Document:

<PAGE>

                                                                    EXHIBIT 10.9

                                                                        Draft of
                                                                  January 8,2003

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                             DISTRIBUTION AGREEMENT

                                      AMONG

                               CENTEX CORPORATION,

                              CAVCO INDUSTRIES, LLC

                                       AND

                             CAVCO INDUSTRIES, INC.

                                   DATED AS OF

                                  May 30, 2003

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<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                             PAGE
<S>                                                                                                          <C>
ARTICLE I. DEFINITIONS................................................................................         2
         SECTION  1.1. Certain Definitions............................................................         2
         SECTION  1.2. Other Defined Terms............................................................         6

ARTICLE II. PRELIMINARY TRANSACTIONS..................................................................         7
         SECTION  2.1. Regulatory Filings and Related Actions.........................................         7
         SECTION  2.2. Nasdaq National Market Application.............................................         8
         SECTION  2.3. Business Separation............................................................         8
         SECTION  2.4. Internal Distributions.........................................................         9
         SECTION  2.5. Resignations...................................................................         9
         SECTION  2.6. Ancillary Agreements...........................................................        10
         SECTION  2.7. Restated Cavco Charter and Restated Cavco Bylaws...............................        10

ARTICLE III. THE DISTRIBUTION.........................................................................        10
         SECTION  3.1. Record Date and Distribution Date..............................................        10
         SECTION  3.2. Distribution Agent.............................................................        10
         SECTION  3.3. Delivery of Certificates.......................................................        10
         SECTION  3.4. The Distribution...............................................................        11
         SECTION  3.5. Fractional Shares..............................................................        11

ARTICLE IV. ACCESS TO INFORMATION.....................................................................        11
         SECTION  4.1. Provision of Corporate Records.................................................        11
         SECTION  4.2. Access to Information..........................................................        11
         SECTION  4.3. Litigation Cooperation.........................................................        12
         SECTION  4.4. Reimbursement..................................................................        13
         SECTION  4.5. Treatment of Records...........................................................        13
         SECTION  4.6. Confidentiality................................................................        13
</TABLE>

                                       i

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<TABLE>
<S>                                                                                                           <C>
ARTICLE V. CERTAIN OTHER AGREEMENTS...................................................................        14
         SECTION  5.1. Intercompany Accounts..........................................................        14
         SECTION  5.2. Further Assurances and Consents................................................        14

ARTICLE VI. INDEMNIFICATION AND OTHER MATTERS.........................................................        14
         SECTION  6.1. Assumed Liabilities, Exculpation and Indemnification by Cavco..................        14
         SECTION  6.2. Exculpation and Indemnification by Centex......................................        15
         SECTION  6.3. Specific Indemnification Issues................................................        16
         SECTION  6.4. Notice and Payment of Claims...................................................        17
         SECTION  6.5. Defense of Third-Party Claims..................................................        17

ARTICLE VII...........................................................................................        18
         SECTION  7.1. Conditions.....................................................................        18

ARTICLE VIII. DISPUTE RESOLUTION......................................................................        19
         SECTION  8.1. Application....................................................................        19
         SECTION  8.2. Initial Discussions............................................................        20
         SECTION  8.3. Appeal to Higher Management....................................................        20
         SECTION  8.4. Mediation......................................................................        20
         SECTION  8.5. Arbitration....................................................................        20

ARTICLE IX. MISCELLANEOUS.............................................................................        22
         SECTION  9.1. Notices........................................................................        22
         SECTION  9.2. Interpretation.................................................................        22
         SECTION  9.3. Amendments; No Waivers.........................................................        23
         SECTION  9.4. Successors and Assigns.........................................................        23
         SECTION  9.5. Governing Law..................................................................        23
         SECTION  9.6. Counterparts; Effectiveness....................................................        23
         SECTION  9.7. Entire Agreement...............................................................        24
         SECTION  9.8. Severability...................................................................        24
         SECTION  9.9. Termination....................................................................        24
         SECTION  9.10. Survival......................................................................        24
</TABLE>

                                       ii

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<TABLE>
<S>                                                                                                           <C>
SECTION  9.11. Expenses...............................................................................        24
</TABLE>

EXHIBITS

Exhibit A     --    Form of Administrative Services Agreement
Exhibit B     --    Form of Agreement to Assign Trademark Rights and Limited
                    Consent to Use Centex Trademarks
Exhibit C     --    Form of Tax Sharing Agreement

                                      iii

<PAGE>

                             DISTRIBUTION AGREEMENT

      This DISTRIBUTION AGREEMENT, dated as of May 30, 2003 (this "Agreement")
is entered into by and among CENTEX CORPORATION, a Nevada corporation
("Centex"), CAVCO INDUSTRIES, LLC, a Delaware limited liability company ("Cavco
LLC"), and CAVCO INDUSTRIES, INC., a Delaware corporation ("Cavco" and, together
with Cavco LLC, the "Cavco Parties");

                              W I T N E S S E T H:

      WHEREAS, the Board of Directors of Centex has determined that it is in the
best interests of Centex and its shareholders to separate the businesses
currently conducted by Cavco LLC from the other businesses conducted by Centex
and its Subsidiaries (as hereinafter defined);

      WHEREAS, in furtherance of the foregoing, Centex intends to cause (i)
certain intellectual property held in the name of Centex to be transferred to
Cavco and (ii) Cavco LLC to be merged with and into Cavco;

      WHEREAS, upon the consummation of the transactions described above and
subject to the fulfillment of the conditions set forth herein, Centex intends to
effect the distribution (the "Distribution") of all of the outstanding shares of
common stock, par value $.01 per share, of Cavco (the "Cavco Common Stock") on a
pro rata basis to the holders of shares of common stock, par value $.25 per
share, of Centex (the "Centex Common Stock") as of the Record Date (as
hereinafter defined);

      WHEREAS, Centex and Cavco intend for the Distribution to qualify as a
tax-free transaction under the Internal Revenue Code of 1986, as amended (the
"Code");

      WHEREAS, Centex and Cavco desire to set forth herein certain terms and
provisions governing the principal transactions to be effected in connection
with the Distribution; and

      WHEREAS, Centex and Cavco propose to enter into the Ancillary Agreements
(as hereinafter defined) in order to set forth certain terms and provisions
governing the relationship between the parties in connection with and after the
Distribution;

                                      -1-
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      NOW, THEREFORE, in consideration of the premises, the terms and conditions
set forth herein, the mutual benefits to be gained from the performance thereof,
and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto agree as follows:

                                   ARTICLE I.

                                   DEFINITIONS

      SECTION 1.1. Certain Definitions. The following terms, as used herein,
have the following meanings:

            "AAA Holdings" means AAA Holdings, Inc., a Delaware corporation and
an indirect wholly owned Subsidiary of Centex.

            "AAA Sub" means a Delaware limited liability company to be formed as
a wholly owned Subsidiary of AAA.

            "Action" means any suit, action, arbitration, inquiry, investigation
or other proceeding of any nature (whether criminal, civil, legislative,
administrative, regulatory, prosecutorial or otherwise) by or before any
arbitrator or Governmental Entity or similar Person or body.

            "Administrative Services Agreement" means the Administrative
Services Agreement to be entered into on or before the Distribution Date between
Cavco and Centex Service Company, which shall be substantially in the form of
Exhibit A hereto, with such changes therein as Cavco and Centex Service Company
shall mutually agree.

            "Affiliate" has the meaning assigned to such term in Rule 12b-2 of
the Exchange Act; provided, however, that Centex and Cavco shall not be deemed
to be Affiliates of each other for purposes of this Agreement.

            "Ancillary Agreements" means all agreements, certificates, deeds,
instruments, assignments and other written arrangements (other than this
Agreement) entered into between Centex and Cavco in connection with the
transactions contemplated hereby, including the Administrative Services
Agreement, the Intellectual Property Agreement and the Tax Sharing Agreement.

            "Business Day" means any day other than a Saturday, Sunday or one on
which banks are authorized or required by law to close in New York, New York.

            "Cavco Business" means the businesses of manufacturing and selling
manufactured homes, park model homes and commercial structures as conducted by

                                      -2-
<PAGE>

Cavco LLC and its Subsidiaries prior to the Merger and as the same is to be
conducted by Cavco and its Subsidiaries after the Merger.

            "Cavco Group" means (i) prior to the Merger Date, Cavco LLC and its
Subsidiaries and their respective successors and (ii) after the Merger Date,
Cavco and its Subsidiaries and their respective successors, but in each case
excludes Centex and its Subsidiaries.

            "Cavco Group Liabilities" means the following Liabilities (including
Liabilities arising out of any litigation): (a) the Liabilities arising from or
related to the ownership, operation or conduct of the Cavco Business or the use,
possession or enjoyment of the assets used in connection therewith at any time
prior to or on the Distribution Date, (b) all other Liabilities of the Cavco
Group expressly contemplated by the Transaction Agreements as Liabilities of or
to be assumed by Cavco or any member of the Cavco Group and (c) all other
Liabilities that would be reflected as liabilities or obligations on a balance
sheet dated as of the Distribution Date relating solely to the Cavco Business.
Notwithstanding the foregoing, (i) Liabilities arising from or relating to the
Transferred Intellectual Property shall be deemed "Cavco Group Liabilities" and
(ii) Liabilities arising from or relating to the Excluded Plants shall not be
deemed "Cavco Group Liabilities."

            "Centex Business" means the businesses of home building, investment
real estate, financial services, construction products and construction services
and all other businesses conducted by the Centex Group.

            "Centex Group" means Centex and its Subsidiaries and their
respective successors, but excludes any members of the Cavco Group.

            "Centex Group Liabilities" means all Liabilities of Centex or any
other member of the Centex Group (including Liabilities arising out of any
litigation), except for the Cavco Group Liabilities.

            "Centex Service Company" means Centex Service Company, a Nevada
corporation and an indirect wholly owned Subsidiary of Centex.

            "Commission" means the Securities and Exchange Commission.

            "Contract" means any agreement, lease, license, contract, treaty,
note, mortgage, indenture, franchise, permit, concession, arrangement or other
obligation.

            "CREC" means Centex Real Estate Corporation, a Nevada corporation
and an indirect wholly owned Subsidiary of Centex.

                                      -3-
<PAGE>

            "Damages" means, with respect to any Person, any and all damages
(including punitive and consequential damages if not otherwise expressly
excluded), losses, Liabilities, fines, costs and expenses incurred or suffered
by such Person (including all expenses of investigation, all reasonable
attorneys' and expert witnesses' fees and all other out-of-pocket expenses
incurred in connection with any Action or threatened Action).

            "Distribution Agent" means Mellon Investor Services L.L.C.

            "Distribution Date" means the date and time as of which the
Distribution shall be effected, which shall be determined by, or under the
authority of, the Board of Directors of Centex.

            "Distribution Ratio" means .05 shares of Cavco Common Stock for each
share of Centex Common Stock outstanding as of the Record Date.

            "Exchange Act" means the Securities Exchange Act of 1934, as
amended, and the rules and regulations promulgated thereunder.

            "Excluded Plants" means (i) the manufacturing plant previously owned
by Cavco LLC located in Seguin, Texas and (ii) the manufacturing facility
previously leased by Cavco LLC located in Belen, New Mexico, which in each case
have been transferred and distributed to a wholly owned indirect Subsidiary of
Centex.

            "Finally Determined" means, with respect to any Action, threatened
Action or other matter, that the outcome or resolution of that Action,
threatened Action or other matter either (i) has been decided through binding
arbitration or by a Governmental Entity of competent jurisdiction by judgment,
order, award or other ruling or (ii) has been settled or voluntarily dismissed
by the parties pursuant to the dispute resolution procedure set forth in Article
VIII or otherwise and, in the case of each of clauses (i) and (ii), the
claimants' rights to maintain that Action, threatened Action or other matter
have been finally adjudicated, waived, released, discharged, barred or
extinguished or the judgment, order, ruling, award, settlement or dismissal
(whether mandatory or voluntary, but if voluntary the dismissal must be final,
binding and with prejudice as to all claims specifically pleaded in that Action,
threatened Action or other matter) resolving the same is subject to no further
appeal, vacatur proceeding or discretionary review.

