17.

Supplemental Guarantor Information

The Company's senior notes are fully and unconditionally guaranteed on an unsecured basis, jointly and severally, by the following subsidiaries (collectively, the "Guarantor Subsidiaries"), which are 100%-owned subsidiaries of the Company.

•

M.D.C. Land Corporation

•

RAH of Florida, Inc.

•

Richmond American Construction, Inc.

•

Richmond American Homes of Arizona, Inc.

•

Richmond American Homes of Colorado, Inc.

•

Richmond American Homes of Delaware, Inc.

•

Richmond American Homes of Florida, LP

•

Richmond American Homes of Illinois, Inc.

•

Richmond American Homes of Maryland, Inc.

•

Richmond American Homes of Nevada, Inc.

•

Richmond American Homes of New Jersey, Inc.

•

Richmond American Homes of Pennsylvania, Inc.

•

Richmond American Homes of Utah, Inc.

•

Richmond American Homes of Virginia, Inc.

Subsidiaries that do not guarantee the Company's senior notes (collectively, the "Non-Guarantor Subsidiaries") primarily include:

•

American Home Insurance

•

American Home Title

•

HomeAmerican

•

StarAmerican

•

Allegiant

•

Richmond American Homes of West Virginia, Inc.

•

Richmond American Homes of Washington, Inc.

The Company has determined that separate, full financial statements of the Guarantor Subsidiaries would not be material to investors and, accordingly, supplemental financial information for the Guarantor Subsidiaries is presented.

Supplemental Condensed Combining Balance Sheet

June 30, 2011

(In thousands)


	MDC			Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminating Entries			Consolidated MDC
Assets
Cash and cash equivalents	$	718,010		$	3,022	$	34,803	$	-		$	755,835
Marketable securities		615,892			-		31,003		-			646,895
Restricted cash		-			604		-		-			604
Receivables		8,572			5,666		4,877		(2,657	)		16,458
Mortgage loans held-for-sale, net		-			-		39,200		-			39,200
Inventories, net
Housing completed or under construction		-			319,951		16,563		-			336,514
Land and land underdevelopment		-			514,634		9,600		-			524,234
Investment in subsidiaries		122,483			-		-		(122,483	)		-
Other assets, net		48,334			42,106		11,223		(1,099	)		100,564

Total Assets	$	1,513,291		$	885,983	$	147,269	$	(126,239	)	$	2,420,304

Liabilities
Accounts payable and related party liabilities	$	2,768		$	26,106	$	3,008	$	(2,657	)	$	29,225
Accrued liabilities		85,099			56,992		64,632		(1,099	)		205,624
Advances and notes payable to parent and subsidiaries		(751,043	)		744,688		6,355		-			-
Mortgage repurchase facility		-			-		8,988		-			8,988
Senior notes, net		1,243,273			-		-		-			1,243,273

Total Liabilities		580,097			827,786		82,983		(3,756	)		1,487,110

Stockholders' Equity		933,194			58,197		64,286		(122,483	)		933,194

Total Liabilities and Stockholders' Equity	$	1,513,291		$	885,983	$	147,269	$	(126,239	)	$	2,420,304

Supplemental Condensed Combining Balance Sheet

December 31, 2010

(In thousands)


	MDC			Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminating Entries			Consolidated MDC
Assets
Cash and cash equivalents	$	535,035		$	4,287	$	32,903	$	-		$	572,225
Marketable securities		938,471			-		30,258		-			968,729
Restricted cash		-			420		-		-			420
Receivables		14,402			8,071		194		(2,657	)		20,010
Mortgage loans held-for-sale, net		-			-		65,114		-			65,114
Inventories, net
Housing completed or under construction		-			372,422		-		-			372,422
Land and land underdevelopment		-			415,237		-		-			415,237
Investment in subsidiaries		110,065			-		-		(110,065	)		-
Other assets, net		88,267			42,288		3,057		-			133,612

Total Assets	$	1,686,240		$	842,725	$	131,526	$	(112,722	)	$	2,547,769


Liabilities
Accounts payable and related party liabilities	$	2,747		$	34,553	$	465	$	(2,657	)	$	35,108
Accrued liabilities		130,960			65,622		64,147		-			260,729
Advances and notes payable to parent and subsidiaries		(673,965	)		671,190		2,775		-			-
Mortgage repurchase facility		-			-		25,434		-			25,434
Senior notes, net		1,242,815			-		-		-			1,242,815

