Lennar Repurchases $289 Million of its Senior Notes

MIAMI, May 25 /PRNewswire-FirstCall/ -- Lennar Corporation (NYSE: LEN and LEN.B) announced that it has repurchased $289,398,000 principal amount of its outstanding senior notes through a debt tender that expired today.

In the debt tender offer, which was commenced on April 27, 2010, Lennar originally sought to purchase up to a total of $200,000,000 principal amount of its 5.95% Senior Notes due 2011 (the "2011 Notes"), 5.95% Senior Notes due 2013 (the "2013 Notes") and 5.125% Senior Notes due 2010 (the "2010 Notes"), in that order of priority.  The tender offer was structured as a "waterfall" tender, in which Lennar would purchase, up to a total of $200 million principal amount, all the tendered 2011 Notes before it would purchase any 2013 Notes, and all the tendered 2013 Notes before it would purchase any 2010 Notes.

By May 6, 2010, after which tendering holders would not receive an early tender payment of $30 per $1,000 principal amount, a total of $288,365,000 principal amount of senior notes had been tendered.  On May 11, 2010, Lennar increased the principal amount of senior notes it would purchase to $288,365,000, so that, if no additional senior notes had been tendered between May 6, 2010 and the expiration of the offer on May 25, 2010, Lennar would have purchased all the tendered senior notes.

By the time the offer expired at 5:00 New York City time on May 25, 2010, an additional $1,033,000 of senior notes had been tendered, increasing the total principal amount of senior notes that were tendered to $289,398,000. Lennar increased the principal amount it would purchase and purchased all $289,398,000 of senior notes that were tendered.

The senior notes Lennar purchased included $130,758,000 of 2011 Notes, equal to 53.6% of all the outstanding 2011 Notes, $82,278,000 of 2013 Notes, equal to 23.5% of all the outstanding 2013 Notes, and $76,362,000 of 2010 Notes, equal to 43.4% of all the outstanding 2010 Notes.

Lennar Corporation, founded in 1954, is one of the nation's leading builders of quality homes for all generations. The Company builds affordable, move-up and retirement homes primarily under the Lennar brand name. Lennar's Financial Services segment provides primarily mortgage financing, title insurance and closing services for both buyers of the Company's homes and others.  Lennar's Rialto Investments segment is focused on distressed real estate asset investments, asset management and workout strategies. Previous press releases and further information about the Company may be obtained at the "Investor Relations" section of the Company's website, www.lennar.com.

Some of the statements in this press release are "forward-looking statements," as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding our business, financial condition, results of operations, strategies and prospects. You can identify forward-looking statements by the fact that these statements do not relate strictly to historical or current matters. Rather, forward-looking statements relate to anticipated or expected events, activities, trends or results. Because forward-looking statements relate to matters that have not yet occurred, these statements are inherently subject to risks and uncertainties. Many factors could cause our actual activities or results to differ materially from the activities and results anticipated in forward-looking statements. These factors include those described under the caption "Risk Factors" in Item 1A of our Annual Report on Form 10-K for our fiscal year ended November 30, 2009. We do not undertake any obligation to update forward-looking statements, except as required by Federal securities laws.

SOURCE Lennar Corporation