5
1
U.S. DOLLARS
3-MOS 3-MOS
DEC-31-1998 DEC-31-1997
JAN-01-1998 JAN-01-1997
MAR-30-1998 MAR-31-1997
1 1
5671196 6964580
0 319732
1154620 2304066
0 0
72279081 44744230
84628436 57283219
4074009 2013124
(2086955) (487559)
104219242 70429884
21570030 17288405
30190284 25734714
53687 45806
0 0
0 0
52405241 27360959
104219242 70429884
36513344 12572837
35513344 13107447
29625225 10946502
4299958 11701550
(3243547) 1091686
0 0
0 0
5801698 314211
350000 25873
5451698 288338
0 0
0 0
0 0
5451698 288338
1.03 0.06
.90 0.06
EX-99
3
SAFE HARBOR COMPLIANCE STATEMENT
EXHIBIT 99
Private Securities Litigation Reform Act of 1995
Safe Harbor Compliance Statement for Forward-Looking Statements
In passing the Private Securities Litigation Reform Act of 1995 (the
"PSLRA"), Congress encouraged public companies to make "forward-looking
statements" by creating a safe-harbor to protect companies from securities law
liability in connection with forward-looking statements. Monterey Homes
Corporation (the "Company" or "Monterey") intends to qualify both its written
and oral forward-looking statements for protection under the PSLRA.
To qualify oral forward-looking statements for protection under the
PSLRA, a readily available written document must identify important factors that
could cause actual results to differ materially from those in the
forward-looking statements. Monterey provides the following information in
connection with its continuing effort to qualify forward-looking statements for
the safe harbor protection of the PSLRA.
Important factors currently known to management that could cause actual
results to differ materially from those in forward-looking statements include,
but are not limited to, the following: (i) changes in national and local
economic and other conditions, such as employment levels, availability of
mortgage financing, interest rates, consumer confidence, and housing demand;
(ii) risks inherent in homebuilding activities, including delays in construction
schedules, cost overruns, changes in government regulation, increases in real
estate taxes and other local government fees; (iii) changes in costs or
availability of land, materials, and labor; (iv) fluctuations in real estate
values; (v) the timing of home closings and land sales; (vi) the Company's
ability to continue to acquire additional land or options to acquire additional
land on acceptable terms; (vii) a relative lack of geographic diversification of
the Company's operation, especially when (A) real estate analysts are predicting
that new home sales in the Phoenix, Arizona metropolitan area may slow
significantly during 1997 and 1998 and (B) new home sales in the Tucson, Arizona
metropolitan area are expected to remain relatively flat during 1997; (viii) the
inability of the Company to obtain sufficient capital on terms acceptable to the
Company to fund its planned capital and other expenditures; (ix) changes in
local, state and federal rules and regulations governing real estate developing
and homebuilding activities and environmental matters, including "no growth" or
"slow growth" initiatives, building permit allocation ordinances and building
moratoriums; (x) expansion by the Company into new markets in which the Company
has no operating experience, such as Texas; (xi) the inability of the Company to
identify acquisition candidates that will result in successful combinations;
(xii) the failure of the Company to make acquisitions on terms acceptable to the
Company; (xiii) the loss of key employees of the Company, including William W.
Cleverly, Steven J. Hilton and John R. Landon; and (xiv) factors that may affect
the Company's mortgage assets, including general conditions in the financial
markets, changes in prepayment rates and changes in interest rates.
Forward-looking statements express expectations of future events. All
forward-looking statements are inherently uncertain as they are based on various
expectations and assumptions concerning future events and they are subject to
numerous known and unknown risks and uncertainties which could cause actual
events or results to differ materially from those projected. Due to these
inherent uncertainties, the investment community is urged not to place undue
reliance on forward-looking statements. In addition, Monterey undertakes no
obligations to update or revise forward-looking statements to reflect changed
assumptions, the occurrence of anticipated events or changes to projections over
time.
(1) "Forward-looking statements" can be identified by use of words such as
"expect," "believe," "estimate," "project," "forecast," "anticipate,"
"plan," and similar expressions.