Total Liabilities		702,557			771,365		92,821		(2,657	)		1,564,086

Stockholders' Equity		983,683			71,360		38,705		(110,065	)		983,683

Total Liabilities and Stockholders' Equity	$	1,686,240		$	842,725	$	131,526	$	(112,722	)	$	2,547,769
Total Liabilities and Stockholders' Equity	$	1,686,240		$	842,725	$	131,526	$	(112,722	)	$	2,547,769

Supplemental

Condensed Combining Statements of Operations

Three Months Ended June 30, 2011

(In thousands)


	MDC			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminating Entries			Consolidated MDC
Revenue

Home sales revenue	$	-		$	193,554		$	13,783		$	(1,174	)	$	206,163
Land sales and other revenue		-			2,730			6,792			-			9,522
Equity in (loss) income of subsidiaries		(13,221	)		-			-			13,221			-

Total revenue		(13,221	)		196,284			20,575			12,047			215,685

Costs and Expenses
Home cost of sales		-			168,000			12,271			(1,174	)		179,097
Asset impairments		-			9,119			-			-			9,119
Marketing and commission expenses		-			16,487			866			-			17,353
General and administrative and other expenses		16,251			18,672			5,530			-			40,453

Total operating costs and expenses		16,251			212,278			18,667			(1,174	)		246,022

(Loss) income from operations		(29,472	)		(15,994	)		1,908			13,221			(30,337	)
Other (expense) income		(337	)		41			830			-			534

(Loss) income before income taxes		(29,809	)		(15,953	)		2,738			13,221			(29,803	)
Benefit from (provision for) income taxes		1,829			1,208			(1,214	)		-			1,823

Net (loss) income	$	(27,980	)	$	(14,745	)	$	1,524		$	13,221		$	(27,980	)

Supplemental Condensed Combining Statements of Operations

Three Months Ended June 30, 2010

(In thousands)


	MDC			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminating Entries			Consolidated MDC
Revenue

Home sales revenue	$	-		$	316,809		$	-		$	(5,533	)	$	311,276
Land sales and other revenue		-			5,910			9,144			-			15,054
Equity in (loss) income of subsidiaries		15,307			-			-			(15,307	)		-

Total revenue		15,307			322,719			9,144			(20,840	)		326,330

Costs and Expenses
Home cost of sales		-			260,614			(19	)		(5,533	)		255,062
Asset impairments		-			-			-			-			-
Marketing and commission expenses		-			23,086			-			-			23,086
General and administrative and other expenses		18,607			25,828			5,656			-			50,091

Total operating costs and expenses		18,607			309,528			5,637			(5,533	)		328,239

(Loss) income from operations		(3,300	)		13,191			3,507			(15,307	)		(1,909	)
Other (expense) income		(2,422	)		28			604			-			(1,790	)

(Loss) income before income taxes		(5,722	)		13,219			4,111			(15,307	)		(3,699	)
Benefit from (provision for) income taxes		2,038			(245	)		(1,778	)		-			15

Net (loss) income	$	(3,684	)	$	12,974		$	2,333		$	(15,307	)	$	(3,684	)

Supplemental Condensed Combining Statements of Operations

Six Months Ended June 30, 2011

(In thousands)


Revenue	MDC			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminating Entries			Consolidated MDC
Home sales revenue	$	-		$	359,451		$	13,783		$	(3,688	)	$	369,546
Land sales and other revenue		-			3,391			12,495			-			15,886
Equity in (loss) income of subsidiaries		(19,273	)		-			-			19,273			-

Total revenue		(19,273	)		362,842			26,278			15,585			385,432

Costs and Expenses
Home cost of sales		-			311,495			12,271			(3,688	)		320,078
Asset impairments		-			9,398			-			-			9,398
Marketing and commission expenses		-			32,087			866			-			32,953
General and administrative and other expenses		31,019			34,429			10,228			-			75,676

