Fleetwood's Folding Trailer Division Wins Governor's Award for Outstanding Environmental Protection

RIVERSIDE, Calif., and SOMERSET, Pa., Sept. 26 -- Fleetwood Enterprises , the nation's leader in recreational vehicle sales and a leading producer and retailer of manufactured housing, announced today that Fleetwood Folding Trailers of Somerset, Pennsylvania, received one of the 2003 Governor's Awards for Environmental Excellence in the category of Resource Protection. Governor Rendell recognized 39 companies and organizations, and Fleetwood was the only company or organization in Somerset County to receive this honor.

Fleetwood Folding Trailer's main manufacturing plant has been in operation since 1967 and is the largest towable recreational vehicle plant in North America. It employs more than 740 associates. Headed by Larry Marsh - Vice President and General Manager, the Somerset management team is committed to the concept of sustainability.

The primary project that led to the award was the facility's work on a paint improvement process. The objectives of this project were to bring certain outsourced parts in-house, increase product quality, reduce curing times, reduce energy consumption, eliminate employee exposure to solvents, and eliminate volatile organic compound (VOC) and hazardous air pollutant (HAP) air emissions.

Starting in April 2002, the facility began powder coating metal components, including towel racks, body railing, and screen doors. Prior to the switch, a two-part urethane coating was applied to these parts, which required almost three times as many materials at approximately twice the expense. Using the simple payback method, a little more than seven months was all the time needed to begin realizing the financial benefits of this investment. The system has removed more than 20 tons of toxic and non-toxic air emissions and five tons of hazardous waste from the environment each year. Employees working in these spray booths are no longer exposed to harsh solvents. Overall operating costs have been reduced and product quality has increased substantially.

Fleetwood's other environmental efforts also contributed to its consideration for the award. Gerald Moon, who manages Fleetwood's environmental programs, has implemented an in-house recycling program that diverts more than 1.7 million pounds of solid waste from Pennsylvania landfills annually and also generates some $260,000 in revenue. Water recycling programs have helped Fleetwood reduce water consumption by more than 29,000 gallons per day since 2000. Lighting fixture changes and other related programs have resulted in a reduction of electricity consumption by some 63,000 watts -- saving $32,000 annually. The folding trailer division is also a contributing member of Tread Lightly!(R) -- a non-profit organization dedicated to helping outdoor enthusiasts preserve and protect our outdoor recreational resources.

"The recipients of this year's awards have displayed innovation and commitment in their efforts to preserve and protect the Commonwealth's environmental resources," said Department of Environmental Protection Secretary Kathleen A. McGinty.

For further information, please contact: Lyle Larkin, Vice President, Treasurer, +1-909-351-3535, or Kathy A. Munson, Director-Investor Relations, +1-909-351-3650, both of Fleetwood Enterprises.