            "Form 10" means the registration statement on Form 10 filed by Cavco
with the Commission in order to effect the registration of Cavco Common Stock
pursuant to Section 12(g) of the Exchange Act, as the same may be supplemented
and amended from time to time.

                                      -4-
<PAGE>

            "Governmental Entity" means any federal, state, local or foreign
government or any court, tribunal, administrative agency or commission or other
governmental or regulatory authority or agency, domestic, foreign or
supranational.

            "Group" means the Cavco Group or the Centex Group, as the context
requires.

            "Information Statement" means the information statement to be mailed
to each holder of record of Centex Common Stock as of the Record Date in
connection with the Distribution.

            "Intellectual Property Agreement" means the Agreement to Assign
Trademark Rights and Limited Consent to Use Centex Trademarks to be entered into
on or before the Distribution Date between Centex and Cavco, which shall be
substantially in the form of Exhibit B hereto, with such changes thereto as
Centex and Cavco shall mutually agree.

            "International" means Centex International, Inc., a Nevada
corporation and a direct wholly owned Subsidiary of Centex.

            "IRS" means the Internal Revenue Service.

            "Law" means any applicable federal, state, local or foreign law,
statute, ordinance, directive, rule, regulation, judgment, order, injunction,
decree, arbitration award, agency requirement, license or permit of any
Governmental Entity.

            "Liability" or "Liabilities" means any and all claims, debts,
liabilities, assessments, costs, deficiencies, charges, demands, fines,
penalties, damages, losses, disgorgements and obligations of any kind, character
or description (whether absolute, contingent, matured, not matured, liquidated,
unliquidated, accrued, known, unknown, direct, indirect, derivative or
otherwise) whenever arising, including all costs, interest and expenses relating
thereto (including all expenses of investigation, all reasonable attorneys' and
expert witnesses' fees and all other out-of-pocket expenses in connection with
any Action or threatened Action) and expressly including any of the foregoing
arising from the negligence or other misconduct of an Indemnified Party.

            "Person" means any individual, corporation, general or limited
partnership, limited liability company, joint venture, estate, trust,
association, organization, Governmental Entity or other entity of any kind or
nature.

            "Record Date" means the close of business on the date determined by
the Board of Directors of Centex (or by a committee of such Board of Directors
or any other Person acting under authority duly delegated to that committee or
Person by the Board of Directors of Centex or a committee of such Board of
Directors) as the record

                                      -5-
<PAGE>

date for determining the holders of record of Centex Common Stock entitled to
receive the Distribution.

            "Restated Cavco Bylaws" means the restated Bylaws of Cavco, which
shall be in such form as the Board of Directors of Cavco reasonably determines
with the approval of Centex.

            "Restated Cavco Charter" means the restated Certificate of
Incorporation of Cavco, which shall be in such form as the Board of Directors of
Cavco reasonably determines with the approval of Centex.

            "Subsidiary" means, with respect to any Person, (i) any corporation
of which at least a majority of the securities or other ownership interests
having by their terms ordinary voting power to elect a majority of the board of
directors are directly or indirectly owned or controlled by such Person and its
Subsidiaries, (ii) any partnership of which such Person or one of its
Subsidiaries is a general partner or as to which such Person and its
Subsidiaries are entitled to receive at least a majority of the assets upon the
liquidation thereof or (iii) any limited liability company of which such Person
or one of its Subsidiaries is a manager (or is entitled as a member to exercise
management rights over the conduct of the business of such limited liability
company) or as to which such Person and its Subsidiaries are entitled to receive
at least a majority of the assets upon the liquidation thereof.

            "Tax Returns" has the meaning set forth in the Tax Sharing
Agreement.

            "Tax Sharing Agreement" means the Tax Sharing Agreement to be
entered into on or before the Distribution Date between Centex and its
Affiliates and Cavco, which shall be substantially in the form attached as
Exhibit C hereto, with such changes thereto as Centex and Cavco shall mutually
agree.

            "Taxes" has the meaning set forth in the Tax Sharing Agreement.

            "Transaction Agreements" means this Agreement and the Ancillary
Agreements.

      SECTION 1.2. Other Defined Terms. Each of the terms set forth below has
the meaning set forth in the provision set forth opposite such term:

<TABLE>
<CAPTION>
            TERM                                                      SECTION
            ----                                                      -------
<S>                                                                <C>
AAA                                                                Section 8.5(b)
Agreement                                                          Preamble
Cavco                                                              Preamble
Cavco Common Stock                                                 Recitals
Cavco Damages                                                      Section 6.2(b)
</TABLE>

                                      -6-
<PAGE>

<TABLE>
<CAPTION>
            TERM                                                      SECTION
            ----                                                      -------
<S>                                                                <C>
Cavco Indemnifiable Liabilities                                    Section 6.1(a)
Cavco Indemnitees                                                  Section 6.2(a)
Cavco Licenses                                                     Section 2.3(c)
Cavco LLC                                                          Preamble
Cavco Parties                                                      Preamble
Centex                                                             Preamble
Centex Common Stock                                                Recitals
Centex Damages                                                     Section 6.1(b)
Centex Indemnifiable Liabilities                                   Section 6.2(a)
Centex Indemnitees                                                 Section 6.1(a)
Code                                                               Recitals
Corporate Records                                                  Section 4.1
Distribution                                                       Recitals
Indemnified Party                                                  Section 6.4(a)
Indemnifying Party                                                 Section 6.4(a)
Merger                                                             Section 2.3(b)
Merger Date                                                        Section 2.3(a)
Transferred Intellectual Property                                  Section 2.3(a)
</TABLE>

                                   ARTICLE II.

                            PRELIMINARY TRANSACTIONS

            SECTION 2.1. Regulatory Filings and Related Actions.

            (a)   Centex and Cavco have prepared, and Cavco has filed with the
Commission, the Form 10, which includes the Information Statement as an exhibit
thereto. Each of Centex and Cavco shall use commercially reasonable efforts to
cause the Form 10 to become effective under the Exchange Act as promptly as
reasonably practicable after the date upon which it is filed with the
Commission.

            (b)   Centex and Cavco have prepared the Information Statement.
Centex shall, if required by law, file the Information Statement with the
Commission. As promptly as practicable after the Form 10 has become effective,
Centex shall mail the Information Statement to the holders of record of Centex
Common Stock as of the Record Date.

            (c)   Each of Centex and Cavco shall take all such actions as may be
necessary or appropriate under the securities or blue sky laws of states or
other

                                      -7-
<PAGE>

jurisdictions within the United States in connection with the Distribution and
the other transactions contemplated hereby.

      SECTION 2.2. Nasdaq National Market Application. Centex and Cavco have
prepared and filed with the National Association of Securities Dealers, Inc., an
application for the Cavco Common Stock to be admitted for quotation on the
Nasdaq National Market. Each of Centex and Cavco shall use commercially
reasonable efforts to cause such application to be approved so that the Cavco
Common Stock is admitted for quotation on the Nasdaq National Market prior to
the Distribution Date.

      SECTION 2.3. Business Separation.

            (a)   Prior to the date and time at which the Merger is consummated
(the "Merger Date"), Centex shall grant, assign, contribute, convey, transfer
and deliver to Cavco all intellectual property rights that are identified in the
Intellectual Property Agreement as being transferred to Cavco (the "Transferred
Intellectual Property").

            (b)   Prior to the Distribution Date, Centex shall cause Cavco LLC
to be merged with and into Cavco, with Cavco being the sole surviving entity in
the merger (the "Merger"). As a result of the Merger, (i) Cavco LLC shall cease
to exist, (ii) Cavco shall succeed to all of the properties, assets, rights and
entitlements of Cavco LLC and shall be subject to all of its Liabilities and
(iii) the total number of outstanding shares of Cavco Common Stock shall be
increased to equal the product of the Distribution Ratio and the number of
shares of Centex Common Stock outstanding on the Record Date.

            (c)   Centex and the Cavco Parties shall use commercially reasonable
efforts to cooperate in transferring to Cavco all licenses, permits and
authorizations that relate to the Cavco Business (the "Cavco Licenses") but that
are held in the name of Centex or any other member of the Centex Group or any of
their respective employees, officers, directors, stockholders, agents or
otherwise (or, in the case of any Cavco Licenses that are held in the name of
Centex or any other member of the Centex Group or any of their respective
employees, officers, directors, stockholders, agents or otherwise that are not
transferable under applicable Law, obtaining new licenses, permits and
authorizations from the relevant Governmental Entities in the name of Cavco to
replace such Cavco Licenses). In the event any such transfer of the Cavco
Licenses (or the grant of any new licenses, permits and authorizations to
replace such Cavco Licenses) cannot be effected prior to the Distribution Date,
Centex shall, except as prohibited by applicable Law, allow Cavco to operate the
Cavco Business under such Cavco Licenses until such transfer can be effected (or
new licenses, permits and authorizations are granted by the relevant
Governmental Entities).

                                      -8-
<PAGE>

            (d)   Centex and the Cavco Parties shall use commercially reasonable
efforts to have Centex and any other member of the Centex Group released, on or
prior to the Distribution Date or as soon as practicable thereafter, as a
guarantor in respect of any guarantees of any Cavco Group Liabilities.

            (e)   It is the intention of the parties that all material
transactions contemplated by this Section 2.3 shall be consummated prior to or
on the Distribution Date; provided, however, that, to the extent that any such
transactions shall not have been consummated prior to or on the Distribution
Date, Centex and Cavco shall cooperate to effect such transactions as promptly
as practicable after Distribution Date. Nothing contained in this Agreement
shall be deemed to require the transfer of any properties, assets, rights or
entitlements, the assumption of any Liabilities or the release of guarantees
which, by their terms or by operation of Law, cannot be transferred, assumed or
released; provided, however, that Centex and the Cavco Parties shall cooperate
to seek to obtain any necessary consent or approval for any transfer, assumption
or release contemplated by this Section 2.3. In the event that any such
transfer, assumption or release has not been consummated as of the Distribution
Date, then, from and after the Distribution Date, the party who retains the
applicable asset or Liability or who is not able to obtain a release of the
applicable guarantee shall hold such asset in trust for the use and benefit of
the party entitled thereto (at the expense of the party entitled thereto), shall
retain such Liability for the account of the party by whom such Liability is to
be assumed or shall hold the other parties harmless against the guarantee to be
released, as the case may be, and take such other action as may be reasonably
requested by the party to whom such asset is to be transferred, from whom such
liability is to be assumed or for the benefit of whom such guarantee is to be
released, as the case may be, in order to place such party, insofar as is
reasonably possible, in the same position as would have existed had such asset
been transferred, such liability assumed or such guarantee released as
contemplated hereby. As and when any such asset becomes transferable, such
liability becomes assumable or such release is obtainable, the transfer,
assumption or release thereof shall be effected forthwith by the parties hereto.

      SECTION 2.4. Internal Distributions. Immediately after the Merger Date,
Centex shall cause (i) AAA Holdings to distribute all of the outstanding shares
of Cavco Common Stock to CREC, (ii) CREC to distribute all of the outstanding
shares of Cavco Common Stock to International and (iii) International to
distribute all of the outstanding shares of Cavco Common Stock to the
Corporation.

      SECTION 2.5. Resignations. Centex shall cause all of its directors,
officers and employees who will be officers or employees of the Centex Group
from and after the Distribution Date (as designated by Centex) to resign,
effective as of the Distribution Date, from all positions as directors, officers
or employees of Cavco or any its Subsidiaries; provided, however, that Mr.
Laurence E. Hirsch, who is an executive officer and Chairman of the Board of
Directors of Centex, shall not resign his position

                                      -9-
<PAGE>

as a member of the Board of Directors of Cavco. Cavco shall cause all of its
directors, officers and employees who will be officers and employees of Cavco or
any of its Subsidiaries after the Distribution Date (as jointly designated by
Centex and Cavco) to resign, effective as of the Distribution Date, from all
positions as officers or employees of Centex or any member of the Centex Group
in which they serve.

