National RV Holdings, Inc. Subsidiary Proposes Expansion Plans

PERRIS, Calif., Sept. 20 -- National RV Holdings, Inc. has entered into an agreement to purchase approximately 74 acres in Junction City, Oregon for Country Coach, its subsidiary, for approximately $3 million. The land is to be used for future expansion of the Country Coach manufacturing facilities and is contiguous to the existing facilities. The purchase is subject to the satisfaction of certain closing conditions.

Due to growth in sales and production volume at its Country Coach subsidiary over the past two years, the company has been exploring expansion solutions for several months. The purchase and expansion plans hinge on returning the property to be purchased to its original light industrial zone status and inclusion of this property inside the Junction City urban growth boundary.

National R.V. Holdings, Inc., through its two wholly-owned subsidiaries, National RV, Inc. and Country Coach, Inc., is one of the nation's leading producers of motorized and towable recreation vehicles. National RV is located in Perris, California where it produces Class A gas and diesel motorhomes under model names Dolphin, Islander, Sea Breeze, Tradewinds and Tropi-Cal, and travel trailers under model names Blaze'n and Rage'n. Country Coach, Inc. is located in Junction City, Oregon where it produces high-end Class A diesel motorhomes under the model names Affinity, Allure, Inspire, Intrigue, Lexa and Magna, and bus conversions under the Country Coach Prevost brand.

This release and other statements by NVH and its subsidiaries contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, the cyclical nature of the recreational vehicle industry; seasonality and potential fluctuations in NVH's operating results; NVH's dependence on chassis suppliers; potential liabilities under dealer/lender repurchase agreements; competition; government regulation; warranty claims; product liability; and dependence on certain dealers and concentration of dealers in certain regions. Certain risks and uncertainties that could cause actual results to differ materially from that projected or suggested are set forth in NVH's filings with the Securities and Exchange Commission (SEC) and NVH's public announcements, copies of which are available from the SEC or from NVH upon request.