividend; and $0.3288 per share (22.32%) as a 25% rate Capital Gain Dividend on the 2006 Form 1099-DIV.

The tables below summarize the income tax treatment of the company's 2006 dividends:

  2006 Dividend Tax Reporting Information (Form 1099-DIV)

  AMB Property Corporation
  Common Stock
  CUSIP # 00163T109
  Ticker Symbol: AMB


                                                              Cash
        Declaration        Record         Payable          Dividend
           Dates           Dates           Dates         ($ per share)

         2/16/2006        4/6/2006       4/17/2006         $0.460000
         5/11/2006        7/7/2006       7/17/2006         $0.460000
         9/28/2006       10/6/2006      10/16/2006        $0.460000
                         2006 Totals                       $1.380000

       2006 Ordinary                  2006 25% Capital
          Taxable         2006 15%   Gain (unrecaptured   2006 Return
          Dividend      Capital Gain Section 1250 Gain)    of Capital
       ($ per share)   ($ per share)   ($ per share)     ($ per share)

         $0.176810       $0.053477       $0.066185         $0.163528
         $0.176810       $0.053477       $0.066185         $0.163528
         $0.176810       $0.053477       $0.066185         $0.163528
         $0.530430       $0.160431       $0.198555         $0.490584


  AMB Property Corporation
  Series L Cumulative Redeemable Preferred Stock
  CUSIP # 00163T307
  Ticker Symbol: AMB.PrL


                                                              Cash
        Declaration        Record         Payable          Dividend
           Dates           Dates           Dates         ($ per share)


         12/7/2005        1/6/2006       1/16/2006         $0.406250
         2/16/2006        4/6/2006       4/17/2006         $0.406250
         5/11/2006        7/7/2006       7/17/2006         $0.406250
         9/28/2006       10/6/2006      10/16/2006        $0.406250
                         2006 Totals                       $1.625000


                        2006 Ordinary     2006 15%      2006 25% Capital
                           Taxable         Capital     Gain (unrecaptured
                          Dividend          Gain       Section 1250 Gain)
                        ($ per share)   ($ per share)     ($ per share)

                          $0.242279       $0.073279         $0.090692
                          $0.242279       $0.073279         $0.090692
                          $0.242279       $0.073279         $0.090692
                          $0.242279       $0.073279         $0.090692
                          $0.969116       $0.293116         $0.362768


  AMB Property Corporation
  Series M Cumulative Redeemable Preferred Stock
  CUSIP # 00163T406
  Ticker Symbol: AMB.PrM


                                                              Cash
        Declaration        Record         Payable          Dividend
           Dates           Dates           Dates         ($ per share)

         12/7/2005        1/6/2006       1/16/2006         $0.421875
         2/16/2006        4/6/2006       4/17/2006         $0.421875
         5/11/2006        7/7/2006       7/17/2006         $0.421875
         9/28/2006       10/6/2006      10/16/2006        $0.421875
                         2006 Totals                       $1.687500

                        2006 Ordinary     2006 15%      2006 25% Capital
                           Taxable         Capital     Gain (unrecaptured
                          Dividend          Gain       Section 1250 Gain)
                        ($ per share)   ($ per share)     ($ per share)

                          $0.251598       $0.076097         $0.094180
                          $0.251598       $0.076097         $0.094180
                          $0.251598       $0.076097         $0.094180
                          $0.251598       $0.076097         $0.094180
                          $1.006392       $0.304388         $0.376720


  AMB Property Corporation
  Series O Cumulative Redeemable Preferred Stock
  CUSIP # 00163T505
  Ticker Symbol: AMB.PrO


                                                              Cash
        Declaration        Record         Payable          Dividend
           Dates           Dates           Dates         ($ per share)

         2/16/2006        4/6/2006       4/17/2006        $0.5979167
         5/11/2006        7/7/2006       7/17/2006        $0.4375000
         9/28/2006       10/6/2006      10/16/2006        $0.4375000
                         2006 Totals                       $1.4729167

                        2006 Ordinary     2006 15%      2006 25% Capital
                           Taxable         Capital     Gain (unrecaptured
                          Dividend          Gain       Section 1250 Gain)
                        ($ per share)   ($ per share)     ($ per share)

                          $0.356586       $0.107851         $0.133480
                          $0.260916       $0.078915         $0.097669
                          $0.260916       $0.078915         $0.097669
                          $0.878418       $0.265681         $0.328818


  AMB Property Corporation.(R) Local partner to global trade.(TM)

AMB Property Corporation(R) is a leading global developer and owner of industrial real estate, focused on major hub and gateway distribution markets throughout North America, Europe and Asia. As of September 30, 2006, AMB owned, or had investments in, on a consolidated basis or through unconsolidated joint ventures, properties and development projects expected to total approximately 124.8 million square feet (11.6 million square meters) and 1,109 buildings in 42 markets within 11 countries. AMB invests in properties located predominantly in the infill submarkets of its targeted markets. The company's portfolio is comprised of High Throughput Distribution(R) facilities -- industrial properties built for speed and located near airports, seaports and ground transportation systems.

AMB's press releases are available on the company website at www.amb.com or by contacting the Investor Relations department at +1 415 394 9000.

First Call Analyst:
FCMN Contact: [email protected]

SOURCE: AMB Property Corporation