      SECTION 2.6. Ancillary Agreements. Prior to or on the Distribution Date,
(i) Centex shall cause Centex Service Company to, and Cavco shall, enter into
the Administrative Services Agreement, (ii) Centex and Cavco shall enter into
the Intellectual Property Agreement and (iii) Centex, on behalf of itself and
its Affiliates, and Cavco shall enter into the Tax Sharing Agreement.

      SECTION 2.7. Restated Cavco Charter and Restated Cavco Bylaws. Prior to or
on the Distribution Date, (i) Cavco and Centex shall take such action as is
required to adopt the Restated Cavco Charter and (ii) Cavco shall take such
action as is required to adopt the Restated Cavco Bylaws. ARTICLE III.

                                  ARTICLE III.

                                THE DISTRIBUTION

      SECTION 3.1. Record Date and Distribution Date. Subject to the fulfillment
of the conditions set forth in Section 7.1, the Board of Directors of Centex (or
a duly authorized committee thereof) shall, in the manner provided for under
applicable Law, declare the Distribution and establish the Record Date and the
Distribution Date and any appropriate procedures in connection with the
Distribution.

      SECTION 3.2. Distribution Agent. Prior to or on the Distribution Date,
Centex shall enter into an agreement with the Distribution Agent providing for,
among other things, the delivery to the holders of Centex Common Stock as of the
Record Date of certificates evidencing the shares of Cavco Common Stock included
in the Distribution.

      SECTION 3.3. Delivery of Certificates. Prior to the Distribution Date,
Centex shall deliver to the Distribution Agent, for the benefit of the holders
of Centex Common Stock as of the Record Date, a stock certificate or
certificates, representing all of the outstanding shares of Cavco Common Stock
to be owned by Centex as of the Distribution Date. After the Distribution Date,
Cavco shall, upon request of the Distribution Agent, provide to the Distribution
Agent any additional certificates representing shares of Cavco Common Stock that
the Distribution Agent shall require to effect the Distribution.

                                      -10-
<PAGE>

      SECTION 3.4. The Distribution. Subject to the terms and conditions hereof,
Centex shall instruct the Distribution Agent to distribute, on or as soon as
practicable after the Distribution Date, to each holder of record of Centex
Common Stock as of the Record Date a number of shares of Cavco Common Stock
equal to the result obtained by multiplying the Distribution Ratio by the number
of shares of Centex Common Stock held by such holder as of the Record Date. Such
distribution shall be effected by the mailing of stock certificates to such
holders or, if practicable, by book-entry transfer. All of the shares of Cavco
Common Stock issued in the Distribution shall have been duly authorized and
shall be fully paid and nonassessable.

      SECTION 3.5. Fractional Shares. Notwithstanding anything to the contrary
contained in this Article III, no fractional shares of Cavco Common Stock shall
be distributed in the Distribution. The parties shall direct the Distribution
Agent to determine the number of fractional shares of Cavco Common Stock
allocable to each holder of record of Centex Common Stock as of the Record Date.
After the Distribution Date, upon the determination by the Distribution Agent of
such number of fractional shares, the Distribution Agent, acting on behalf of
the holders thereof, shall sell such fractional shares for cash on the open
market at the then-prevailing market prices and shall disburse to each holder
entitled thereto, in lieu of any fractional share, without interest, that
holder's ratable share of the proceeds of that sale, after making appropriate
deductions of the amounts required, if any, to be withheld for United States
federal income tax purposes, and to repay expenses of the Distribution Agent in
connection with such sale.

                                   ARTICLE IV.

                              ACCESS TO INFORMATION

      SECTION 4.1. Provision of Corporate Records. Except as otherwise
specifically set forth in the Transaction Agreements, as soon as practicable
after the Distribution Date, each Group shall deliver to the other Group all
documents, Contracts, books, records and data (including minute books, stock
registers, stock certificates and documents of title) (collectively, "Corporate
Records") in its possession relating primarily to the other Group or its
business, assets and affairs; provided, however, that if any such documents,
Contracts, books, records or data relate to both Groups or their businesses,
assets and affairs, each such Group shall provide to the other Group true and
complete copies of such documents, Contracts, books, records or data. Data
stored in electronic form shall be provided in the format in which it existed at
the Distribution Date, except as otherwise specifically set forth in the
Transaction Agreements.

      SECTION 4.2. Access to Information. From and after the Distribution Date,
each Group shall afford to the other Group and its accountants, counsel and
other

                                      -11-
<PAGE>

designated representatives reasonable access during normal business hours to all
personnel, documents, Contracts, books, records, computer data and other data in
such Group's possession relating to the other Group or the business and affairs
of such other Group (other than data and information subject to an
attorney-client or other privilege that is not specifically subject to the
provisions of this Article IV), insofar as such access is reasonably required by
such other Group for a reasonable and appropriate purpose, including for audit,
accounting, regulatory compliance and disclosure and reporting purposes.

      SECTION 4.3. Litigation Cooperation. From and after the Distribution Date:

            (a)   Each Group shall use all reasonable efforts to make available
to the other Group and its accountants, counsel and other designated
representatives, upon written request, its current and former directors,
officers, employees and representatives as witnesses, and shall otherwise
cooperate with the other Group, to the extent reasonably required in connection
with any Action or threatened Action arising out of either Group's business and
operations in which the requesting party may from time to time be involved,
except for any action in which one Group is asserting a claim against or seeking
relief from the other Group and except to the extent that there is a conflict of
interest in the Action or threatened Action between the requesting Group and
itself.

            (b)   Each Group shall promptly notify the other Group, upon its
receipt or the receipt by any of its members, of a request or requirement (by
written questions, interrogatories, requests for information or documents,
subpoenas, civil investigative demands or other similar processes) that relates
to the business and operations of the other Group that could reasonably be
regarded as calling for the inspection or production of any documents or other
information in its possession, custody or control. Each Group shall assert and
maintain, or cause its members to assert and maintain, any applicable claim to
privilege, immunity, confidentiality or protection in order to protect such
documents and other information from disclosure, and shall seek to condition any
disclosure that may be required on such protective terms as may be appropriate.
No Group may voluntarily waive, undermine or fail to take any action reasonably
necessary to preserve an applicable privilege without the prior written consent
of the affected party (or any affected Group member or Affiliates of any such
party) except, in the opinion of such party's counsel, as required by law.

            (c)   Each Group shall enter into such joint defense agreements with
the other Group, in customary form, as Centex and Cavco shall determine are
necessary, appropriate or advisable.

                                      -12-
<PAGE>

      SECTION 4.4. Reimbursement. Except to the extent that any member of one
Group is obligated to indemnify any member of the other Group under Article VI
for such cost or expense, each Group providing information or witnesses to the
other Group, or otherwise incurring any expense in connection with cooperating,
under Sections 4.1, 4.2 or 4.3, shall be entitled to receive from the recipient
thereof, upon the presentation of reasonably detailed invoices therefor, payment
for all out-of-pocket costs and expenses that may reasonably be incurred in
providing such information, witnesses or cooperation.

      SECTION 4.5. Treatment of Records. Except as otherwise required by law or
agreed to in writing, upon compliance with the requirements set forth in Section
4.1, each of Centex and Cavco shall, and shall cause the members of its
respective Group to, destroy or otherwise dispose of any photocopies or similar
reproductions of all Corporate Records provided to, or relating primarily to,
the other Group or its business, assets and affairs; provided, however, that
prior to any such destruction, the other party shall be provided the opportunity
to take possession of such records if it so desires. Any Corporate Records
received by any member of one Group after the Distribution Date and relating
primarily to the other Group or its business, assets or affairs shall promptly
be delivered to such other Group, and retained, in accordance with the
procedures set forth in Section 4.1 and this Section 4.5. Notwithstanding the
foregoing, there shall be no requirement for Centex or Cavco, or any members of
their respective Groups, to destroy or otherwise dispose of any Corporate
Records (or photocopies or similar reproductions thereof) to the extent that
such Corporate Records relate to its business, assets and affairs.

      SECTION 4.6. Confidentiality. Except as may be more specifically addressed
in any Transaction Agreement, each party shall hold, and shall cause its
consultants and advisors to hold, in strict confidence, unless compelled to
disclose by judicial or administrative process or, in the opinion of its
counsel, by other requirements of Law, all confidential or proprietary
information concerning the other party hereto furnished it by such other party
or its representatives pursuant to this Agreement (except to the extent that
such information can be shown to have been (i) previously known by the party to
which it was furnished, (ii) in the public domain through no fault of the party
to which it was furnished or (iii) independently developed by the receiving
party), and each party shall not release or disclose such information to any
other Person, except its auditors, attorneys, financial advisors, bankers and
other consultants and advisors who shall be advised of the provisions of this
Section 4.6.

                                      -13-
<PAGE>

                                   ARTICLE V.

                            CERTAIN OTHER AGREEMENTS

      SECTION 5.1. Intercompany Accounts. Except as otherwise specifically set
forth in any of the Transaction Agreements, all intercompany loan balances,
accounts receivable and accounts payable between any member of one Group and any
member of another Group in existence at the Distribution Date shall be settled
and paid in full, in cash or other immediately available funds, by the party or
parties owing such obligations as soon as practicable (but in no event more than
60 calendar days) after the Distribution Date. If, at any time after the
Distribution Date, either party receives payments belonging to the other party,
the recipient shall promptly account for and remit said payment to the other
party.

      SECTION 5.2. Further Assurances and Consents. In addition to the actions
specifically provided for elsewhere in the Transaction Agreements, each of
Centex and Cavco shall use its reasonable efforts to take, or cause to be taken,
all actions, and to do, or cause to be done, all things, reasonably necessary,
proper or advisable under applicable Laws, regulations and agreements or
otherwise to consummate and make effective the transactions contemplated by this
Agreement, including using its reasonable efforts to obtain any consents and
approvals and to make any filings and applications necessary or desirable in
order to consummate the transactions contemplated by this Agreement. Centex and
Cavco agree to enter into and execute such additional documents as may be
reasonably necessary, proper or advisable to effect the transactions
contemplated by the Transaction Agreements.

                                   ARTICLE VI.

                        INDEMNIFICATION AND OTHER MATTERS

      SECTION 6.1. Assumed Liabilities, Exculpation and Indemnification by
Cavco.

      (a)   From and after the Distribution Date, Cavco shall, without any
further responsibility or liability of, or recourse to, Centex or any Affiliate
of Centex or any of their respective directors, stockholders, officers,
employees, agents, consultants, representatives, successors, transferees or
assignees (collectively, the "Centex Indemnitees"), absolutely and irrevocably
assume and be solely liable and responsible for the Cavco Group Liabilities.
Neither Centex nor any of the Centex Indemnitees shall be liable to Cavco or any
Affiliate of Cavco or any of their respective directors, stockholders, officers,
employees, agents, consultants, customers, representatives, successors,
transferees or assignees for any reason whatsoever on account of (i) any Cavco
Group Liabilities or (ii) any Liabilities arising from the breach by Cavco of
any

                                      -14-
<PAGE>

of its obligations under this Agreement; provided that Centex shall remain
liable to Cavco for any breach by Centex of any of its obligations under this
Agreement. The matters with respect to which Cavco assumes liability pursuant to
clauses (i) and (ii) above are referred to herein as the "Cavco Indemnifiable
Liabilities."

      (b)   Cavco shall indemnify, save and hold harmless each of the Centex
Indemnitees from and against all (i) all Cavco Indemnifiable Liabilities and
(ii) except as otherwise provided in the Transaction Agreements, all Liabilities
that are or are alleged to be related to, arising from, or associated with the
ownership, operation or conduct of the Cavco Business or the use, possession or
enjoyment of the assets used in connection therewith at any time after the
Distribution Date (all of which are collectively called the "Centex Damages").
In addition, if Centex so elects in its sole discretion, Cavco shall defend any
or all of the Centex Indemnities in any Action in which any Centex Damages are
asserted against any Centex Indemnitees.

      (c)   Centex Damages with respect to which, but only to the extent that,
any proceeds are received by Centex, or by any of its Affiliates, from any third
party insurance policy (and are non-reimbursable by Centex under any self
insurance policy), shall not be the subject of indemnification under this
Agreement.

      SECTION 6.2. Exculpation and Indemnification by Centex.