Total operating costs and expenses		31,019			387,409			23,365			(3,688	)		438,105

(Loss) income from operations		(50,292	)		(24,567	)		2,913			19,273			(52,673	)
Other (expense) income		(2,528	)		83			1,611			-			(834	)

(Loss) income before income taxes		(52,820	)		(24,484	)		4,524			19,273			(53,507	)
Benefit from (provision for) income taxes		4,961			2,584			(1,897	)		-			5,648

Net (loss) income	$	(47,859	)	$	(21,900	)	$	2,627		$	19,273		$	(47,859	)

Supplemental Condensed Combining Statements of Operations

Six Months Ended June 30, 2010

(In thousands)


	MDC			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminating Entries			Consolidated MDC
Revenue
Home sales revenue	$	-		$	460,655		$	-		$	(8,436	)	$	452,219
Land sales and other revenue		-			6,424			14,765			-			21,189
Equity in (loss) income of subsidiaries		17,661			-			-			(17,661	)		-

Total revenue		17,661			467,079			14,765			(26,097	)		473,408

Costs and Expenses
Home cost of sales		-			372,925			(37	)		(8,436	)		364,452
Asset impairments		-			-			-			-			-
Marketing and commission expenses		-			35,275			-			-			35,275
General and administrative and other expenses		36,789			44,451			9,745			-			90,985

Total operating costs and expenses		36,789			452,651			9,708			(8,436	)		490,712

(Loss) income from operations		(19,128	)		14,428			5,057			(17,661	)		(17,304	)
Other (expense) income		(8,630	)		76			917			-			(7,637	)

(Loss) income before income taxes		(27,758	)		14,504			5,974			(17,661	)		(24,941	)
Benefit from (provision for) income taxes		3,201			(223	)		(2,594	)		-			384

Net (loss) income	$	(24,557	)	$	14,281		$	3,380		$	(17,661	)	$	(24,557	)

Supplemental Condensed Combining Statements of Cash Flows

Six Months Ended June 30, 2011

(In thousands)


	MDC			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminating Entries			Consolidated MDC
Net cash (used in) provided by operating activities	$	(25,813	)	$	(83,489	)	$	20,772		$	19,273		$	(69,257	)

Net cash provided by (used in) investing activities		321,930			(11	)		(28,960	)		-			292,959

Financing activities
(Advances to) payments from subsidiaries		(89,496	)		82,235			26,534			(19,273	)		-
Mortgage repurchase facility		-			-			(16,446	)		-			(16,446	)
Dividend payments		(23,692	)		-			-			-			(23,692	)
Proceeds from exercise of stock options		46			-			-			-			46

Net cash (used in) provided by financing activities		(113,142	)		82,235			10,088			(19,273	)		(40,092	)

Net increase (decrease) in cash and cash equivalents		182,975			(1,265	)		1,900			-			183,610
Cash and cash equivalents
Beginning of period		535,035			4,287			32,903			-			572,225

End of period	$	718,010		$	3,022		$	34,803		$	-		$	755,835

Supplemental Condensed Combining Statements of Cash Flows

Six Months Ended June 30, 2010

(In thousands)


	MDC			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminating Entries			Consolidated MDC
Net cash provided by (used in) operating activities	$	71,574		$	(225,398	)	$	(7,449	)	$	(17,661	)	$	(178,934	)

Net cash used in investing activities		(588,283	)		(454	)		(29,410	)		-			(618,147	)

Financing activities
(Advances to) payments from subsidiaries		(256,944	)		228,079			11,204			17,661			-
Proceeds from issuance of senior notes, net		242,288			-			-			-			242,288
Mortgage repurchase facility		-			-			36,190			-			36,190
Dividend payments		(23,570	)		-			-			-			(23,570	)
Proceeds from exercise of stock options		53			-			-			-			53

Net cash (used in) provided by financing activities		(38,173	)		228,079			47,394			17,661			254,961

Net (decrease) increase in cash and cash equivalents		(554,882	)		2,227			10,535			-			(542,120	)
Cash and cash equivalents
Beginning of period		1,210,123			3,258			20,871			-			1,234,252

End of period	$	655,241		$	5,485		$	31,406		$	-		$	692,132