. (SAN DIEGO) May 30, 2006 – LAWFUEL – Press Release Service – DLA …


(SAN DIEGO) May 30, 2006 – LAWFUEL – Press Release Service – DLA Piper Rudnick Gray Cary US LLP announced that the firm is representing Accredited Home Lenders Holding Co. (NASDAQ: LEND), a nationwide mortgage company specializing in non-prime residential mortgage loans, in its planned acquisition of Aames Investment Corporation (NYSE: AIC). The two companies announced on May 25 that they have reached a definitive agreement pursuant to which Accredited will acquire Aames.

Aames originates non-prime mortgage loans through a network of 76 retail branch offices and three regional wholesale operations centers, while Accredited originates non-prime mortgage loans through 45 retail branches and 15 regional wholesale operations centers. As a result of the acquisition, the combined business is expected to attain the following rankings in the non-prime industry:

? Sixth largest retail originator
? Twelfth largest overall originator
? Ninth largest non-prime mortgage portfolio
? Nineteenth largest servicing portfolio

The stock-and-cash transaction values Aames at approximately $340 million, or $5.35 per share at closing prices on May 25, 2006. Of the $340 million purchase price, approximately $109 million, or 32% of the purchase price, will be paid in cash to Aames stockholders. The remainder will be paid in Accredited’s common stock at an exchange ratio of 0.0700 shares of Accredited’s common stock for each share of Aames common stock. Aames may be required to distribute dividends to stockholders to satisfy certain REIT tax requirements. The amount of the total consideration represented by cash will be reduced by REIT dividends, if any, to Aames stockholders between now and closing.

The agreement has been unanimously approved by both companies’ boards. A condition of closing is approval by both companies’ stockholders, as well as regulatory authorities and customary closing conditions. The transaction is expected to close during the third quarter.

About Accredited Home Lenders Holding Co. (http://investors.accredhome.com) Accredited Home Lenders Holding Co. is a mortgage company operating throughout the U.S. and in Canada. Accredited originates, finances, securitizes, services, and sells non-prime mortgage loans secured by residential real estate. Founded in 1990, the company is headquartered in San Diego with a market capitalization of approximately $1.2 billion, 2005 originations of $16.6 billion, a $9.7 billion portfolio as of December 31, 2005, and $156 million of net income for 2005.

About DLA Piper Rudnick Gray Cary (www.dlapiper.com) DLA Piper Rudnick Gray Cary has 3,100 lawyers and 59 offices in 22 countries throughout the U.S., U.K., Continental Europe, Middle East and Asia. It has leading practices in commercial, corporate and finance, human resources, litigation, real estate, regulatory and legislative, and technology, media and communications.

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