      (a)   Centex shall, without any further responsibility or liability of, or
recourse to, Cavco or any Affiliate of Cavco or any of their respective
directors, stockholders, officers, employees, agents, consultants,
representatives, successors, transferees or assignees (collectively, the "Cavco
Indemnitees"), absolutely and irrevocably be solely liable and responsible for
the Centex Group Liabilities. Neither Cavco nor any of the other Cavco
Indemnitees shall be liable to Centex or any Affiliate of Centex or any of their
respective directors, stockholders, officers, employees, agents, consultants,
customers, representatives, successors, transferees or assignees for any reason
whatsoever on account of (i) any Centex Group Liabilities or (ii) any
Liabilities arising from the breach by Centex of any of its obligations under
this Agreement; provided that Cavco shall remain liable to Centex for any breach
by Cavco of any of its obligations under this Agreement. The matters with
respect to which Centex retains liability pursuant to clauses (i) and (ii) above
are referred to herein as the "Centex Indemnifiable Liabilities."

      (b)   Centex shall indemnify, save and hold harmless each of the Cavco
Indemnitees from and against (i) all Centex Indemnifiable Liabilities and (ii)
except as otherwise provided in the Transaction Agreements, all Liabilities that
are or are alleged to be related to, arising from, or associated with the
ownership, operation or conduct of the Centex Businesses or the use, possession
or enjoyment of the assets used in connection therewith at any time after the
Distribution Date, other than the Cavco Indemnifiable Liabilities (all of which
are collectively called the "Cavco Damages"). In

                                      -15-
<PAGE>

addition, if Cavco so elects in its sole discretion, Centex shall defend any or
all of the Cavco Indemnities in any Action in which any Cavco Damages are
asserted against any Cavco Indemnitees.

      (c)   Cavco Damages with respect to which, but only to the extent that,
any proceeds are received by, or on behalf of, Cavco or by any of its
Affiliates, from any third party insurance policy (and are non-reimbursable
under any self insurance policy), shall not be the subject of indemnification
under this Agreement.

      SECTION 6.3. Specific Indemnification Issues.

      (a)   It is the express intention of the parties hereto that each party to
be indemnified pursuant to this Article VI shall be indemnified and held
harmless from and against all Damages as to which indemnity is provided for
hereunder, NOTWITHSTANDING THAT ANY SUCH DAMAGES ARISE OUT OF OR RESULT FROM THE
ORDINARY, STRICT, SOLE, OR CONTRIBUTORY NEGLIGENCE, OR THE STRICT LIABILITY (OR
OTHER LIABILITY WITHOUT FAULT) OF SUCH PARTY AND REGARDLESS OF WHETHER ANY OTHER
PARTY (INCLUDING ANOTHER PARTY TO THIS AGREEMENT) IS OR IS NOT ALSO NEGLIGENT OR
OTHERWISE LIABLE WITH RESPECT TO THE MATTER IN QUESTION.

      (b)   It is acknowledged that after the Distribution Date the parties will
have negotiated business relationships, which relationships will be described in
the Contracts, agreements and other documents entered into in the normal course
of business. Such documents may include agreements by the parties and their
Affiliates and Subsidiaries to supply, after the Distribution Date, materials,
products and services and to lease facilities, tangible and intangible property.
Such business relationships shall not be subject to the indemnity provisions
hereof, unless the parties expressly agree to the contrary in the agreements
governing such relationships.

      (c)   Except as otherwise provided herein, in the event an Action is
brought by a third party in which the liability as between Centex and Cavco is
Finally Determined to be joint or in which the entitlement to indemnification
hereunder is not determinable, the parties shall negotiate in good faith in an
effort to agree, as between Centex and Cavco, on the proper allocation of
liability or entitlement to indemnification, as well as the proper allocation of
the costs of any joint defense or settlement pursuant to Section 6.5, all in
accordance with the provisions of, and the principles set forth in, this
Agreement. In the absence of any such agreement, such allocation of liability or
entitlement to indemnification, and such allocation of costs, shall be subject
to ultimate resolution between Centex and Cavco pursuant to Article IX.

                                      -16-
<PAGE>

      SECTION 6.4. Notice and Payment of Claims.

      (a)   If any party to this Agreement or a person entitled to
indemnification under this Agreement (an "Indemnified Party") determines that it
is or may be entitled to a defense or indemnification by Centex or Cavco, as the
case may be (the "Indemnifying Party"), under this Agreement, the Indemnified
Party shall deliver promptly to the Indemnifying Party a written notice and
demand for indemnification, specifying the basis for the claim for
indemnification, the nature of the claim, and, if known, the amount for which
the Indemnified Party reasonably believes it is entitled to be indemnified. The
Indemnifying Party shall have 30 days from receipt of such notice in which to:
(w) assume the defense of such litigation or claim; (x) pay the claim in
immediately available funds; (y) reserve its rights pending negotiations under
Section 6.5 or (z) object in accordance with Section 6.4(b). This 30-day period
may be extended by express agreement of the parties.

      (b)   An Indemnifying Party may object to, or reserve its rights with
respect to, the claim for indemnification set forth in any notice delivered by
the Indemnified Party pursuant to Section 6.4(a) so long as it acts in good
faith and with a reasonable basis for its belief that it is not obligated to
indemnify the Indemnified Party.

      SECTION 6.5. Defense of Third-Party Claims.

      (a)   If the Indemnified Party's claim for Indemnification is based, under
this Agreement, on an Action, judicial or otherwise, brought by a third party,
and the Indemnifying Party does not object under Section 6.4(b), the
Indemnifying Party may, participate in the defense of such Action and may assume
the defense of such Action with counsel satisfactory to the Indemnified Party if
(i) the Indemnified Party agrees to assumption thereof by the Indemnifying Party
or (ii) the Indemnifying Party shall have confirmed in writing (without
reservation or qualification) its obligation to provide indemnification for the
liability asserted in such action. If the Indemnified Party shall reasonably
conclude that its interests in such Action are materially different from those
of the Indemnifying Party or that it may have defenses that are different from
or in addition to those available to the Indemnifying Party, the Indemnified
Party may use separate counsel to protect such interests and assert such
defenses and otherwise participate in the defense of such Action. If the
Indemnifying Party shall assume the defense with counsel satisfactory to the
Indemnified Party, the Indemnifying Party shall not be liable for any legal
expenses (other than investigation expenses) subsequently incurred by the
Indemnified Party, unless the Indemnified Party shall have employed separate
counsel in accordance with the preceding sentence.

      (b)   The Indemnifying Party shall pay to the Indemnified Party in
immediately available funds the amounts for which the Indemnified Party is
entitled to

                                      -17-
<PAGE>

be indemnified within 30 days after such third party claim is Finally Determined
(or within such longer period as agreed to by the parties).

      (c)   In the event an Action is brought by a third party in which the
liability as between Centex and Cavco is alleged to be joint or in which the
entitlement to indemnification hereunder is not determinable or as to which
there has been a reservation of rights, the parties shall cooperate in a joint
defense. Such joint defense shall be under the general management and
supervision of the party which is expected to bear the greater share of the
liability; provided, however, that neither party shall settle or compromise any
such joint defense matter without the consent of the other. The costs of such
joint defense shall be borne as the parties may agree, or in the absence of such
agreement, such costs shall be borne by the party incurring such costs, subject
to ultimate resolution pursuant to Article IX hereof.

                                  ARTICLE VII.

                                   CONDITIONS

      SECTION 7.1. Conditions. The obligations of Centex and Cavco to consummate
the Distribution shall be subject to the fulfillment (or, if permissible under
applicable law, the waiver by Centex) of the following conditions at or prior to
the Distribution Date:

      (a)   The Form 10 shall have become effective under the Exchange Act, and
no stop order with respect thereto shall be in effect;

      (b)   The Information Statement shall have been mailed to the holders of
record of Centex Common Stock as of the Record Date;

      (c)   The shares of Cavco Common Stock to be delivered in the Distribution
shall have been approved for quotation on the Nasdaq National Market;

      (d)   The transactions contemplated by Section 2.3 shall have been
consummated on terms satisfactory to Centex in its sole discretion;

      (e)   Each of the Ancillary Agreements shall have been executed and
delivered by the Persons who are proposed to become parties thereto;

      (f)   The Restated Cavco Charter and Restated Cavco Bylaws shall be in
effect;

                                      -18-
<PAGE>

      (g)   all consents, approvals and authorizations of any Governmental
Entity required for the consummation of the Distribution and the other
transactions contemplated hereby and by the Ancillary Agreements shall have been
obtained and shall be in full force and effect, and such consents, approvals and
authorizations shall be in form and substance satisfactory to Centex in its sole
discretion;

      (h)   no order, preliminary or permanent injunction or decree shall have
been issued by any court or agency of competent jurisdiction or any other
Governmental Entity and no other legal restraint or prohibition shall be in
effect that prevents or makes unlawful the Distribution;

      (i)   the Centex Board of Directors shall have received an opinion from a
nationally recognized valuation firm, which opinion shall be in form and
substance satisfactory to Centex in its sole discretion, and Centex shall
otherwise be reasonably satisfied that, after giving effect to the Distribution,
(i) the present fair saleable value and the fair value of the assets of Centex
and Cavco will exceed their liabilities; (ii) Cavco and Centex will be able to
pay their debts as such debts mature during the normal course of business; (iii)
Cavco will not have unreasonably small capital for the business in which it is
and will be engaged; and (iv) the total assets of Centex will exceed its total
liabilities, plus the amount that would be needed, if Centex were dissolved at
the time of the distribution, to satisfy any preferential rights of stockholders
whose preferential rights are superior to those receiving the distribution; and

      (j)   Centex shall have received a ruling from the IRS to the effect that
the Distribution will be a tax-free transaction for federal income tax purposes,
and such ruling shall be in form and substance satisfactory to Centex in its
sole discretion.

                                  ARTICLE VIII.

                               DISPUTE RESOLUTION

      SECTION 8.1. Application. Any dispute arising out of or relating to this
Agreement, including the breach or termination hereof, shall be resolved in
accordance with the procedures specified in this Article VIII, which shall be
the sole and exclusive procedure for the resolution of any such disputes;
provided, however, that a party may file a complaint to seek a preliminary
injunction or other provisional judicial relief, if in its sole judgment such
action is necessary. Despite such action the parties will continue to
participate in good faith in the procedures set forth in this Article VIII and
each party is required to continue to perform its obligations under this
Agreement pending final resolution of any dispute arising out of or relating to
this Agreement, unless to do so would be impossible or impracticable under the
circumstances. All negotiations between the parties pursuant to this Article
VIII are confidential and shall be treated as compromise and settlement
negotiations for purposes of applicable rules of evidence.

                                      -19-
<PAGE>

The requirements of this Article VIII shall not be deemed a waiver of any right
of termination under this Agreement.

      SECTION 8.2. Initial Discussions. Any dispute shall be first discussed by
an appropriate senior executive officer of each of the parties or his or her
designee. Any party may initiate such discussions by giving the other party
written notice specifying in detail the nature of the dispute. Within 15
Business Days after delivery of the notice, the receiving party shall submit to
the other a written response, including a statement of such party's position and
a summary of arguments supporting such position. Within 10 Business Days (or
such other period as agreed upon by the parties) after receipt of such response,
the executives of both parties shall meet at a mutually acceptable time and
place, and thereafter as often as they reasonably deem necessary, to attempt to
resolve the dispute. All reasonable requests for information made by one party
to the other shall be honored.

      SECTION 8.3. Appeal to Higher Management. If, in spite of such
discussions, no mutually acceptable solution is reached within 30 Business Days
after the delivery of one party's written request to the other party to discuss
such dispute, any such dispute shall be referred to the Chief Legal Officer of
Centex and the Chief Executive Officer of Cavco.

      SECTION 8.4. Mediation. If the dispute is not resolved within 30 Business
Days (or such other period as agreed upon by the parties) following the
submission of the dispute to senior management pursuant to Section 8.3, the
parties shall attempt to resolve the dispute employing non-binding mediation
under the then-current CPR Mediation Procedure. If within 10 Business Days (or
any other period agreed upon by the parties) after the commencement of such
mediation the dispute still has not been resolved, each of the parties may
commence arbitration proceedings pursuant to Section 8.5.

