KAUFMAN AND BROAD ANNOUNCES ADDITIONAL SHARES AUTHORIZED FOR STOCK REPURCHASE PROGRAM

LOS ANGELES (July 6, 2000) – The board of directors of Kaufman and Broad Home Corporation (NYSE: KBH) today authorized an increase in the number of shares that may be repurchased under the Company’s current stock repurchase program. The board’s action authorizes the Company to purchase up to an additional four million shares of the Company’s outstanding common stock, bringing the total authorization to 14.5 million shares.

 
Shares will be purchased from time-to-time in open market and privately negotiated transactions subject to market conditions. To date, the Company has repurchased 10.5 million shares under its share repurchase program, which was adopted in August 1999.

Kaufman and Broad Home Corporation is one of America’s premier homebuilders with operating divisions in Arizona, California, Colorado, Nevada, New Mexico and Texas. Kaufman & Broad S.A., the Company’s majority owned subsidiary, is one of the largest homebuilders in France. In 1999, the Company delivered homes to 22,460 families in the U.S. and in France. It also operates a full service mortgage company for the convenience of its buyers. Founded in 1957, Kaufman and Broad is a Fortune 500 Company listed on the New York Stock Exchange under the ticker symbol "KBH."

Except for the historical information contained herein, certain matters discussed in this press release are "forward looking statements" as defined in the Private securities Litigation Reform Act of 1995, including any statements concerning future financial performance, business and prospects, and future Company actions and their expected results. These forward-looking statements are subject to risks, uncertainties and assumptions including, but not limited to, changes in general economic conditions, material prices, labor costs, interest rates, the secondary market for loans, consumer confidence, competition, currency exchange rates (insofar as they affect the Company’s operations in France and Mexico), environmental factors, government regulations affecting the Company’s operations, the availability and cost of land in desirable areas, unanticipated violations of Company policy, unanticipated legal proceedings, and conditions in the capital, credit and homebuilding markets. See the Company’s Annual Report on Form 10-K and its Annual Report to Shareholders for the year ended November 30, 1999 for a further discussion of these and other risks and uncertainties applicable to the Company’s business.

For more information contact:
Analyst contact – Bill Hollinger
310-231-4028
bhollinger@kbhomes.com

Media contact – Kate Mulhearn
(310) 231-4015
kmulhearn@kbhome.com