Article: American Home Mortgage Holdings To Acquire Valley Bancorp, Inc.; Transaction to be Significantly Accretive to Earnings.

Business Editors

NEW YORK--(BUSINESS WIRE)--Aug. 27, 2001

Strategic Acquisition Solidifies American Home's Business Objective

on Becoming a Diversified Financial Institution

American Home Mortgage Holdings, Inc. (Nasdaq: AHMH), ("American Home" or the "Company"), one of the nation's largest independent retail mortgage bankers, today announced that it has entered into an agreement to acquire Valley Bancorp, Inc. and its wholly owned subsidiary Valley Bank of Maryland, a federal savings bank located in suburban Baltimore, Maryland, for a combination of American Home shares and cash valued at approximately $5.5 million.

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