Urness Replaces Stegmayer As Cavco CEO

Today, Cavco Industries, Inc. (Nasdaq: CVCO) announced executive leadership changes. The company’s board of directors has appointed Danial Urness as President and acting CEO, effective immediately. This decision was made after Joe Stegmayer, stepped down from his position as Chairman, President, and CEO of the company. Mr. Stegmayer stepped down after an internal investigation, conducted by independent legal counsel, found certain violations of company policy in relation to securities trading activities conducted by Mr. Stegmayer. The SEC subpoena is requesting certain documents relating to, among other items, trading of the stock of another public company. Company officials say that they intend to cooperate fully with the SEC’s investigation. The board made the decision to transition Mr. Stegmayer into a non-executive role, in order to retain his extensive knowledge of the manufactured housing industry.

William Boor, Chairman of the Company’s Audit Committee, a member of the Company’s Compensation Committee and an independent member of the Board since July 2008, will assume the duties of non-executive Chairman of the Board.

“The board took actions that it believes to be in the best interest of the company and its stakeholders,” commented Mr. Boor. “Cavco remains a strong company and is well-positioned for the future under Dan’s leadership.” Mr. Boor also stated, “The board fully supports Cavco’s current strategy and is confident that Dan Urness is the right person to build our company’s success. We are fortunate to have Dan return to our executive leadership team as our new President and Acting CEO,” he added.

Daniel Urness, President, and Acting Chief Executive Officer

Mr. Urness was previously Cavco’s Executive Vice President, Chief Financial Officer and Treasurer from April 2015 until August 2018. Previously, Mr. Urness served as Cavco’s Vice President, Chief Financial Officer and Treasurer from January 2006 to April 2015 and as a director and/or officer of certain of Cavco’s major subsidiaries, including Palm Harbor Homes, Inc., Fleetwood Homes, Inc., CountryPlace Acceptance Corp. and Standard Casualty Company. Mr. Urness was also Cavco’s Interim Chief Financial Officer from August 2005 to January 2006, Corporate Controller from May 2005 to August 2005, financial consultant to the Company from June 2002 to May 2005 and Controller from May 1999 to June 2002. Prior to joining Cavco, Mr. Urness served as manager and staff at Deloitte & Touche LLP for approximately six years.

Daniel Urness has worked for, and on behalf of Cavco industries since 1999, while maintaining numerous leadership positions, and has also been part of the company’s Chief Executive Officer succession plan. Recently, Mr. Urness served as Cavco Industries’ Vice President, Chief Financial Officer, and Treasurer. He resigned from that position to work more closely with the company’s homebuilding production facilities. As Executive Vice President, he played a major role in advancing Cavco’s operational initiatives.

Cavco Industries Inc. stock closed at $214.68 a share on Thursday, closer to its 52-week high of $261.80 than its low of $139.50.

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