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Rexhall Industries Announces Stock Buyback

4 May 2000

Rexhall Industries Announces Stock Buyback

              RV Manufacturer Plans to Repurchase 250,000 Shares

    LANCASTER, Calif., May 4 Rexhall Industries, Inc.
(Nasdaq: REXL) today announced it has received authorization to repurchase up
to 250,000 shares, or approximately 8 percent, of its outstanding stock.
    The Lancaster, Calif.-based manufacturer of Class A motorhomes reported
that its board of directors approved the repurchase, which will be conducted
in open market transactions, based on its belief that Rexhall stock is
undervalued.  Rexhall Industries had 3,160,850 common shares outstanding at
March 31, 2000.
    "Our board and senior management team unanimously agree that Rexhall
Industries stock is a good investment of corporate funds at this time," said
William Rex, CEO of Rexhall.  "By nearly all measures -- price earnings ratio,
price-to-book value, growth rate -- Rexhall stock is undervalued.  We remain
committed to increasing shareholder value, and this buyback underscores that
commitment."