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DELTONA SETTLES CLASS ACTION

 DELTONA SETTLES CLASS ACTION
 MIAMI, Sept. 14 /PRNewswire/ -- The Deltona Corporation (NYSE: DLT)


announced today that the Dade County Circuit Court gave final approval to the settlement of a class action lawsuit filed against the Company which stemmed from the 1976 denial by the U.S. Army Corps of Engineers of permits to complete the development of the Company's Marco Island community. As a result of the permit denials, Deltona incurred certain obligations to some 6,500 affected customers and established a loss reserve in excess of $58 million to deal with the related costs. Prior to this settlement, Deltona had resolved the claims of over 86 percent of these customers through various programs implemented by the Company.
 The settlement approved by the court calls for the Company to convey, among other things, more than 120 acres of multi-family and commercial land with an appraised value in excess of $8 million to the Trustee of the 800 member class, with Deltona being obligated to maintain and market such property. Proceeds from the sales of the property, together with approximately 250,000 shares of restricted Deltona Common Stock, would be distributed to the class members in full settlement of their claims against the Company.
 Deltona also announced that its Marco Island loss reserve was being re-evaluated in light of the court approval of the settlement since the consummation of the settlement, together with the resolutions previously achieved, would result in the resolution of the claims of approximately 98.7 percent of its affected customers. It is presently anticipated that the Company will be able to reduce its loss reserve, and increase stockholders' equity, by approximately $4.5 million.
 Deltona is the developer of nine planned communities, extending from the Florida Panhandle through the State's Gulf Coast and encompassing approximately 100,000 acres.
 -0- 9/14/92
 /CONTACT: Michelle R. Garbis, The Deltona Corporation, 305-854-1111/
 (DLT) CO: The Deltona Corporation ST: Florida IN: SU:


SB -- FL013 -- 9320 09/14/92 17:08 EDT
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Publication:PR Newswire
Date:Sep 14, 1992
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