Fulton Homes Announces Confirmation of Plan of Reorganization; Looking Ahead to Bright Future

PHOENIX, June 30, 2011 /PRNewswire/ -- After two-and-a-half years, Fulton Homes Corporation will soon emerge from Chapter 11 bankruptcy, doubling its market share and opening new communities.

"Fulton Homes Corporation will repay all our creditors in full and has money in the bank," said CEO Douglas Fulton. "Our projections reflect that we will be able to self-finance our cash needs over the next four years and will not need any new bank financing."  In addition, Fulton noted the company would operate as normal and continue developing new communities in the Valley.

According to Steve Walters, Fulton Homes' CFO, the banks will immediately receive $57.5 million dollars.  

"Fulton Homes is coming out of the reorganization completely solvent and will operate without outside financial assistance," said Walters. "We are exceeding the projected sales and cash flows provided to the banks in our restructuring proposal."

Fulton Homes Sales Corporation, which oversees and manages all sales and marketing functions, including customer care and home warranties did not file for protection.  Fulton Homes Corporation handles land and acquisition duties for the homebuilder.

Since filing in 2009, Fulton Homes Corporation has doubled its market share and has added several new communities, according to the RL Brown Report, the agency that measures home building activity.

Currently, Fulton Homes is adding five communities in Chandler and Queen Creek within the next year. In fact, Monterey Bay, their most recent community, is 90% sold out after being on the market for only four months.  

According to Fulton, the company will remain committed to its philanthropic causes. "We will continue our public service campaigns, making the Valley a safer place for families and helping better the area's education system," he said.  

Founded in 1975, Fulton Homes is one of Arizona's largest privately owned homebuilders. Headquartered at 9140 S. Kyrene Rd. in Tempe, Fulton Homes builds affordable, high-quality single-family homes. According to the Phoenix Business Journal's Book of Lists, Fulton Homes currently ranks fifth in the market, selling 669 homes from 7/1/09 to 6/30/10. To learn more about Fulton Homes, visit www.fultonhomes.com.

SOURCE Fulton Homes Corporation