      SECTION 8.5. Arbitration. The parties hereto agree that all disputes,
controversies or claims that may arise out of the transactions contemplated by
this Agreement, or the breach, termination or invalidity thereof, shall be
submitted to, and determined by, binding arbitration in accordance with the
following procedures:

      (a)   Either Centex or Cavco may submit a dispute, controversy or claim to
arbitration by giving the other party written notice to such effect, which
notice shall describe, in reasonable detail, the facts and legal grounds forming
the basis for the filing party's request for relief. The arbitration shall be
held before one neutral arbitrator in Dallas, Texas.

      (b)   Within 30 days after the other party's receipt of such demand,
Centex and Cavco shall mutually determine who the arbitrator will be. If the
parties are unable to agree on the arbitrator within that time period, the
arbitrator shall be selected by the

                                      -20-
<PAGE>

American Arbitration Association ("AAA"). In any event, the arbitrator shall
have a background in, and knowledge of, transactions in the homebuilding or
manufactured housing industries and shall otherwise be an appropriate person
based on the nature of the dispute. If a person with experience in such matters
is not available, the arbitrator shall be chosen from the retired federal judges
pool.

      (c)   The arbitration shall be governed by the Commercial Arbitration
Rules of the AAA, except as otherwise expressly provided in this Section 8.5.
However, the arbitration shall be administered by any organization mutually
agreed to in writing by the parties. If the parties are unable to agree on the
organization to administer the arbitration, it shall be administered by the AAA.

      (d)   Discovery shall be limited to the request for and production of
documents, depositions and interrogatories. Interrogatories shall be allowed
only as to the names, last known addresses and telephone numbers of all persons
having knowledge of facts relevant to the dispute and a brief description of
that person's knowledge and the names, addresses and telephone numbers of any
experts who may be called as an expert witness or who have been used for
consultation. All discovery shall be guided by the Federal Rules of Civil
Procedure. All issues concerning discovery upon which the parties cannot agree
shall be submitted to the arbitrator for determination.

      (e)   In rendering an award, the arbitrator shall determine the rights and
obligations of the parties according to the substantive and procedural laws of
the State of Delaware.

      (f)   The decision of, and award rendered by, the arbitrator shall be
determined no more than 30 days after the selection of the arbitrator and shall
be final and binding on the parties and shall not be subject to appeal. Judgment
on the award may be entered in and enforced by any court of competent
jurisdiction.

      (g)   Each party shall bear its own costs and expenses (including filing
fees) with respect to the arbitration, including one-half of the fees and
expenses of the arbitrator.

                                      -21-
<PAGE>

                                   ARTICLE IX.

                                  MISCELLANEOUS

      SECTION 9.1. Notices. Any and all notices or other communications required
or permitted to be given under any of the provisions of this Agreement shall be
in writing and may be delivered by hand, by certified mail, return receipt
requested, postage prepaid, or by nationally recognized overnight courier
service, or by facsimile transmission addressed as follows:

             If to Centex:

             Centex Corporation
             2728 North Harwood
             Dallas, Texas 75201
             Fax No.: (214) 981-6855
             Attention: Chief Legal Officer

             If to Cavco:

             Cavco Industries, Inc.
             1001 North Central Avenue
             Suite 800
             Phoenix, Arizona 85004
             Fax No.: (602) 256-6189
             Attention: Chief Executive Officer

      SECTION 9.2. Interpretation.

      (a)   The article, section and paragraph headings contained herein are for
the purposes of convenience only and are not intended to define or limit the
contents of said articles, sections or paragraphs. Whenever the words "include,"
"includes" and "including" are used in this Agreement, they shall be deemed
followed by the words "without limitation." Whenever a reference is made in this
Agreement to a "party" or "parties," such reference shall be to a party or
parties to this Agreement unless otherwise indicated. Whenever the context
requires, the use of any gender herein shall be deemed to be or include the
other genders and the use of the singular herein shall be deemed to include the
plural (and vice versa). The use of the words "hereof" and "herein" and words of
similar import shall refer to this entire Agreement and not to any particular
article, section, subsection, clause, paragraph or other subdivision of this
Agreement, unless the context otherwise requires.

      (b)   Each party hereto stipulates and agrees that the rule of
construction to the effect that any ambiguities are to be or any be resolved
against the drafting party shall

                                      -22-
<PAGE>

not be employed in the interpretation of this Agreement to favor any party
against the other, and that no party, including any drafting party, shall have
the benefit of any legal presumption (including "meaning of the authors") or the
detriment of any burden of proof by reason of any ambiguity or uncertain meaning
contained in this Agreement.

      (c)   If this Agreement contains any terms and provisions (including, but
not limited to, the provisions of Article VI) that govern or otherwise apply, or
could be construed to govern or otherwise apply, to the preparation or filing of
Tax Returns, the allocation of liability for Taxes or any other matter relating
to the obligations of the parties with respect to Taxes or any Action arising in
connection therewith, to the extent that any such terms and provisions are
inconsistent in any respect with the terms and provisions of the Tax Sharing
Agreement, the terms and conditions of the Tax Sharing Agreement shall control
and shall be deemed to supersede the terms and provisions hereof.

      SECTION 9.3. Amendments; No Waivers. Any provision of this Agreement may
be amended or waived if, and only if, such amendment or waiver is in writing and
signed, in the case of an amendment, by each party, or in the case of a waiver,
by the party against whom the waiver is to be effective. No failure or delay by
any party in exercising any right, power or privilege hereunder shall operate as
a waiver thereof nor shall any single or partial exercise thereof preclude any
other or further exercise thereof or the exercise of any other right, power or
privilege. The rights and remedies herein provided shall be cumulative and not
exclusive of any rights or remedies provided by law.

      SECTION 9.4. Successors and Assigns. The provisions of this Agreement
shall be binding upon and inure to the benefit of the parties hereto and their
respective successors and permitted assigns. Nothing contained in this Agreement
is intended to confer upon any Person other than the parties hereto and their
respective successors and permitted assigns, any benefit, right or remedies
under or by reason of this Agreement, except that the provisions of Article VI
shall inure to the benefit of the Centex Indemnitees and the Cavco Indemnitees.
Neither party may assign, delegate or otherwise transfer any of its rights or
obligations under this Agreement without the prior written consent of the other
party hereto, which shall not be unreasonably withheld.

      SECTION 9.5. Governing Law. This Agreement shall be construed in
accordance with and governed by the laws of the State of Texas, without regard
to the conflict of laws rules thereof.

      SECTION 9.6. Counterparts; Effectiveness. This Agreement may be signed in
any number of counterparts, each of which shall be an original, with the same
effect as if the signatures thereto and hereto were upon the same instrument.
This Agreement shall become effective when each party hereto shall have received
a counterpart hereof signed by the other party hereto.

                                      -23-
<PAGE>

      SECTION 9.7. Entire Agreement. This Agreement and other Transaction
Agreements constitute the entire understanding of the parties with respect to
the subject matter hereof and thereof and supersede all prior agreements,
understandings and negotiations, both written and oral, between the parties with
respect to the subject matter hereof and thereof. No representation, inducement,
promise, understanding, condition or warranty not set forth in the Transaction
Documents has been made or relied upon by any party hereto.

      SECTION 9.8. Severability. If any one or more of the provisions contained
in this Agreement should be declared invalid, illegal or unenforceable in any
respect, the validity, legality and enforceability of the remaining provisions
contained in this Agreement shall not in any way be affected or impaired thereby
so long as the economic or legal substance of the transactions contemplated
hereby is not affected in any manner materially adverse to any party. Upon such
a declaration, the parties shall modify this Agreement so as to effect the
original intent of the parties as closely as possible in an acceptable manner so
that the transactions contemplated hereby are consummated as originally
contemplated to the fullest extent possible. SECTION 9.9. Termination.
Notwithstanding any provision in this Agreement to the contrary, this Agreement
may be terminated and the Distribution amended, modified or abandoned at any
time prior to the Distribution, without penalty or liability, by and in the sole
discretion of Centex and without the approval of Cavco or of Centex's
stockholders.

      SECTION 9.10. Survival. All covenants and agreements of the parties
contained in this Agreement shall survive the Distribution Date.

      SECTION 9.11. Expenses. Except as otherwise set forth in the Transaction
Agreements, all costs and expenses incurred prior to or on the Distribution Date
in connection with the preparation, execution and delivery of the Transaction
Agreements, the preparation of the Information Statement (including any
registration statement on Form 10 of which such Information Statement may be a
part) and the consummation of the Distribution and the other transactions
contemplated thereby shall be charged to and paid by AAA Holdings, CREC,
International, Centex and Cavco on a pro rata basis in proportion to the net
book value of their respective assets as of such date as Centex shall determine.

                            [Signature page follows]

                                      -24-
<PAGE>

            IN WITNESS WHEREOF the parties hereto have caused this Agreement to
be duly executed by their respective authorized officers as of the date first
above written.

                                            CENTEX CORPORATION

                                            By:  /s/  MICHAEL S. ALBRIGHT
                                               ---------------------------------
                                               Name:  Michael S. Albright
                                               Title:  Senior Vice President

                                            CAVCO INDUSTRIES, LLC

                                            By:  /s/  JOSEPH H. STEGMAYER
                                               ---------------------------------
                                               Name:  Joseph H. Stegmayer
                                               Title:  President and C.E.O.

                                            CAVCO INDUSTRIES, INC.

                                            By:  /s/  JOSEPH H. STEGMAYER
                                               ---------------------------------
                                               Name:  Joseph H. Stegmayer
                                               Title:  President and C.E.O.

                                      -25-<PAGE>
                                                                   EXHIBIT 10.10

                                                                [EXECUTION COPY]

                              TAX SHARING AGREEMENT

                                  BY AND AMONG

                               CENTEX CORPORATION

                               AND ITS AFFILIATES

                                       AND

                             CAVCO INDUSTRIES, INC.

Dated June 30, 2003

      This TAX SHARING AGREEMENT (the "Agreement") dated as of June 30, 2003, by
and among Centex Corporation ("Centex"), a Nevada corporation and each Centex
Affiliate (as defined below), and Cavco Industries, Inc. ("Cavco"), a newly
formed Delaware corporation and indirect, wholly owned subsidiary of Centex, is
entered into in connection with the Distribution (as defined below).

                                    RECITALS

      WHEREAS, the Centex Board of Directors has determined, subject to certain
conditions, that it is appropriate and desirable to make a pro rata distribution
of one hundred percent (100%) of the stock of Cavco to its common shareholders,
with cash distributed in lieu of any fractional shares of Cavco, on the
Distribution Date, as defined below (the "Public Distribution"); and

      WHEREAS, in order to consummate the Public Distribution, it is necessary
and desirable for AAA Holdings, Inc. ("AAA"), a Delaware corporation and
currently the direct parent of Cavco Industries, LLC ("Cavco LLC") to form Cavco
and to then merge Cavco LLC with and into Cavco (the "Merger"); and

      WHEREAS, in order to consummate the Public Distribution, it is necessary
and desirable for AAA to make a pro rata distribution of one hundred percent
(100%) of the stock of Cavco to its sole shareholder, Centex Real Estate
Corporation ("CREC") (the "Internal Distribution 1"); and

      WHEREAS, in order to consummate the Public Distribution, it is necessary
and desirable for CREC to make a pro rata distribution of one hundred percent
(100%) of the stock of Cavco to its sole shareholder, Centex International, Inc.
("International") (the "Internal Distribution 2"); and

<PAGE>

      WHEREAS, in order to consummate the Public Distribution, it is necessary
and desirable for International to make a pro rata distribution of one hundred
percent (100%) of the stock of Cavco to its sole shareholder, Centex (the
"Internal Distribution 3"); and

      WHEREAS, the Merger is intended to qualify as a reorganization under
section 368(a)(1)(D) of the Internal Revenue Code of 1986, as amended (the
"Code"), and the Public Distribution and Internal Distributions 1 through 3
(collectively the "Internal Distributions") are intended to qualify as tax free
distributions under Code section 355; and

      WHEREAS, it is appropriate and desirable to set forth the principles and
responsibilities of the parties to this Agreement regarding the allocation of
Tax (as defined below) and other related liabilities and adjustments with
respect to Taxes, Tax contests and other related Tax matters; and

      WHEREAS, to that end, the parties wish to enter into this Tax Sharing
Agreement;

                                    AGREEMENT

      NOW, THEREFORE, in consideration of the mutual covenants and promises
contained herein, and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:

                                    ARTICLE 1
                                   DEFINITIONS

      "Audit" includes any audit, assessment of Taxes, other examination by any
Tax Authority, proceeding, or appeal of such a proceeding relating to Taxes,
whether administrative or judicial.

