Parkway Reports Q4 FFO of $.65 vs. $.63

Parkway Properties, Inc.

today announced results for its fourth quarter ended December 31, 2010. Funds from operations (“FFO”) available to common shareholders totaled $9.8 million, or $0.46 per diluted share, for the three months ended December 31, 2010, as compared to $7.7 million, or $0.36 per diluted share, for the three months ended December 31, 2009. Excluding non-cash impairment losses of $4.1 million, or $0.19 per diluted share, related to non-strategic office properties targeted for sale in Columbia, South Carolina and Richmond, Virginia, FFO was $0.65 per diluted share for the three months ended December 31, 2010. This compares to $0.77 per diluted share for the three months ended December 31, 2009, which excludes a non-cash impairment loss on investment in unconsolidated joint ventures of $8.8 million, or $0.41 per diluted share. Recurring FFO totaled $13.1 million, or $0.61 per diluted share for the three months ended December 31, 2010, as compared to $15.7 million, or $0.73 per diluted share for the three months ended December 31, 2009.