As a follow-up to our two previous updates, Fleetwood has officially announced what we have been predicting for some time.  This is a smart move by Fleetwood’s new management team and a sign that they are listening to their people and no longer ignoring the elephant in the living room. 
 
FROM WWW.THESTREET.COM:
 
Fleetwood Reports Plan to Sell Housing Retail and Finance Businesses
- PR Newswire

RIVERSIDE, Calif., April 5, 2005 /PRNewswire-FirstCall via COMTEX/ -- Fleetwood Enterprises, Inc. , one of the nation's leading manufacturers of recreational vehicles and manufactured housing, today announced that its Board of Directors has authorized management to sell the manufactured housing retail and financial services businesses. Fleetwood said its board and management remain committed to the wholesale (manufacturing) division of its Housing Group.

The Company said management has been authorized to pursue the exit plan in an orderly fashion over the course of the next 12 months. Offers will be solicited for both businesses combined or as separate complete entities; however, in order to maximize the value to the Company's shareholders, Fleetwood said it will consider offers from multiple buyers for the individual operations.

"We are taking this action in order to stem losses and concentrate our attention on our core businesses," said President and Chief Executive Officer Elden L. Smith. "We are convinced that returning Fleetwood to its traditional focus on manufacturing operations and wholesale distribution channels in both our manufactured housing and in our recreational vehicle businesses provides us with the best opportunity to regain our former position as the industry leader in both. It is our hope that FRC and HomeOne can be sold to one buyer to minimize the disruption to the associates at those companies, but we cannot judge the likelihood of that possibility at this time.

"In addition, our ongoing evaluation of our organization has led us to reconsolidate adjacent manufactured housing plants in both Alma, Ga., and Waco, Texas, in order to achieve greater efficiencies," Smith continued. "By combining these operations, we will experience immediately improved capacity utilization."

Greg Harmon - President
Commonwealth Real Estate Services
E-mail: greg@cwres.com
Telephone 503.244.2300 Ext. 101