      "Centex Affiliate" means any corporation or other entity directly or
indirectly controlled by Centex, excluding Cavco.

      "Centex Group" means the affiliated group of corporations as defined in
Section 1504 (a) of the Code, or similar group of entities as defined under
corresponding provisions of the laws of other jurisdictions, of which Centex is
the common parent, and any corporation or other entity which may be, may have
been or may become a member of such group from time to time, but excluding
Cavco.

      "Combined Group" means a group of corporations or other entities that
files a Combined Return.

      "Combined Return" means any Tax Return with respect to Non-Federal Taxes
filed on a consolidated, combined (including nexus combination, worldwide
combination, domestic combination, line of business combination or any other
form of combination) or unitary basis wherein Cavco joins in the filing of such
Tax Return (for any taxable period or portion thereof) with Centex or one or
more Centex Affiliates.

<PAGE>

      "Consolidated Group" means an affiliated group of corporations within the
meaning of Section 1504 (a) of the Code that files a Consolidated Return.

      "Consolidated Return" means any Tax Return with respect to Federal Income
Taxes filed on a consolidated basis wherein Cavco joins in the filing of such
Tax Return (for any taxable period or portion thereof) with Centex or one or
more Centex Affiliates.

      "Distribution" means the Internal Distributions and/or the Public
Distribution.

      "Distribution Date" means the close of business on the date on which the
Public Distribution is effected.

      "Federal Income Tax" means any Tax imposed under Subtitle A of the Code
(including the Taxes imposed by Sections 11, 55, 59A, and 1201(a) of the Code),
and any interest, additions to Tax or penalties applicable or related thereto,
and any other income-based United States federal Tax which is hereinafter
imposed upon corporations.

      "Federal Tax" means any Tax imposed or required to be withheld by any Tax
Authority of the United States.

      "Final Determination" means any of (a) the final resolution of any Tax (or
other matter) for a taxable period, including related interest or penalties,
that, under applicable law, is not subject to further appeal, review or
modification through proceedings or otherwise, including (1) by the expiration
of a statute of limitations or a period for the filing of claims for refunds,
amending Tax Returns, appealing from adverse determinations, or recovering any
refund (including by offset), (2) by a decision, judgment, decree, or other
order by a court of competent jurisdiction, which has become final and
unappealable, (3) by a closing agreement or an accepted offer in compromise
under Section 7121 or 7122 of the Code, or comparable agreements under laws of
other jurisdictions, (4) by execution of an Internal Revenue Service Form 870 or
870AD, or by a comparable form under the laws of other jurisdictions (excluding,
however, with respect to a particular Tax Item for a particular taxable period
any such form that reserves (whether by its terms or by operation of law) the
right of the taxpayer to file a claim for refund and/or the right of the Tax
Authority to assert a further deficiency with respect to such Tax Item for such
period), or (5) by any allowance of a refund or credit, but only after the
expiration of all periods during which such refund or credit may be recovered
(including by way of offset), or (b) the payment of Tax by any member of the
Consolidated Group or Combined Group with respect to any Tax Item disallowed or
adjusted by a Tax Authority provided that Centex determines that no action
should be taken to recoup such payment.

      "Income Taxes" means (a) any Tax based upon, measured by, or calculated
with respect to (1) net income or profits (including any capital gains Tax,
minimum Tax and any Tax on items of Tax preference, but not including sales,
use, real or personal property, gross or net receipts, transfer or similar
Taxes) or (2) multiple bases if one or more of the bases upon which such Tax may
be based, measured by, or calculated with respect to, is described in clause (1)
above, or (b) any U.S. state or local franchise Tax.

                                       3
<PAGE>

      "Interest Accrual Period" has the meaning set forth in Section 6.4 of this
Agreement.

      "Non-Federal Combined Tax" means any Non-Federal Tax with respect to which
a Combined Return is filed.

      "Non-Federal Separate Tax" means any Non-Federal Tax other than a
Non-Federal Combined Tax.

      "Non-Federal Tax" means any Tax other than a Federal Tax.

      "Payment Period" has the meaning set forth in Section 5.3 of this
Agreement.

      "Post-Distribution Period" means a taxable period beginning after the
Distribution Date.

      "Pre-Distribution Period" means a taxable period beginning on or before
the Distribution Date.

      "Privilege" means any privilege that may be asserted under applicable law
including, any privilege arising under or relating to the attorney-client
relationship (including the attorney-client and work product privileges), the
accountant-client privilege, and any privilege relating to internal evaluation
processes.

      "Restructuring Tax" means any Tax imposed upon Centex or a Centex
Affiliate and reasonable professional fees that are attributable to, or result
from, the failure of the Distribution to qualify under Section 355 of the Code
(including any Tax attributable to the application of Section 355(e) or Section
355(f) of the Code to the Distribution) or corresponding provisions of the laws
of other jurisdictions. Each Tax referred to in the preceding sentence shall be
determined using the highest marginal corporate Tax rate for the relevant
taxable period (or any portion thereof). For the avoidance of doubt,
Restructuring Tax does not include an amount described in this paragraph that is
imposed upon a shareholder of Centex in its capacity as a shareholder of Centex.

      "Ruling Documents" means (a) the request for a ruling under Section 355
and various other sections of the Code, filed with the Service on November 5,
2002, together with any supplemental filings or ruling requests or other
materials subsequently submitted on behalf of Centex, its subsidiaries and
shareholders to the Service, the appendices and exhibits thereto, and any
rulings issued by the Service to Centex (or any Centex Affiliate) in connection
with the Distribution or (b) any similar filings submitted to, or rulings issued
by, any other Tax Authority in connection with the Distribution.

      "Separate Return" means any Tax Return with respect to Non-Federal
Separate Taxes filed by Centex, Cavco, or any of their respective affiliates.

      "Service" means the Internal Revenue Service.

                                       4
<PAGE>

      "Tax" means any charges, fees, levies, imposts, duties, or other
assessments of a similar nature, including income, alternative or add-on
minimum, gross receipts, profits, lease, service, service use, wage, wage
withholding, employment, workers compensation, business occupation, occupation,
premiums, environmental, estimated, excise, employment, sales, use, transfer,
license, payroll, franchise, severance, stamp, occupation, windfall profits,
withholding, social security, unemployment, disability, ad valorem, estimated,
highway use, commercial rent, capital stock, paid up capital, recording,
registration, property, real property gains, value added, business license,
custom duties, or other tax or governmental fee of any kind whatsoever, imposed
or required to be withheld by any Tax Authority including any interest,
additions to tax, or penalties applicable or related thereto.

      "Tax Authority" means governmental authority or any subdivision, agency,
commission or authority thereof or any quasi-governmental or private body having
jurisdiction over the assessment, determination, collection or imposition of any
Tax (including the Service).

      "Tax Item" means any item of income, gain, loss, deduction or credit, or
other attribute that may have the effect of increasing or decreasing any Tax.

      "Tax Return" means any return, report, certificate, form or similar
statement or document (including, any related or supporting information or
schedule attached thereto and any information return, amended tax return, claim
for refund or declaration of estimated tax) required to be supplied to, or filed
with, a Tax Authority in connection with the determination, assessment or
collection of any Tax or the administration of any laws, regulations or
administrative requirements relating to any Tax.

                                    ARTICLE 2
                      PREPARATION AND FILING OF TAX RETURNS

2.1   In General.

      (a)   Centex shall have the sole and exclusive responsibility for the
            preparation and filing of the following Tax Returns: (1) all
            Consolidated Returns for any Pre-Distribution Period, (2) all
            Combined Returns for any Pre-Distribution Period, and (3) any
            Separate Return for any Pre-Distribution Period beginning before and
            ending on or before the Distribution Date (specifically including,
            but not limited to, any Texas franchise tax returns for the fiscal
            year ending March 31, 2003).

      (b)   Except as provided in Section 2.1(a) of this Agreement, Cavco shall
            have the sole and exclusive responsibility for the preparation and
            filing of all other Tax Returns for Cavco (or which relate to its
            businesses, assets or activities) which are required to be filed for
            any Pre-Distribution Period (including (i) any Pre-Distribution
            Period beginning before and ending on or before the Distribution
            Date and (ii) any Pre-Distribution Period beginning before and
            ending after the Distribution Date) and any Post-Distribution
            Period.

2.2   Manner of Filing Tax Returns.

                                       5
<PAGE>

      (a)   All Tax Returns filed after the date of this Agreement by Centex,
            any Centex Affiliate, or Cavco shall be

            (1)   prepared in a manner that is consistent with the Ruling
                  Documents, and

            (2)   filed on a timely basis (including extensions) by the party
                  responsible for such filing under Section 2.1 of this
                  Agreement.

      (b)   Centex and Cavco agree to file all Tax Returns for any
            Pre-Distribution Period, as provided for in Section 2.1, and to take
            all other actions in a manner consistent with the position that
            Cavco is part of any Consolidated Group and any Combined Group for
            all days through and including the Distribution Date.

      (c)   Except as otherwise provided in this Section 2.2, Centex shall have
            the exclusive right, in its sole discretion, with respect to any Tax
            Return described in Section 2.1(a) of this Agreement to determine:

            (1)   the manner in which such Tax Return shall be prepared and
                  filed, including the elections, methods of accounting,
                  positions, conventions and principles of taxation to be used
                  and the manner in which any Tax Item shall be reported;

            (2)   whether any extensions may be requested;

            (3)   the elections that will be made by Centex, any Centex
                  Affiliate, and Cavco in such Tax Return;

            (4)   whether any amended Tax Returns shall be filed;

            (5)   whether any claims for refund shall be made;

            (6)   whether any refunds shall be paid by way of refund or credited
                  against any liability for the related Tax; and

            (7)   whether to retain outside specialists to prepare such Tax
                  Return, whom to retain for such purpose and the scope of any
                  such retainer.

      (d)   In the event that a Tax Item is includable in a Tax Return described
            in Section 2.1(a) of this Agreement and also in a Tax Return
            described in Section 2.1(b) of this Agreement that is filed after
            the date of this Agreement, Cavco preparing, or causing the
            preparation of, such Tax Return under Section 2.1(b) of this
            Agreement shall conform the treatment of such Tax Item in such Tax
            Return described in Section 2.1(b) of this Agreement to the
            treatment of such Tax Item in the applicable Tax Return described in
            Section 2.1(a) of this Agreement.

                                       6
<PAGE>

      (e)   Any Tax Return described in (1) Section 2.1(a) of this Agreement
            (but only with respect to Tax Items of Cavco) or (2) Section 2.1(b)
            of this Agreement, in either case which Tax Return is filed after
            the date of this Agreement, shall be prepared on a basis consistent
            with the elections, methods of accounting, positions, conventions
            and principles of taxation and the manner in which any Tax Item or
            other information is reported as reflected on the most recently
            filed Tax Returns involving similar matters. The preceding sentence
            shall not apply (1) to the extent otherwise required by Section
            2.2(a)(1) of this Agreement or (2) if (i) Cavco obtains Centex's
            prior written consent (which consent shall not be unreasonably
            withheld), (ii) there has been a controlling change in law or
            circumstances, or (iii) the failure to be consistent will not result
            in an increased Tax liability to, or reduction in a Tax Asset of,
            Centex or any Centex Affiliate with respect to a Pre-Distribution
            Period, not fully compensated by Cavco. For purposes of this Section
            2.2(e), a controlling change in law or circumstances includes, with
            respect to Post-Distribution Periods (but not Pre-Distribution
            Periods), permission to change a method of accounting granted by the
            relevant Tax Authority.

