The Mills Corporation Announces Management Promotions and Changes

Chairman and Chief Executive Officer Laurence C. Siegel commented,"These organizational changes are intended to create a managementstructure that focuses on day-to-day operational matters that willenhance the value of our properties. These changes also will allowcertain members of management, including President Mark Ettenger, tofocus exclusively on the strategic alternatives process.

"We are very pleased that the members of our senior managementteam, some relatively new to The Mills and some Company veterans, aretaking on new responsibilities. These individuals, who are dedicatedto the success of our strategic process, have also proven in theircareers their ability and drive to make us better controlled andfinancially and operationally stronger."

The changes announced today include the following:

-- Mark Ettenger, in a role designed to help deliver value to our
shareholders, will exclusively devote his time to advising the
newly formed Special Negotiating Committee of the Board and
Mr. Siegel, who will manage the strategic alternatives
process.

-- Mark Ordan, who joined the Company as Chief Operating Officer
in March 2006, will assume responsibility for Asset Management
and International Operations, in addition to his previously
announced responsibility for Leasing, Development and
Marketing. Mark reports directly to Mr. Siegel.

-- Rick Nadeau, who joined The Mills Corporation in March 2006 as
Executive Vice President, Finance and Accounting, will assume
the position of Chief Financial Officer effective July 1,
2006. He will be responsible for completing the Company's
financial restatement; managing several parts of the Company's
operations, including accounting, finance, information
technology and human resources; and assisting in the strategic
alternatives process. Mr. Nadeau reports directly to Mr.
Siegel, as well as to the Audit Committee of the Board of
Directors. M.J. Morrow, who has served as our CFO, will
continue in the Finance Department and will assist in the
financial reporting process.

-- Mark Dorigan and Mary Ellen Seravalli, two individuals with a
long tenure with The Mills, have been named Co-General
Counsels. While in many areas, Mr. Dorigan and Ms. Seravalli
will be collaborating, each will focus on different aspects of
our business. Mr. Dorigan will be responsible for Real Estate
Operations, Leasing and Project-Level Financings, and Ms.
Seravalli will be responsible for SEC and Corporate matters,
Governance and Corporate Ethics and Human Resources. Tad
Glenn, our General Counsel since October 2005, has resigned
for personal reasons.

-- Scott Ball, formerly Senior Vice President of Leasing at The
Rouse Company and Executive Vice President, Asset Management
at The Mills Corporation, will now direct the daily operations
of both Asset Management and In-Line leasing. This combination
will further integrate the different aspects of property
management and will strengthen our leasing operations.

-- Jim Napoli, a key member of senior management, will now focus
on strategic leasing matters and client relationships for both
our domestic and international projects.

-- Gregg Goodman, Executive Vice President, Anchor Leasing, will
continue to direct major tenant activities and manage the
disposition of peripheral land.

-- Greg Neeb, reporting directly to Mr. Siegel, will direct all
capital allocation issues at the Company, including the
planning, budgeting and spending on all capital projects.
Jamie Stolpestad, reporting to Greg Neeb, will assume
responsibility for major project oversight. Together, Mr. Neeb
and Mr. Stolpestad will also support the daily activities of
our strategic alternatives process, reporting to Mr. Siegel
and the Special Negotiating Committee of the Board.

-- Scott DeCain, reporting to Mr. Ordan, will be responsible for
the oversight of changes in our operating processes and
assisting Mr. Ordan with the implementation of major Company
initiatives. Mr. DeCain will also be responsible for investor
relations.

-- Peter Todd will now be responsible for our streamlined
international operations. Ron Weidner will be leaving the
Company, but will consult with the Company on our Mercati
Generali development. Our international changes are part of
our ongoing effort to right-size our operations, while
focusing on our international core assets, developments and
redevelopment opportunities.

Mills' restructuring efforts over the last several months haveresulted in 222 fewer full time employees. The Company expects thatthe future annual run rate savings from these reductions will be over$20 million, although in 2006 these savings will be offset by one-timecharges.

About The Mills Corporation

The Mills Corporation, based in Arlington, Virginia, is adeveloper, owner and manager of a diversified global portfolio ofretail destinations including regional shopping malls, market dominantretail and entertainment centers, and international retail and leisuredestinations. It currently owns 42 properties in the U.S., Canada andEurope, totaling 51 million square feet. In addition, The Mills hasvarious projects in development, redevelopment or under construction.The Mills is traded on the New York Stock Exchange under the ticker:MLS. For more information, visit the Company's web site atwww.themills.com.

Statements in this press release that are not historical may bedeemed forward-looking statements within the meaning of the federalsecurities laws. Although The Mills Corporation believes theexpectations reflected in any forward-looking statements are based onreasonable assumptions, the Company can give no assurance that itsexpectations will be attained and it is possible that our actualresults may differ materially from those indicated by theseforward-looking statements due to a variety of risks anduncertainties. The Mills Corporation undertakes no obligation topublicly update or revise any forward-looking statements, whether as aresult of new information, future events or otherwise. The reader isdirected to the Company's various filings with the Securities andExchange Commission, including quarterly reports on Form 10-Q, reportson Form 8-K and its annual reports on Form 10-K for a discussion ofsuch risks and uncertainties.

There can be no assurance that the exploration of strategicalternatives will result in any transaction.