FLE Fleetwood Enterprises

- U.S. Army Barracks in Oklahoma to Be Built by Trendsetter Homes Division - RIVERSIDE, Calif., March 26 /PRNewswire-FirstCall/ -- Fleetwood Enterprises, Inc. (NYSE:FLE) announced today that its modular division, Trendsetter Homes, has been chosen to build the living units for new U.S. Army housing at Fort Sill, Okla. Terms of the multi-million dollar contract were not disclosed. The construction of 224 modular sections, which comprise the majority of the structure of 16 new buildings, will be completed at Fleetwood's facilities in Waco, Texas and Douglas, Ga. The finished project will house approximately 2,000 soldiers. "As we stated in our third quarter results release, it is our intent to aggressively pursue additional military housing projects," said Charles E. Lott, President of Fleetwood's Housing Group. "The Army's military housing needs present an excellent opportunity for us to expand our modular business, while demonstrating our capability to meet demanding construction schedules to upgrade our soldiers' living quarters at Fort Sill. All three plants that are currently being used to build military housing have a proven record of success in providing comfortable, high-quality, modern housing at a rapid pace. "We are working with a different team of contractors than those that are providing the living quarters at Fort Bliss," Lott continued. "For this project, Fleetwood has teamed with BKJ Solutions, the prime contractor, and Morgan USA. Fort Sill is a mobilization hub for soldier deployment. Its senior leadership has pledged to implement many new programs to directly enhance the quality of life of the soldiers and families stationed there, including new residential quarters and renovation of the community recreation areas. We are pleased to be a part of this effort." About Trendsetter Homes Trendsetter Homes is the modular housing division of Fleetwood Homes, which operates 19 facilities nationwide and is headquartered in Riverside, Calif. Trendsetter produces modular residential and commercial buildings in a factory-controlled environment for residential builders and the military. The Trendsetter Homes website can be accessed at http://www.trend-setterhomes.com/. About Fleetwood Fleetwood Enterprises, Inc., through its subsidiaries, is a leading producer of recreational vehicles and manufactured homes. This Fortune 1000 company, headquartered in Riverside, Calif., is dedicated to providing quality, innovative products that offer exceptional value to its customers. Fleetwood operates facilities strategically located throughout the nation, including recreational vehicle, factory-built housing and supply subsidiary plants. For more information, visit the Company's website at http://www.fleetwood.com/. This press release contains certain forward-looking statements and information based on the beliefs of Fleetwood's management as well as assumptions made by, and information currently available to, Fleetwood's management. Such statements, including those regarding Fleetwood's intent to pursue additional military business, reflect the current views of Fleetwood with respect to future events and are subject to certain risks, uncertainties, and assumptions, including risk factors identified in Fleetwood's 10-K and other SEC filings. These risks and uncertainties include, without limitation, the lack of assurance that we will regain sustainable profitability in the foreseeable future; the effect of ongoing weakness in both the manufactured housing and recreational vehicle markets; the effect of a decline in home equity values, volatile fuel prices and interest rates, global tensions, employment trends, stock market performance, availability of financing generally, and other factors that can have a negative impact on consumer confidence, which in turn may reduce demand for our products, particularly recreational vehicles; the availability and cost of wholesale and retail financing for both manufactured housing and recreational vehicles; our ability to comply with financial tests and covenants on existing debt obligations; our ability to obtain, on reasonable terms if at all, the financing we will need in the future to execute our business strategies and to meet the repayment terms of our outstanding convertible debt instruments, including the $100 million 5% convertible senior subordinated debentures, which the Company may have to repurchase in December 2008; potential dilution associated with future equity financings we may undertake to raise additional capital; the cyclical and seasonal nature of both the manufactured housing and recreational vehicle industries; expenses and uncertainties associated with the entry into new business segments or the manufacturing, development, and introduction of new products; the potential for excessive retail inventory levels in the manufactured housing and recreational vehicle industries; the volatility of our stock price; repurchase agreements with floorplan lenders, which could result in increased costs; potential increases in the frequency of product liability, wrongful death, class action, and other legal actions; and the highly competitive nature of our industries. Contact: Lyle Larkin, Vice President - Treasurer (951) 351-3535 Kathy A. Munson, Director - Investor Relations (951) 351-3650 DATASOURCE: Fleetwood Enterprises, Inc. CONTACT: Lyle Larkin, Vice President - Treasurer, +1-951-351-3535, or Kathy A. Munson, Director - Investor Relations, +1-951-351-3650, both of Fleetwood Enterprises, Inc. Web site: http://www.fleetwood.com/ http://www.trend-setterhomes.com/

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