2.3   Agent. Cavco hereby irrevocably designates Centex as its sole and
      exclusive agent and attorney-in-fact to take such action (including
      execution of documents) as Centex, in its sole discretion, may deem
      appropriate in any and all matters (including Audits) relating to any Tax
      Return described in Section 2.1(a) of this Agreement.

2.4   Provision of Tax Return Information.

      (a)   Both Cavco and Centex agree to provide all documents and
            information, and to make available their employees and officers, as
            may be reasonably requested by either party to prepare any Tax
            Return described in Section 2.1 of this Agreement.

      (b)   In the case of any Tax Return described in Section 2.1(a) that is
            filed after the date of this Agreement, Centex shall, upon request
            of Cavco, provide Cavco a copy of each such Tax Return and all
            related Tax accounting work papers to the extent that they relate to
            Cavco.

      (c)   In the case of any Tax Return in Centex's possession that was filed
            before the date of this Agreement, Centex shall, upon request of
            Cavco, provide Cavco a copy of each such Tax Return and all related
            Tax accounting work papers to the extent that they relate to Cavco.

      (d)   Notwithstanding any other provision of this Agreement, no member of
            the Centex Group shall be required to provide Cavco access to or
            copies of:

            (1)   any information that relates to any member of the Centex
                  Group,

            (2)   any information as to which any member of the Centex Group is
                  entitled to assert the protection of any Privilege, or

                                       7
<PAGE>

            (3)   any information as to which any member of the Centex Group is
                  subject to an obligation to maintain the confidentiality of
                  such information.

            Centex shall use reasonable efforts to separate any such information
            from any other information to which Cavco is entitled to access or
            to which Cavco is entitled to copy under this Agreement, to the
            extent consistent with preserving its rights under this Section
            2.4(d).

                                    ARTICLE 3
                        TAX SHARING AND PAYMENT OF TAXES

3.1   Cavco Liability for Payment of Taxes. Cavco shall pay to the appropriate
      Tax Authorities all Taxes due and payable for all Pre-Distribution Periods
      and all Post-Distribution Periods for which it is responsible for filing
      any Tax Return pursuant to Section 2.1(b). Cavco shall also provide Centex
      a check made payable to the appropriate Tax Authority for all Taxes due
      and payable for any Pre-Distribution Period for which Centex is
      responsible for filing any Separate Return pursuant to Section 2.1(a)(3).
      Cavco shall deliver such check to Centex within 5 days of Centex's request
      for such payment.

3.2   Centex Liability for Payment of Taxes. Except as provided in Section 3.1
      (with respect to Cavco's payment of any Tax that may be due of a Separate
      Return filed by Centex pursuant to Section 2.1(a)(3)), Centex shall pay to
      the appropriate Tax Authorities all Taxes due and payable for all
      Pre-Distribution Periods for which it is responsible for filing any Tax
      Return pursuant to Section 2.1.

3.3   Additional Liability Allocation. Except with respect to any Restructuring
      Tax, Cavco shall have no further liability to Centex for any Taxes for any
      Pre-Distribution Period for which Centex is responsible for filing any Tax
      Return pursuant to Section 2.1(a)(1) and 2.1(a)(2).

                                    ARTICLE 4
                                 DECONSOLIDATION

4.1   Distribution Related Items.

      (a)   Restrictions on Certain Post-Distribution Actions.

            (1)   Cavco Restrictions. Cavco covenants to Centex that it will not
                  take or fail to take any action where such action or failure
                  to act would cause the Merger and Distribution to fail to
                  qualify under Sections 355(a) and 368(a)(1)(D) of the Code or
                  any corresponding provisions of state or local law. Without
                  limiting the foregoing, Cavco covenants to Centex that: (i)
                  during the two-year period following the Distribution Date,
                  Cavco will not liquidate, merge or consolidate with any other
                  person; (ii) during the two-year period following the
                  Distribution Date, Cavco will not sell, exchange, or
                  distribute or otherwise dispose of all or a substantial
                  portion of its assets except in the ordinary course of
                  business; (iii) during the two-year period following the

                                       8
<PAGE>

                  Distribution Date, Cavco will continue the active conduct of
                  the historic business as transferred to it in the Merger; (iv)
                  Cavco will not take any action inconsistent with the
                  information and representations in the Ruling Documents; (v)
                  Cavco will not repurchase stock of Cavco in a manner contrary
                  to the requirements of Section 4.05(1)(b) of Revenue Procedure
                  96-30 or in a manner contrary to the representations made in
                  the Ruling Documents; and (vi) Cavco will not enter into any
                  negotiations, agreements or arrangements with respect to any
                  of the foregoing.

            (2)   Centex Restrictions. Centex convenants to Cavco that it will
                  not take or fail to take any action where such action or
                  failure to act would cause the Merger and Distribution to fail
                  to qualify under Sections 355(a) and 368(a)(1)(D) of the Code
                  or any corresponding provisions of state or local law.

      (b)   Liability for Undertaking Certain Actions.

            (1)   Cavco Liability. Cavco shall be responsible for one hundred
                  percent (100%) of any Restructuring Taxes that are
                  attributable to, or result from, any act or failure to act
                  described in Section 4.1(a)(1) of this Agreement by Cavco.
                  Cavco shall indemnify Centex, each Centex Affiliate and their
                  directors, officers and employees and hold them harmless from
                  and against any such Restructuring Taxes.

            (2)   Centex Liability. Centex and each Centex Affiliate shall be
                  responsible for one hundred percent (100%) of any
                  Restructuring Taxes that are attributable to, or result from,
                  any act or failure to act described in Section 4.1(a)(2) of
                  this Agreement by Centex or any Centex Affiliate. Centex and
                  each Centex Affiliate shall jointly and severally indemnify
                  Cavco and their directors, officers and employees and hold
                  them harmless from and against any such Restructuring Tax.

      (c)   Information. Centex has provided Cavco with copies of the Ruling
            Documents submitted on or prior to the date hereof, and shall
            provide Cavco with copies of any additional Ruling Documents
            prepared after the date hereof prior to the submission of such
            Ruling Documents to a Tax Authority.

      (d)   Liability for Breach of Representation. Each of Centex and Cavco
            hereby represents that (1) it has read the Ruling Documents
            submitted on or prior to the date hereof, (2) all information
            contained in such Ruling Documents that concerns or relates to such
            party or any affiliate of such party, other than information which
            is provided by an external expert, is true, correct and complete in
            all material respects, and (3) except to the extent that such party
            shall have notified the other party in writing to the contrary and
            with reasonable specificity prior to the Distribution Date, all such
            information that concerns or relates to such party or any affiliate
            of such party, other than information which is provided by an
            external

                                       9
<PAGE>

            expert, is and will be true, correct and complete in all material
            respects as of the Distribution Date.

            Cavco acknowledges and agrees that the term "Ruling Documents,"
            whenever used in this Agreement, includes all filings or ruling
            requests or other materials, appendices and exhibits submitted after
            the date hereof to the Service or any Tax Authority in connection
            with the Distribution and provided by Centex to Cavco under Section
            4.1 of this Agreement.

            If any Tax Authority withdraws any portion of a ruling issued to
            Centex in connection with the Distribution because of a breach by
            Cavco of a representation made in this Section 4.1, Cavco shall be
            responsible for one hundred percent (100%) of any Restructuring
            Taxes. In such event, Cavco shall indemnify Centex, each Centex
            Affiliate and their directors, officers and employees and hold them
            harmless from and against any Restructuring Taxes. If any Tax
            Authority withdraws any portion of a ruling issued to Centex in
            connection with the Distribution because of a breach by Centex or
            any Centex Affiliate of a representation made in this Section 4.1,
            Centex and each Centex Affiliate shall be responsible for one
            hundred percent (100%) of any Restructuring Taxes. In such event,
            Centex and each Centex Affiliate shall jointly and severally
            indemnify Cavco and its directors, officers and employees and hold
            them harmless from and against any Restructuring Taxes.

      (e)   Payment. Cavco shall make or cause to be made all payments for which
            it may be liable under this Section 4.1. Such payments shall be made
            to Centex or to the appropriate Tax Authority as specified by Centex
            no later than five (5) days after delivery by Centex to Cavco of
            written notice of a payment by or liability of Centex (or a Centex
            Affiliate or a director, officer or employee) based on a Final
            Determination, together with a computation of the amounts due.

4.2   Information for Shareholders. Centex shall provide each shareholder that
      receives stock of Cavco pursuant to the Public Distribution with the
      information necessary for such shareholder to comply with the requirements
      of Section 355 of the Code and the Treasury regulations thereunder with
      respect to statements that such shareholders must file with their Federal
      Income Tax Returns demonstrating the applicability of Section 355 of the
      Code to the Public Distribution.

4.3   Special Indemnification. Centex expressly agrees to indemnify Cavco for
      any Federal Income Tax with respect to any Consolidated Return for which
      Centex is responsible for filing pursuant to Section 2.1(a)(1) in the
      event that Cavco is liable to the Service for any such Federal Income Tax
      pursuant to Treasury Regulation section 1.1502-6.

                                    ARTICLE 5
                             ADDITIONAL OBLIGATIONS

5.1   Provision of Information.

                                       10
<PAGE>

      (a)   Cavco shall furnish to Centex in a timely manner such information
            and documents as Centex may reasonably request for purposes of (1)
            preparing any Tax Return for which Centex has filing responsibility
            under this Agreement, (2) contesting or defending any Audit, and (3)
            making any determination or computation necessary or appropriate
            under this Agreement.

      (b)   Cavco shall make its employees available to provide explanations of
            documents and other materials and such other information as Centex
            may reasonably request in connection with any of the foregoing.

      (c)   Cavco shall cooperate in any Audit of any Consolidated Return or
            Combined Return.

      (d)   Cavco shall retain and provide on demand books, records,
            documentation or other information relating to any Tax Return until
            the later of (1) the expiration of the applicable statute of
            limitations (giving effect to any extension, waiver, or mitigation
            thereof) and (2) in the event any claim is made under this Agreement
            for which such information is relevant, until a Final Determination
            with respect to such claim.

      (e)   Cavco shall take such action as Centex may reasonably deem
            appropriate in connection with the provision of information under
            this Section 5.1.

5.2   Indemnification.

      (a)   Failure to Pay. Centex and each Centex Affiliate shall jointly and
            severally indemnify Cavco and its respective directors, officers and
            employees, and hold them harmless from and against any loss, cost,
            damage or expense, including reasonable attorneys' fees and costs,
            that is attributable to, or results from the failure of Centex, any
            Centex Affiliate or any director, officer or employee to make any
            payment required to be made under this Agreement. Cavco shall
            indemnify Centex, each Centex Affiliate and their respective
            directors, officers and employees, and hold them harmless from and
            against any loss, cost, damage or expense, including reasonable
            attorneys' fees and costs, that is attributable to, or results from,
            the failure of Cavco or any director, officer or employee to make
            any payment required to be made under this Agreement.

      (b)   Inaccurate or Incomplete Information. Centex and each Centex
            Affiliate shall jointly and severally indemnify Cavco and their
            respective directors, officers and employees, and hold them harmless
            from and against any cost, fine, penalty, or other expense of any
            kind attributable to the negligence of Centex or any Centex
            Affiliate in supplying Cavco with inaccurate or incomplete
            information, in connection with the preparation of any Tax Return.
            Cavco shall indemnify Centex, each Centex Affiliate and their
            respective directors, officers and employees, and hold them harmless
            from and against any cost, fine, penalty, or other expenses of

                                       11
<PAGE>

            any kind attributable to the negligence of Cavco in supplying Centex
            or any Centex Affiliate with inaccurate or incomplete information,
            in connection with the preparation of any Tax Return.

5.3   Interest. Payments pursuant to this Agreement that are not made within the
      period prescribed in this Agreement or, if no period is prescribed, within
      thirty (30) days after demand for payment is made (the "Payment Period")
      shall bear interest for the period from and including the date immediately
      following the last date of the Payment Period through and including the
      date of payment (the "Interest Accrual Period") at a per annum rate equal
      to Cavco's weighted average interest rate for debt capital for each year,
      or part thereof, included in the Interest Accrual Period plus 50 basis
      points. Such interest will be payable at the same time as the payment to
      which it relates and shall be calculated on the basis of a year of 365
      days and the actual number of days for which due.

