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FOR IMMEDIATE RELEASE

July 25, 2008
Contact: Tom Hardiman
Modular Building Institute
888-811-3288 x158 toll-free

Modular Building Institute Releases 2008 Commercial Modular Construction Report

Charlottesville, VA - The Modular Building Institute (MBI) today announced that it has released its 2008 Commercial Modular Construction Report. MBI is the only international, non-profit trade association that represents dealers and manufacturers of commercial modular buildings. Each year MBI works with Robert W. Baird & Co. (Baird) to gather and analyze investor data on the commercial modular industry. Baird is an internationally recognized member of the NYSE that specializes in equity research, private equity and public finance services. The 2008 Commercial Modular Construction report is the third jointly produced construction report. All reports are available through MBI.

Despite pessimism in other markets, commercial modular construction remains a strong performer. Indications are that growth will continue through 2008 and into 2009, although at a slower rate than in the past few years. Highlights of the report are:

* Forecasted manufacturer revenue continues to increase, although at a slower pace

* Manufacturers’ responses indicated a steady increase in production compared to the previous year

* Thirty-five percent of manufacturers reported lead times of four weeks or less in the latest quarterly survey

* Raw materials inflation was essentially flat for the year

* Approximately thirty seven percent (37%) of all floors produced are for permanent modular buildings

* For dealers, leasing revenue growth continues to be a strong point for the industry, with double digit growth rates reported in each quarter

* Dealers remain optimistic about leasing revenue growth, suggesting a ten percent increase for the year

Three market sectors, in particular, point to the continued health and vitality of the commercial modular industry, not only in the United States, but also Canada: K-12 education, military, and workforce housing.

"There has been a growing interest in the commercial modular construction market from building owners and investors alike," said Tom Hardiman, executive director of the Modular Building Institute. "The association is pleased to provide this report that has become the only industry data of its kind, and it serve as an invaluable resource. We expect to see continued growth for our non-residential commercial building providers."


About MBI
Founded in 1983, the Modular Building Institute is the only, international, non-profit trade association serving non-residential modular construction. Our regular membership includes wholesale manufacturers, direct manufacturers, and dealers of commercial modular buildings, while our associate members are companies supplying building components, services, and financing to the industry. It is MBI's mission to grow the industry and its capabilities by encouraging innovation, quality, and professionalism through communication, education, and recognition. MBI also administers an educational foundation. For more information, visit modular.org.

About Baird
Baird, established in 1919, is an employee-owned, international wealth management, capital markets, private equity and asset management firm with offices in the United States, Europe and Asia. Baird's principal operating subsidiaries are Robert W. Baird & Co. in the United States and Robert W. Baird Group Ltd. in Europe. Baird also has an operating subsidiary in Asia supporting Baird's private equity operations. Robert W. Baird & Co. is a member of the New York Stock Exchange and other principal exchanges and the Securities Investor Protection Corporation (SIPC). Robert W. Baird Ltd. and Baird Capital Partners Europe are authorized and regulated in the United Kingdom by the Financial Services Authority. .

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