PARAMUS, N.J.–(EMWNews)–VORNADO REALTY TRUST (New York Stock Exchange: VNO) today reported:

Second Quarter 2008 Results

NET INCOME applicable to common shares for the quarter ended June 30,

2008 was $125.4 million, or $0.79 per diluted share, versus $151.6

million, or $0.96 per diluted share, for the quarter ended June 30,

2007. Net income for the quarter ended June 30, 2008 includes $56.8

million for our share of net gains on sale of real estate. Net income

for the quarters ended June 30, 2008 and 2007 also include certain items

that affect comparability which are listed in the table below. The

aggregate of these items and net gains on sale of real estate, net of

minority interest, increased net income applicable to common shares for

the quarter ended June 30, 2008 by $45.9 million, or $0.29 per diluted

share and increased net income applicable to common shares for the

quarter ended June 30, 2007 by $63.1 million, or $0.38 per diluted share.

FUNDS FROM OPERATIONS applicable to common shares plus assumed

conversions (“FFO”)

for the quarter ended June 30, 2008 was $208.3 million, or $1.27 per

diluted share, compared to $281.7 million, or $1.72 per diluted share,

for the quarter ended June 30, 2007. Adjusting FFO for certain items

that affect comparability which are listed in the table below, FFO for

the quarters ended June 30, 2008 and 2007 were $212.5 million and $211.3

million, or $1.30 and $1.29 per diluted share, respectively.

(Amounts in thousands, except per share amounts)	For the Quarter Ended June 30,
		2008				2007
FFO applicable to common shares plus assumed conversions (1)	$	208,260			$	281,741
Per Share	$	1.27			$	1.72
Items that affect comparability (income) expense:
Partially owned entities – non-cash purchase price accounting adjustments:
Toys “R” Us	$	14,900			$	—
Beverly Connection		(4,100	)			—
Derivative positions in marketable equity securities		3,468				(72,074	)
Net gain on disposition of our 13.8% interest in GMH		(2,038	)			—
Costs of acquisitions not consummated		726
Reversal of Alexander’s stock appreciation rights compensation expense		(7,157	)			(1,222	)
India Real Estate Ventures – organization costs		—				1,677
Other net		(1,154	)			2,131
		4,645				(69,488	)
Americold’s FFO – sold on March 31, 2008		—				(6,348	)
GMH’s FFO		—				(1,714	)
		4,645				(77,550	)
Minority limited partners’ share of above adjustments		(418	)			7,083
	$	4,227			$	(70,467	)
Per share	$	0.03			$	(0.43	)
FFO as adjusted for comparability	$	212,487			$	211,274
Per share	$	1.30			$	1.29

(1) See page 4 for a reconciliation of net income to FFO for the

quarters ended June 30, 2008 and 2007.

First Half 2008 Results

NET INCOME applicable to common shares for the six months ended June 30,

2008 was $523.3 million, or $3.26 per diluted share, versus $304.3

million, or $1.92 per diluted share, for the six months ended June 30,

2007. Net income for the six months ended June 30, 2008 includes $62.8

million for our share of net gains on sale of real estate. Net income

for the six months ended June 30, 2008 and 2007 also include certain

items that affect comparability which are listed in the table below. The

aggregate of these items and net gains on sale of real estate, net of

minority interest, increased net income applicable to common shares for

the six months ended June 30, 2008 by $306.0 million, or $1.87 per

diluted share and increased net income applicable to common shares for

the six months ended June 30, 2007 by $59.7 million, or $0.36 per

diluted share.

FFO for the six months ended June 30, 2008 was $743.5 million, or $4.54

per diluted share, compared to $551.9 million, or $3.36 per diluted

share, for the six months ended June 30, 2007. Adjusting FFO for certain

items that affect comparability which are listed in the table below, FFO

for the six months ended June 30, 2008 and 2007 were $488.1 million and

$477.3 million, or $2.98 and $2.91 per diluted share, respectively.

(Amounts in thousands, except per share amounts)	For the Six Months Ended June 30,
		2008				2007
FFO applicable to common shares plus assumed conversions (1)	$	743,471			$	551,906
Per Share	$	4.54			$	3.36
Items that affect comparability (income) expense:
Reversal of deferred income taxes initially recorded in connection with H Street acquisition	$	(222,174	)		$	—
Net gain on sale of Americold		(112,690	)			—
Write-off of pre-development costs		34,200				—
Derivative positions in marketable equity securities		21,830				(81,454	)
Partially owned entities – non-cash purchase price accounting adjustments:
Toys “R” Us		14,900				—
Beverly Connection		(4,100	)			—
Reversal of MPH mezzanine loan loss accrual		(10,300	)			—
Marketable equity security-impairment loss		9,073				—
Net gain on disposition of our 13.8% interest in GMH		(2,038	)			—
Costs of acquisitions not consummated		3,009				8,807
Reversal of Alexander’s stock appreciation rights compensation expense		(6,952	)			(5,916	)
Prepayment penalties and write-off of unamortized financing costs		—				5,861
Other net		509				5,699
		(274,733	)			(67,003	)
Americold’s FFO – sold on March 31, 2008		(6,098	)			(12,151	)
GMH’s FFO		—				(3,033	)
		(280,831	)			(82,187	)
Minority limited partners’ share of above adjustments		25,449				7,546
	$	(255,382	)		$	(74,641	)
Per share	$	(1.56	)		$	(0.45	)
FFO as adjusted for comparability	$	488,089			$	477,265
Per share	$	2.98			$	2.91

(1) See page 4 for a reconciliation of net income to FFO for the six

months ended June 30, 2008 and 2007.

Supplemental Financial Information

Further details regarding the Company’s

results of operations, properties and tenants can be accessed at the

Company’s website www.vno.com.

Vornado Realty Trust is a fully – integrated

equity real estate investment trust.

Certain statements contained herein may constitute “forward-looking

statements” within the meaning of the Private

Securities Litigation Reform Act of 1995. Such forward-looking

statements involve known and unknown risks, uncertainties and other

factors which may cause the actual results, performance or achievements

of the Company to be materially different from any future results,

performance or achievements expressed or implied by such forward-looking

statements. For a discussion of factors that could materially affect the

outcome of our forward-looking statements and our future results and

financial condition, see “Risk Factors”

in Part I, Item 1A, of our Annual Report on Form 10-K for the year ended

December 31, 2007. Such factors include, among others, risks associated

with the timing of and costs associated with property improvements,

financing commitments and general competitive factors.

(tables to follow)

VORNADO REALTY TRUST OPERATING RESULTS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2008 AND 2007
		FOR THE THREE MONTHS ENDED JUNE, 30						FOR THE SIX MONTHS ENDED JUNE, 30
(Amounts in thousands, except per share amounts)		2008			2007			2008			2007
Revenues		$	674,365		$	583,220		$	1,323,647		$	1,116,272
Income from continuing operations		$	98,758		$	187,113		$	446,109		$	375,893
Income from discontinued operations net of minority interest			53,005			478			154,340			624
Income before allocation to limited partners			151,763			187,591			600,449			376,517
Minority limited partners’ interest in the Operating Partnership			(7,285	)		(16,852	)		(38,955	)		(34,029	)
Perpetual preferred unit distributions of the Operating Partnership			(4,818	)		(4,819	)		(9,637	Vornado Realty Trust Joseph Macnow, 201-587-1000 Major Newsire & Press Release Distribution with Basic Starting at only $19 and Complete OTCBB / Financial Distribution only $89 Get Unlimited Organic Website Traffic to your Website  TheNFG.com now offers Organic Lead Generation & Traffic Solutions