Deer Valley Corporation Announces Plan to Idle Sulligent, Alabama Plant and to Consolidate Production in Guin, Alabama

DEER VALLEY CORP

DVLY | 9/16/2008 9:02:40 AM

TAMPA, FL, Sep 16, 2008 (MARKET WIRE via COMTEX News Network) --

Deer Valley Corporation ("Deer Valley" or the "Company") (OTCBB: DVLY) announced today that Company is taking steps to idle its Sulligent, Alabama plant and to consolidate its production operations at the company's larger plant located in Guin, Alabama. This move is necessitated by the continuing constriction of the retail housing market during the third quarter of 2008. The consolidation will be coincident with certain staff reductions necessary to align the Company's production capacity with estimated sales levels for the next several quarters."

Deer Valley's CEO, Charles G. Masters, commented: "The retail housing market continues be a challenging business environment, and it is a time for making tough decisions. The action reported today positions the Company to maintain its record of profitable operations and recognizes the prevailing market realities." Mr. Masters added, "We should also note that these same market realities have created unusual business opportunities. With our highly liquid balance sheet, open credit facilities and proven management team, we are well positioned to adjust our growth strategy to take advantage of promising new opportunities as they are identified."

About Deer Valley

Deer Valley is a growth-oriented manufactured home builder with headquarters in Tampa, Florida and operations in Guin and Sulligent, Alabama. The Company is dedicated to offering high quality homes that are delivered with a sense of warmth, friendliness, and personal pride. Having begun operations in March 2004, the Company is relatively young, but the management team has over 250 years of combined industry experience from various backgrounds including general management, production, sales, customer service, and finance. The Company's plants operate on a four day, forty hour per week, single shift schedule. Subsequent to the moves announced herein, the Company's plant in Sulligent, Alabama will be idle.

Forward-Looking Statement: Except for factual statements made herein, the information contained in this press release consists of forward-looking statements that involve risks and uncertainties, including the effect of changing economic conditions, competition within the manufactured home industry, customer acceptance of products, fulfillment of contracts with key customers, and other risks and uncertainties. Such forward-looking statements are not guarantees of performance, and Deer Valley's results could differ materially from those contained in such statements. You can generally identify forward-looking statements through words and phrases such as "forecast," "seek," "anticipate," "believe," "estimate," "expect," "intend," "plan," "budget," "project," "may be," "may continue," "may likely result," and similar expressions. Such forward-looking statements speak only as of the date of this release, and Deer Valley undertakes no obligation to publicly update any forward-looking statements to reflect new information, events or circumstances after the date of this release.

The corporate offices of Deer Valley are located at 4218 West Linebaugh Avenue, Tampa, FL 33624.

Additional information can be found at: http://www.deervalleycorp.com.

Contact Information: Deer Valley Corporation, Tampa, Florida Charles G. Masters (813) 885-5998 cmasters@deervalleycorp.com www.deervalleycorp.com

SOURCE: Deer Valley Corp.