Epoxy resin containing bromine compound was melt blended with PET to obtain flame retardant polymer. The blend product was characterized by DSC, SEM, intrinsic viscosity and melt index measurements. The reaction between the epoxy group of DGEBBA (diglycidyl ether of brominated bisphenol A) and the carboxyl (or hydroxyl) end group of PET led to cross-linking of PET chains, and the intrinsic viscosity and melt index (MI) were increased in the range of equivalent amount of epoxy resin (within 1 %). DSC data revealed that the epoxy resin was not located in the crystalline region but was appeared in the amorphous region of PET matrix. Good miscibility of epoxy resin resulted in the decrease of crystallization temperature and glass transition temperature of PET. The blend was spun into fiber without any problems such as swelling or draw resonance, however, the mechanical properties were decreased as the amount of the DGEBBA was increased.