Barroway Topaz Kessler Meltzer & Check, LLP and Keller Rohrback L.L.P. Announce Settlement of Class Action Lawsuit Against Beazer Homes USA, Inc.

ATLANTA--(BUSINESS WIRE)--Barroway Topaz Kessler Meltzer & Check, LLP and Keller Rohrback L.L.P.:

UNITED STATES DISTRICT COURT

NORTHERN DISTRICT OF GEORGIA

ATLANTA DIVISION

In re: Beazer Homes USA, Inc. ERISA Litigation

Civil Action No. 1:07-CV-00952 (RWS)

TO All PERSONS WHO WERE PARTICIPANTS IN OR BENEFICIARIES OF THE BEAZER HOMES USA, INC. 401(K) PLAN (THE “PLAN”) AT ANY TIME BETWEEN JULY 28, 2005 AND MAY 12, 2008 (THE “CLASS PERIOD”), AND WHOSE ACCOUNT(S) INCLUDED INVESTMENTS IN THE BEAZER HOMES USA, INC. COMPANY STOCK FUND (THE “BEAZER STOCK FUND”). EXCLUDED FROM THE SETTLEMENT CLASS ARE DEFENDANTS, ANY ENTITY IN WHICH DEFENDANTS HAVE OR HAD A CONTROLLING INTEREST, OR WHICH IS OR WAS A PARENT OR SUBSIDIARY OF OR IS OR WAS CONTROLLED BY BEAZER HOMES, AND THE CURRENT AND FORMER OFFICERS, DIRECTORS, AFFILIATES, LEGAL REPRESENTATIVES, HEIRS, PREDECESSORS, AND ASSIGNS OF DEFENDANTS.

PLEASE READ THIS NOTICE CAREFULLY. A FEDERAL COURT AUTHORIZED THIS NOTICE.

THIS IS NOT A SOLICITATION FROM A LAWYER. YOU HAVE NOT BEEN SUED.

A settlement has been preliminarily approved by a federal court in Atlanta in a consolidated class action lawsuit against Beazer Homes USA, Inc. (“Beazer Homes”) and certain of its current and former directors and officers (collectively, “Defendants”), alleging breaches of fiduciary duties under the Employee Retirement Income Security Act of 1974 (“ERISA”), in connection with the Plan. In particular, the lawsuit claimed that Defendants breached their fiduciary duties under ERISA by continuing to allow investment of the Plan’s assets in the Beazer Stock Fund during the Class Period. Defendants deny any liability in this Action. Both sides agreed to the Settlement to avoid the cost and risk of further litigation and/or to provide a recovery to the members of the Settlement Class. The terms of the Settlement are contained in the Stipulation and Agreement of Settlement (“Stipulation”), dated July 19, 2010, a copy of which is available at www.BeazerERISAsettlement.com, or by contacting Class Counsel at the toll-free number or email address identified below. All capitalized terms not otherwise defined in this Legal Notice shall have the meaning provided in the Stipulation.

The proposed Settlement provides for a payment of $5.5 million to settle all claims against Defendants. The Settlement proceeds, minus Court-approved fees and expenses described in the Stipulation (which include attorneys’ fees and litigation expenses, Case Contribution Awards to the Named Plaintiffs who brought the lawsuit, and taxes and other costs related to the Settlement) will be allocated to members of the Settlement Class whose Plan accounts suffered alleged losses as a result of investing in the Beazer Stock Fund.

If you qualify and the Settlement is approved, you will be entitled to receive such an allocation. Your allocation (if any) will depend on the decline in value of the amount of the Beazer Stock Fund held in your Plan account during the Class Period. You do not need to submit a claim or take any other action. If you are entitled to an allocation, payment will be made directly to your Plan account. If you are no longer a participant in the Plan, a Plan account will be established for you, and you will be notified of this account along with further instructions. It is important that if you are no longer a Plan participant and you have not provided the Plan with any changes in your address, you should contact Class Counsel at the toll-free number below and advise them of your current address.

You do not have the right to exclude yourself from the Settlement in this case, but you do have the right to object in writing to the Court. You will be bound by any judgments or orders that are entered in this Action, and if the Settlement is approved, you will be deemed to have released all Defendants from all claims that were or could have been asserted in this case, other than your right to obtain the relief provided to you, if any, by the Settlement.

The United States District Court for the Northern District of Georgia (Atlanta Division) authorized this Notice.

THE DISTRICT COURT WILL HOLD A HEARING AT 9:30 A.M. ON NOVEMBER 15, 2010 TO DECIDE WHETHER TO APPROVE THE SETTLEMENT AND A REQUEST BY CLASS COUNSEL FOR ATTORNEYS’ FEES, FOR OTHER LITIGATION EXPENSES, AND FOR CASE CONTRIBUTION AWARDS TO THE NAMED PLAINTIFFS.

ADDITIONAL INFORMATION ABOUT THE SETTLEMENT, INCLUDING INFORMATION ABOUT HOW TO OBJECT TO THE SETTLEMENT, IS AVAILABLE AT WWW.BEAZERERISASETTLEMENT.COM. IN ADDITION, CLASS COUNSEL HAS ESTABLISHED A TOLL-FREE NUMBER, 866-778-1167, AND EMAIL ADDRESS, [e-mail], TO ASSIST IN ANSWERING QUESTIONS ABOUT THE SETTLEMENT. YOU MAY ALSO CONTACT CLASS COUNSEL AT:

Edward W. Ciolko	Derek W. Loeser
Peter A. Muhic	KELLER RORHBACK L.L.P.
BARROWAY TOPAZ KESSLER	1201 Third Avenue, Suite 3200
MELTZER & CHECK, LLP	Seattle, WA 98101
280 King of Prussia Road	Fax: [phone]
Radnor, PA 19087
Fax: [phone]

Please direct questions to Class Counsel, and not to the District Court or Beazer Homes.

DATED: AUGUST 30, 2010.

By Order of the Court