R-ANELL HOMES NAMED AS MANUFACTURER IN
MODULAR HOUSING RESEARCH ALLIANCE

DENVER, NORTH CAROLINA, April 12, 2006 — R-Anell Homes, the oldest and most established manufacturer of custom homes in the Southeast since 1972, has been chosen to be part of the first group of manufacturers of the Manufactured Housing Research Alliance (MHRA), a non-profit organization with the mission of developing new technologies to enhance the value, quality and performance of the nation's factory built manufactured and modular homes.

MHRA's research supports the industry by developing new methods for using factory built homes in a wide array of housing applications, by solving technical challenges, and by paving the way for innovations in home design, construction and installation. MHRA develops, tests and promotes better methods and materials for designing, manufacturing and marketing factory built homes.

“R-Anell is pleased to be part of the launch of MHRA's initiatives,” said Dennis Jones, president of R-Anell. “The membership will positively affect advances in design, construction and technology for the industry and allow us to work with other organizations and suppliers to achieve common goals.”

R-Anell recently hired Cliff Robbins as its lean manufacturing engineer, a new position at the company. Lean manufacturing is a systematic approach to identifying and eliminating waste through continuous improvement by flowing the product at the pull of the customer in pursuit of perfection. Robbins will be training all R-Anell associates in lean methodology, 5S and value stream mapping. 5S is a method of constantly adapting a factory to meet the needs of production and the customer and stands for Sort, Set in Order, Shine, Standardize and Sustain. Value stream mapping is a method of working on the big picture and not just individual processes to improve the whole and not just optimizing the parts of an operation.

Robbins and Charles Kilbourne-Jervais, director of process development, attended an MHRA training session last week as part of the roll-out of the association's initiatives. Kilbourne-Jervais joined R-Anell in August 2005 and has been developing processes for R-Anell across a number of specific areas to enable the company to offer a wider range of customer support and products.

R-Anell Homes is a privately owned company with 350 employees. The company operates two manufacturing facilities in Denver and Cherryville , North Carolina .

Visit the R-Anell website at www.r-anell.com