                                    ARTICLE 6
                                     AUDITS

6.1   In General.

      (a)   Centex shall have the exclusive right, in its sole discretion, to
            control, contest, and represent the interests of Centex, any Centex
            Affiliate, or Cavco in any Audit relating to any Tax Return
            described in Section 2.1(a)(1) or 2.1(a)(2) of this Agreement and to
            resolve, settle or agree to any deficiency, claim or adjustment
            proposed, asserted or assessed in connection with or as a result of
            any such Audit.

      (b)   Cavco shall have the exclusive right, in its sole discretion, to
            control, contest, and represent the interests of Cavco in any Audit
            relating to any Tax Return described in Section 2.1(b) or Section
            2.1(a)(3) of this Agreement and to resolve, settle, or agree to any
            deficiency, claim or adjustment proposed, asserted or assessed in
            connection with or as a result of any such Audit.

      (c)   After the Distribution Date, Centex and Cavco shall cooperate in
            order to transfer to Cavco the exclusive right to control, contest
            and represent the interests of Cavco in any Audit and to resolve,
            settle, or agree to any deficiency, claim or adjustment proposed,
            asserted or assessed in connection with or as a result of any such
            Audit in each case relating to all Separate Returns of Cavco
            relating to Non-Federal Separate Taxes.

6.2   Notice. If, after the Distribution Date, Centex or any member of the
      Centex Group receives written notice of, or relating to, an Audit from a
      Tax Authority that asserts, proposes or recommends a deficiency, claim or
      adjustment that, if sustained, would result in any Restructuring Taxes for
      which Cavco could be responsible under this Agreement, Centex shall notify
      Cavco in writing of such deficiency, claim or adjustment within ten (10)
      days of its receipt. If Cavco receives written notice of or relating to an
      audit from a Tax Authority with respect to a Tax Return described in
      Section 2.1(a)(1) or 2.1(a)(2) of this Agreement, Cavco shall provide a
      copy of such notice to Centex within ten (10) days of

                                       12
<PAGE>

      receiving such notice of such Audit, but in no case later than thirty (30)
      days before a response is required to be provided to the relevant Tax
      Authority.

6.3   Participation Rights.

      (a)   If a Tax Authority asserts, proposes or recommends a deficiency,
            claim or adjustment that, if sustained, would result in
            Restructuring Taxes for which Cavco could be responsible under this
            Agreement, and Cavco acknowledges in writing to Centex that, as
            between Cavco and Centex, Cavco shall be responsible for one hundred
            percent (100%) of any such Restructuring Taxes that are determined
            pursuant to a Final Determination, then (1) Centex shall take all
            actions requested by Cavco to contest such deficiency, claim or
            adjustment, including administrative and judicial proceedings; (2)
            Cavco shall have the right to fully participate with respect to such
            deficiency, claim or adjustment and related proceedings and Centex
            shall accept all reasonable suggestions by Cavco in connection with
            the management and substance of such proceedings, and (3) in no
            event shall Centex settle or compromise any such deficiency, claim
            or adjustment without the written consent of Cavco.

      (b)   If a Tax Authority asserts, proposes or recommends a deficiency,
            claim or adjustment that, if sustained, would result in
            Restructuring Taxes for which Cavco could be responsible under this
            Agreement and has not admitted liability for such Restructuring
            Taxes pursuant to Section 6.3(a):

            (1)   Centex shall keep Cavco informed in a timely manner of all
                  material actions taken or proposed to be taken by Centex in
                  connection with such deficiency, claim or adjustment;

            (2)   Centex shall reasonably consider any comments that Cavco makes
                  with respect to the handling of the case and provide Cavco an
                  opportunity to attend any meetings with the Tax Authority; and

            (3)   Centex shall have no obligation to appeal a determination of
                  any Tax Authority in any judicial forum.

6.4   Failure to Notify, Etc. The failure of Centex promptly to notify Cavco of
      any matter relating to a particular Tax for a taxable period or to take
      any action specified in Section 6.3 of this Agreement shall not relieve
      Cavco of any liability and/or obligation which it may have to Centex or
      any Centex Affiliate under this Agreement with respect to such
      Restructuring Taxes except to the extent that Cavco's rights hereunder are
      materially prejudiced by such failure and in no event shall such failure
      relieve Cavco of any other liability and/or obligation which it may have
      to Centex or any Centex Affiliate.

                                       13
<PAGE>

                                    ARTICLE 7
                               DISPUTE RESOLUTION

7.1   Governed by Distribution Agreement. Any dispute arising out of or relating
to this Agreement, including the breach or termination hereof, shall be resolved
in accordance with the procedures specified in Article 8 of that certain
Distribution Agreement between Centex and Cavco dated as of _____________ to
which this Agreement is attached as an exhibit.

                                    ARTICLE 8
                                  MISCELLANEOUS

8.1   Effectiveness. This Agreement shall become effective upon execution by
      both parties hereto.

8.2   Notices. Any notice, request, instruction or other document to be given or
      delivered under this Agreement by any party to another party shall be in
      writing and shall be deemed to have been duly given or delivered when (1)
      delivered in person, (2) sent by facsimile, (3) deposited in the United
      States mail, postage prepaid and sent certified mail, return receipt
      requested, or (4) delivered to Federal Express or similar service for
      overnight delivery to the address of the party set forth below.

                         If to Centex or any Centex Affiliate, to:

                         Centex Corporation
                         2728 North Harwood
                         Dallas, Texas 75201
                         Fax No.:  (214) ____________________
                         Attention:  ________________________

                         With copy to:

                         Centex Corporation
                         2728 North Harwood
                         Dallas, TX  75201
                         Fax. No.:  (214) 981-6855
                         Attention:  General Counsel

                         If to Cavco:

                         Cavco Industries, Inc.
                         1001 North Central Avenue
                         Suite 800
                         Phoenix, Arizona 85004
                         Fax No.: (602) 256-6189
                         Attention:  Chief Executive Officer

                                       14
<PAGE>

      Any party may, by written notice to the other parties, change the address
      or the party to which any notice, request, instruction or other document
      (or any copy thereof) is to be delivered.

8.3   Changes in Law. Any reference to a provision of the Code or a law of
      another jurisdiction shall include a reference to any applicable successor
      provision or law.

8.4   Confidentiality. Each party shall hold and cause its directors, officers,
      employees, advisors and consultants to hold in strict confidence, unless
      compelled to disclose by judicial or administrative process or, in the
      opinion of its counsel, by other requirements of law, all information
      (other than any such information relating solely to the business or
      affairs of such party) concerning the other parties hereto furnished it by
      such other party or its representatives pursuant to this Agreement (except
      to the extent that such information can be shown to have been (1)
      previously known by the party to which it was furnished, (2) in the public
      domain through no fault of such party, or (3) later lawfully acquired from
      other sources not under a duty of confidentiality by the party to which it
      was furnished), and each party shall not release or disclose such
      information to any other person, except its directors, officers,
      employees, auditors, attorneys, financial advisors, bankers and other
      consultants who shall be advised of and agree to be bound by the
      provisions of this Section 9.4. Each party shall be deemed to have
      satisfied its obligation to hold confidential information concerning or
      supplied by the other party if it exercises the same care as it takes to
      preserve confidentiality for its own similar information.

8.5   Successors. This Agreement shall be binding on and inure to the benefit of
      any successor, by merger, acquisition of assets or otherwise, to any of
      the parties hereto, to the same extent as if such successor had been an
      original party.

8.6   Affiliates. Centex shall cause to be performed, and hereby guarantees the
      performance of, all actions, agreements and obligations set forth herein
      to be performed by a Centex Affiliate; provided, however, that if a Centex
      Affiliate ceases to be a Centex Affiliate as a result of a transfer of its
      stock or other ownership interests to a third party in exchange for
      consideration in an amount approximately equal to the fair market value of
      the stock or other ownership interests transferred and such consideration
      is not distributed outside of the Centex Group to the shareholders of
      Centex then Cavco shall, upon request, execute a release of such Centex
      Affiliate from its obligations under this Agreement upon such transfer
      provided that such Centex Affiliate shall have executed a release of any
      rights it may have against Cavco or any Cavco Affiliate by reason of this
      Agreement.

8.7   Authorization, Etc. Each of the parties hereto hereby represents and
      warrants that it has the power and authority to execute, deliver and
      perform this Agreement, that this Agreement has been duly authorized by
      all necessary corporate action on the part of such party, that this
      Agreement constitutes a legal, valid and binding obligation of each such
      party and that the execution, delivery and performance of this Agreement
      by such party does not contravene or conflict with any provision of law or
      of its charter or bylaws or any agreement, instrument or order binding on
      such party.

                                       15
<PAGE>

8.8   Entire Agreement. This Agreement contains the entire agreement among the
      parties hereto with respect to the subject matter hereof and amends and
      restates all prior Tax sharing agreements between Centex or any Centex
      Affiliate and Cavco and such prior tax sharing agreements shall have no
      further force and effect.

8.9   Section Captions. Section captions used in this Agreement are for
      convenience and reference only and shall not affect the construction of
      this Agreement.

8.10  Governing Law. This Agreement shall be governed by and construed in
      accordance with laws of the State of Texas without giving effect to laws
      and principles relating to conflicts of law.

8.11  Counterparts. This Agreement may be executed in any number of
      counterparts, each of which shall be deemed an original, but all of which
      together shall constitute one and the same Agreement.

8.12  Severability. If any term, provision, covenant, or restriction of this
      Agreement is held by a court of competent jurisdiction (or an arbitrator
      or arbitration panel) to be invalid, void, or unenforceable, the remainder
      of the terms, provisions, covenants, and restrictions set forth herein
      shall remain in full force and effect, and shall in no way be affected,
      impaired, or invalidated. It is hereby stipulated and declared to be the
      intention of the parties that they would have executed the remaining
      terms, provisions, covenants, and restrictions without including any of
      such which may be hereafter declared invalid, void, or unenforceable. In
      the event that any such term, provision, covenant or restriction is held
      to be invalid, void or unenforceable, the parties hereto shall use their
      best efforts to find and employ an alternate means to achieve the same or
      substantially the same result as that contemplated by such terms,
      provisions, covenant, or restriction.

8.13  No Third Party Beneficiaries. This Agreement is solely for the benefit of
      Centex, the Centex Affiliates, and Cavco. This Agreement should not be
      deemed to confer upon third parties any remedy, claim, liability,
      reimbursement, cause of action or other rights in excess of those existing
      without this Agreement.

8.14  Waivers, Etc. No failure or delay on the part of the parties in exercising
      any power or right hereunder shall operate as a waiver thereof, nor shall
      any single or partial exercise of any such right or power, or any
      abandonment or discontinuance of steps to enforce such right or power,
      preclude any other or further exercise thereof or the exercise of any
      other right or power. No modification or waiver of any provision of this
      Agreement nor consent to any departure by the parties therefrom shall in
      any event be effective unless the same shall be in writing, and then such
      waiver or consent shall be effective only in the specific instance and for
      the purpose for which given.

8.15  Setoff. All payments to be made by any party under this Agreement shall be
      made without setoff, counterclaim, or withholding, all of which are
      expressly waived.

                                       16
<PAGE>

8.16  Change of Law. If, due to any change in applicable law or regulations or
      their interpretation by any court of law or other governing body having
      jurisdiction subsequent to the date of this Agreement, performance of any
      provision of this Agreement or any transaction contemplated thereby shall
      become impracticable or impossible, the parties hereto shall use their
      commercially reasonable efforts to find and employ an alternative means to
      achieve the same or substantially the same result as that contemplated by
      such provision.

IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be
executed by a duly authorized officer as of the date first above written.

                     CENTEX CORPORATION, on behalf of itself and its affiliates

                     By

                     Name: /s/ MICHAEL S. ALBRIGHT
                          -----------------------------------------------------
                     Title:  Senior Vice President

                     CAVCO INDUSTRIES, INC.

                     By

                     Name: /s/  JOSEPH H. STEGMAYER
                          -----------------------------------------------------
                     Title: President and Chief Executive Officer

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