FOR IMMEDIATE RELEASE
DYNAMIC HOMES SIGNS LETTER OF INTENT
FOR SELLING COMPANY
JUNE 21, 2000--DETROIT LAKES, MN--Dynamic Homes, Inc. (Nasdaq: DYHM) today
announced it has signed a letter of intent to be acquired by an entity to be
formed by 3 directors of Dynamic Homes. The letter of intent was approved by a
special committee of three persons who are independent of Dynamic Homes and its
directors. The pending all-cash transaction is valued at $2.55 per share,
compared to the closing market price of $1.94 per share at the close of trading
on June 20.
The acquisition of the Company, which is subject to a definitive agreement and
various contingencies, is expected to be completed in September. It is
anticipated that the Company's manufacturing facility will remain in Detroit
Lakes.
Scott D. Lindemann, president and chief executive officer commented: "As
previously announced, the Board of Directors has been evaluating various
strategic alternatives for Dynamic Homes over the past nine months. We concluded
that selling Dynamic Homes was the proper course of action, since this
transaction will generate substantial value for our shareholders and also serve
the best interests of our dedicated and loyal employees."
Dynamic Homes is a leading regional builder of modular single-family homes and
multi-family/commercial buildings. Its products are marketed through a network
of builder-dealers in Minnesota, Iowa, Nebraska, North and South Dakota and
Wisconsin.
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For information, contact:
Scott D. Lindemann, President
218/847-2611
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Statements about the Company's anticipated performance in 2000 are
forward-looking and therefore involve certain risks and uncertainties, including
but not limited to: the ability to complete the Company's pending sale in a
timely manner, the strength and timing of incoming orders, interest rates, the
health of the region's agricultural economy, competitive considerations, and
other factors detailed from time to time in the Company's filings with the
Securities and Exchange Commission.
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