Moody's Downgrades Homebuilders on Prospects

New York, NY, June 10, 2008--Homebuilders were downgraded by ratings agency Moody's on Monday.

Moody's downgraded six homebuilders Monday citing cashflow problems and bleak earning prospects in the near-term. These firms have been hurt by the falling home prices and a tight lending environment both of which have conrtibuted to a glut of difficut to sell, and costly to maintain, inventory of new homes.

Moody's downgraded its ratings, including corporate family ratings, on Pulte Homes, Centex, Ryland Group, D.R. Horton and KB Home to Ba2 from Ba1. Moody's cut ratings on Lennar two notches to Ba3 from Ba1.