COLUMBUS, Ohio, Jan. 20 /PRNewswire-FirstCall/ -- M/I Homes, Inc. (NYSE: MHO) today announced 2008 fourth quarter unit results, an amendment to its bank credit facility, and that its Board of Directors has approved certain actions that, if approved by shareholders, the Company believes will help preserve the long-term value of certain of its tax assets.

New contracts for 2008's fourth quarter were 339, up 5% from 2007's fourth quarter of 322. For 2008, new contracts declined 25%, to 1,879 from 2,513 in 2007. Homes delivered for the 2008 fourth quarter decreased 47%, to 554 from 2007's 1,042. For the year ended December 31, 2008, homes delivered were 2,061, down 37% from 3,288 in 2007. The Company's cancellation rate was 31% in the fourth quarter of 2008, compared to 49% in 2007's fourth quarter. The sales value of backlog of homes at December 31, 2008 was $139 million, with backlog units of 566 and an average sales price of $247,000. The backlog of homes at December 31, 2007 had a sales value of $233 million, with backlog units of 748 and an average sales price of $312,000. M/I Homes had 128 active communities at December 31, 2008 compared to 146 at December 31, 2007.

On January 15, 2009, the Company amended its bank credit facility. At December 31, 2008, the Company had no borrowings under its credit facility and had $33 million in cash. The amendment makes certain covenants less restrictive, requires collateral, and reduces the facility to $150 million. The facility maturity date remains October, 2010.

The Company also announced that on January 15, 2009, its Board of Directors (1) approved, subject to adoption by the Company's shareholders, an amendment to its Amended and Restated Code of Regulations to restrict certain transfers of the Company's common shares for the purpose of protecting certain tax benefits (primarily net operating losses and net unrealized built-in losses) from the limitations of Section 382 of the Internal Revenue Code of 1986, as amended, and (2) recommended that the shareholders adopt the proposed amendment at a special meeting of the Company's shareholders which is anticipated to be held on or about March 13, 2009. The amendment, if adopted, allows the Company's Board of Directors to approve exceptions to these restrictions that it believes are in the best interests of the Company and its shareholders. The restrictions, however, would terminate when the Company's tax assets are utilized or expire, or when the Board otherwise deems appropriate.

The Company expects to report fourth quarter and annual financial results on February 5, 2009. You are invited to listen to the conference call over the Internet at 4:00 p.m. Eastern Time. To hear the call, log on to the M/I Homes website at mihomes.com, click on "Investors" and select "Listen to the Conference Call." The call, along with non-GAAP financial measures, will be available through February 2010.

The following legend is provided in accordance with Rule 14a-12 of the Securities Exchange Act of 1934, as amended:

The Company will file with the Securities and Exchange Commission a proxy statement concerning the special meeting of shareholders to approve the proposed amendments to the Company's Amended and Restated Code of Regulations. Shareholders are urged to read the proxy statement when it becomes available because it will contain important information. The Company will mail a copy of the proxy statement to its shareholders. Investors may obtain a free copy of the proxy statement after it is filed by the Company, as well as other filings containing information about the Company, without charge, at the SEC's web site (http://www.sec.gov). Investors may also obtain copies of the proxy statement and any other relevant documents without charge, by directing a written request to Investor Relations, M/I Homes, Inc., 3 Easton Oval, Suite 500, Columbus, Ohio 43219.

The Company and its directors and executive officers may be deemed to be participants in the solicitation of proxies from the Company's shareholders in connection with the special meeting to approve the proposed amendments to the Company's Amended and Restated Code of Regulations. Information about the Company's directors and executive officers (including their respective ownership of the Company's common shares) is available in the Company's definitive proxy statement relating to its 2008 Annual Meeting of Shareholders filed with the SEC on April 2, 2008. Additional information about the directors and executive officers' interests in the transaction will be contained in the proxy statement to be filed with the SEC.

M/I Homes, Inc. is one of the nation's leading builders of single-family homes, having delivered over 73,000 homes. The company's homes are marketed and sold under the trade names M/I Homes and Showcase Homes. The company has homebuilding operations in Columbus and Cincinnati, Ohio; Chicago, Illinois; Indianapolis, Indiana; Tampa and Orlando, Florida; Charlotte and Raleigh, North Carolina; and the Virginia and Maryland suburbs of Washington, D.C.

Certain statements in this Press Release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "expects," "anticipates," "targets," "goals," "projects," "intends," "plans," "believes," "seeks," "estimates," variations of such words and similar expressions are intended to identify such forward-looking statements. These statements involve a number of risks and uncertainties. Any forward-looking statements that we make herein and in future reports and statements are not guarantees of future performance, and actual results may differ materially from those in such forward-looking statements as a result of various factors relating to the economic environment, interest rates, availability of resources, competition, market concentration, land development activities and various governmental rules and regulations as more fully discussed in the Risk Factors section in the Company's Annual Report on Form 10-K for the year ended December 31, 2007, as updated in the Company's periodic filings on Form 10-Q. All forward-looking statements made in this Press Release are made as of the date hereof, and the risk that actual results will differ materially from expectations expressed in this Press Release will increase with the passage of time. The Company undertakes no duty to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. However, any further disclosures made on related subjects in our subsequent filings, releases or presentations should be consulted.





                                 M/I HOMES, INC.
                          Homebuilding Operational Data

                                 NEW CONTRACTS

                          Three months ended        Twelve months ended
                             December 31,               December 31,
                                               %                          %
    Region                 2008      2007   Change     2008     2007   Change

    Midwest                 185       139      33      911     1,195    (24)

    Florida*                 56        75     (25)     430       505    (15)

    Mid-Atlantic             98        79      24      538       752    (28)

    Continuing Operations   339       293      16    1,879     2,452    (23)

    Discontinued Operations*  -        29       -        -        61      -

    Consolidated Total      339       322       5    1,879     2,513    (25)


                                   HOMES DELIVERED

                        Three months ended         Twelve months ended
                            December 31,               December 31,
                                               %                         %
    Region                 2008      2007   Change    2008     2007    Change

    Midwest                 264       443    (40)      937     1,436    (35)

    Florida*                119       248    (52)      474       877    (46)

    Mid-Atlantic            171       293    (42)      614       860    (29)

    Continuing Operations   554       984    (44)    2,025     3,173    (36)

    Discontinued Operations*  -        58      -        36       115    (69)

    Consolidated Total      554     1,042    (47)    2,061     3,288    (37)


                                       BACKLOG

                           December 31, 2008            December 31, 2007
                                          Average                    Average
                                Dollars    Sales            Dollars   Sales
    Region               Units (millions)  Price     Units (millions) Price

    Midwest                365     $84    $230,000    391     $107   $273,000

    Florida*                77     $20    $265,000    121      $35   $292,000

    Mid-Atlantic           124     $35    $285,000    200      $78   $388,000

    Continuing Operations  566    $139    $247,000    712     $220   $308,000

    Discontinued
     Operations*             -       -           -     36      $13   $377,000

    Consolidated Total     566    $139    $247,000    748     $233   $312,000

The Florida Region and Continuing Operations exclude the Company's West Palm Beach Division, which is now classified as a Discontinued Operation.

SOURCE M/I Homes, Inc.