Bluegreen Corporation Agrees to Extend Exclusive Negotiating Period with Diamond Resorts International

BOCA RATON, Fla. | Bluegreen Corporation (NYSE: BXG) (“Bluegreen”), a leading provider of Colorful Places to Live and Play®, announced today that it has agreed to extend until November 15, 2008 the period during which Diamond Resorts International has an exclusive right of negotiation to acquire all of the Bluegreen common stock at a price of $15 per share. The parties have agreed to continue to work to reach a definitive agreement for the acquisition of Bluegreen at the earliest possible time.

Alan B. Levan, Chairman of the Board of Bluegreen commented, “Diamond Resorts has advised us that it is continuing to move forward with the acquisition of the Company at a price of $15 per share, but needs the additional period to finalize due diligence and its financing arrangements. Diamond Resorts has also agreed to pay us an amount approximating Bluegreen’s expenses in connection with the transaction.”

As previously announced, it is anticipated that the definitive agreement will include a “go-shop” provision permitting Bluegreen to actively seek alternative transactions which would provide greater value to its shareholders. Bluegreen is engaging a financial advisor to assist in this process.

The parties have agreed that if, notwithstanding their efforts, a definitive agreement is not reached by November 15, 2008, they will continue to work towards such agreement until December 15, 2008, but that during such period Diamond Resorts will no longer have an exclusive right of negotiation and Bluegreen may actively seek and negotiate alternative transactions.