Pulte Homes Reports Preliminary Results for Second Quarter 2007

* Net New Orders Were 7,532 for the Quarter, Down 20% from the Prior Year

Second Quarter

* Backlog at June 30, 2007 of 14,928 Homes, Valued at $5.2 Billion

* Closed 5,938 Homes in Second Quarter 2007, a Decrease of 40%; Average

Sales Price Per Home Decreased 4% to Approximately $320,000

* Preliminary Q2 2007 loss from Continuing Operations in the Range of $2.00

to $2.10 Per Share, Inclusive of Impairments, Land-Related Charges and

Restructuring Charges

* Impairments and Land-Related Charges in the Range of $740 Million to $770

Million for the Second Quarter 2007

    BLOOMFIELD HILLS, Mich., July 17 /PRNewswire-FirstCall/ -- Pulte Homes
 ( PHM) today announced preliminary, unaudited financial and operating
 results for its second quarter 2007. The Company expects a loss in the
 range of $2.00 to $2.10 per share from continuing operations for the
 quarter, including impairments, land-related charges and restructuring
 charges.
     The Company is in the process of completing its valuation analysis of
 land inventory, land held for sale, deposits and pre-acquisition costs, and
 its investments in unconsolidated joint ventures. Pulte Homes anticipates
 that these impairments and land-related charges will be in the range of
 $740 million to $770 million for the second quarter 2007 on a pre-tax
 basis, or approximately $1.85 to $1.92 per share on an after-tax basis. On
 May 29, 2007, the Company announced its restructuring plan designed to
 reduce costs and improve operating efficiencies. Pulte Homes expects to
 record a charge of approximately $40 million on a pre-tax basis in the
 second quarter 2007 related to this restructuring, or approximately $0.10
 per share on an after-tax basis. Pulte Homes had previously issued earnings
 guidance for the 2007 second quarter of break-even to a loss of $0.10 per
 share, exclusive of any impairments or land-related charges. This prior
 guidance also did not include charges related to the previously announced
 restructuring plan.
     Net new orders were 7,532 for the second quarter of 2007, down 20%
 compared with the second quarter of 2006. Pulte Homes closed 5,938 homes
 during the quarter, 40% lower than the prior year quarter. There were
 14,928 units in backlog at the end of the second quarter 2007, valued at
 $5.2 billion.
     "The difficult conditions that plagued the homebuilding industry in the
 first quarter of 2007 worsened in the second quarter, with increased
 competitive pricing pressures, elevated levels of new and resale home
 inventory, and weak consumer sentiment for housing affecting the entire
 industry," said Richard J. Dugas, Jr., President and CEO of Pulte Homes.
 "Our strategy of maintaining a healthy balance sheet through properly
 managing house and land inventory levels along with dramatically lowering
 SG&A costs continues to be our focus during this challenging operating
 environment."
     Pulte Homes will release its second quarter 2007 earnings results
 following market close on Wednesday, July 25, 2007. The Company will
 webcast its conference call to discuss the second quarter results on
 Thursday, July 26, 2007 at 8:30 a.m. Eastern Time. To listen to the
 webcast, log on at www.pulte.com five minutes prior to the call. An archive
 of the conference call will be available on the Pulte Homes web site.
     Certain statements in this release constitute "forward-looking
 statements" within the meaning of the Private Securities Litigation Reform
 Act of 1995. Such forward-looking statements involve known risks,
 uncertainties and other factors that may cause the actual results,
 performance or achievements of the Company to be materially different from
 any future results, performance or achievements expressed or implied by the
 forward-looking statements. Such factors include, among other things, (1)
 general economic and business conditions; (2) interest rate changes and the
 availability of mortgage financing; (3) the relative stability of debt and
 equity markets; (4) competition; (5) the availability and cost of land and
 other raw materials used by the Company in its homebuilding operations; (6)
 the availability and cost of insurance covering risks associated with the
 Company's business; (7) shortages and the cost of labor; (8) weather
 related slowdowns; (9) slow growth initiatives and/or local building
 moratoria; (10) governmental regulation, including the interpretation of
 tax, labor and environmental laws; (11) changes in consumer confidence and
 preferences; (12) required accounting changes; (13) terrorist acts and
 other acts of war; and (14) other factors over which the Company has little
 or no control. See the Company's Annual Report on Form 10-K and Annual
 Report to Shareholders for the year ended December 31, 2006 and other
 public filings with the Securities and Exchange Commission for a further
 discussion of these and other risks and uncertainties applicable to Pulte's
 business. Pulte undertakes no duty to update any forward-looking statement
 whether as a result of new information, future events or changes in Pulte's
 expectations.
     About Pulte Homes
     Pulte Homes, Inc., ( PHM), based in Bloomfield Hills, Michigan, is
 a FORTUNE 200 company with operations in 50 markets and 26 states. In 2006,
 it delivered 41,487 homes and generated consolidated revenues of $14.3
 billion. During its 57-year history, the Company has constructed nearly
 500,000 homes. In 2006, Pulte Homes received the most awards in the J.D.
 Power and Associates(R) New Home-Builder Customer Satisfaction Study(sm),
 marking the seventh-straight year Pulte achieved this distinction. Under
 its Del Webb brand, Pulte is the nation's largest builder of active adult
 communities for people age 55 and better. Its DiVosta brand is renowned in
 Florida for its Built Solid(TM) building system and distinctive
 master-planned communities. Pulte Mortgage LLC is a nationwide lender
 offering Pulte customers a wide variety of loan products and superior
 service.
     Websites: www.pulte.com; www.delwebb.com; www.divosta.com
 
 

SOURCE Pulte Homes