1 TollBrothersIR.com

Raymond James

35th Annual Institutional Investors Conference

March 3, 2014

2

Table Of Contents

Slide #1: Logo

Slide #2: Table of Contents

Slide #3: Contact Information

Slide #4: Statement of Forward-Looking Information

Slide #5: Overview

Slide #6 Brand Name

Slide #7: Preliminary Fiscal Q4 & FY 2013 Financials

Slide #8: Key Metrics

Slide #9: Shapell Homes Acquisition

Slide #10: Shapell: Lots & Communities

Slide #11: Shapell: Overview of Financing

Slide #12: Shapell: Acquisition Advantages

Slide #13: Current U.S. Housing Market

Slide #14: Basic Demographics

Slide #15: Nationwide Footprint

Slide #16: Only National HB Focused on Luxury Market

Slide #17: Toll Home Sale Prices YTD FY 2013

Slide #18: Widest Variety of Homes

Slide #19: Evolving Product Diversification

Slide #20: Move-Up

Slide #21: Empty Nesters

Slide #22: Active Adult

Slide #23: Master Planned Communities

Slide #24: Second Homes

Slide #25: Urban Redevelopment

Slide #26: Suburban High Density

Slide #27: Urban Infill

Slide #28: City Living Pipeline – FY 2013

Slide #29: City Living Pipeline – FY 2014 & Beyond

Slide #30: Focus on land

Slide #31: Building a Solid Land Position

Slide #32: Number of Selling Communities

Slide #33: Homebuilder School Quality Index

Slide #34: ESE Consultants

Slide #35: High-Volume Technology

Slide #36: Toll Architecture

Slide #37: Toll Integrated Systems

Slide #38: TBI Mortgage

Slide #39: Diverse Income Streams

Slide #40: Overview of Gibraltar Capital

Slide #41: Toll Apartment and Campus Living

Slide #42: What’s New Since The Downturn?

Slide #43: Superior Capital Market Access

Slide #44: Accessing Capital for Growth

Slide #45: Net Debt to Capital

Slide #46: Capitalization

Slide #47: Room to Grow – Sector

Slide #48: Room to Grow – Toll

Slide #49: Long Term Fundamentals

Slide #50: Unemployment Rates

Slide #51: Baby Boomers Drive Luxury Market

Slide #52: $100,000 Income Households

Slide #53: Housing Starts vs. Household Growth

Slide #54: Why Toll

Slide #55: Home

3

Investor Relations Contact Information

Martin Connor, CFO

Email: mconnor@tollbrothersinc.com

Phone: 215-938-6934

Frederick Cooper, SVP Finance, International Development & IR

Email: fcooper@tollbrothersinc.com

Phone: 215-938-8312

Russell Rochestie, AVP Finance

Email: rrochestie@tollbrothersinc.com

Phone: 215-938-5227

4

Statement Of Forward-looking Information

Information presented herein for the first quarter of fiscal year 2014 is subject to finalization of the Company’s regulatory filings, related financial and

accounting reporting procedures and external auditor procedures.

Certain information included in this release is forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995, including,

but not limited to, information related to: anticipated operating results; anticipated financial performance, resources and condition; selling

communities; home deliveries; average home prices; consumer demand and confidence; contract pricing; business and investment opportunities;

market and industry trends; the anticipated benefits to be realized from the consummation of the Shapell acquisition; and post-closing asset sales.

Such forward-looking information involves important risks and uncertainties that could significantly affect actual results and cause them to differ

materially from expectations expressed herein and in other Company reports, SEC filings, statements and presentations. These risks and

uncertainties include, among others: local, regional, national and international economic conditions; fluctuating consumer demand and confidence;

interest and unemployment rates; changes in sales conditions, including home prices, in the markets where we build homes; conditions in our newly

entered markets and newly acquired operations; the competitive environment in which we operate; the availability and cost of land for future growth;

conditions that could result in inventory write-downs or write-downs associated with investments in unconsolidated entities; the ability to recover our

deferred tax assets; the availability of capital; uncertainties in the capital and securities markets; liquidity in the credit markets; changes in tax laws

and their interpretation; effects of governmental legislation and regulation; the outcome of various legal proceedings; the availability of adequate

insurance at reasonable cost; the impact of construction defect, product liability and home warranty claims, including the adequacy of self-insurance

accruals, and the applicability and sufficiency of our insurance coverage; the ability of customers to obtain financing for the purchase of homes; the

ability of home buyers to sell their existing homes; the ability of the participants in various joint ventures to honor their commitments; the availability

and cost of labor and building and construction materials; the cost of raw materials; construction delays; domestic and international political events;

weather conditions; the anticipated benefits to be realized from the consummation of the Shapell acquisition; and post-closing asset sales. For a

more detailed discussion of these factors, see the information under the captions “Risk Factors” and “Management’s Discussion and Analysis of

Financial Condition and Results of Operations” in our most recent annual report on Form 10-K and our subsequent quarterly reports on Form 10-Q

filed with the Securities and Exchange Commission.

Any or all of the forward-looking statements included in this release are not guarantees of future performance and may turn out to be inaccurate.

Forward-looking statements speak only as of the date they are made. The Company undertakes no obligation to publicly update any forward-looking

statements, whether as a result of new information, future events or otherwise.

5

Overview

Founded in 1967 and publicly traded since 1986

Nation’s leading luxury home builder

2012 Builder of the Year by Professional Builder

Magazine

Builds in 19 states and approximately 50 markets

2013 Fortune 1000 Company

Serves urban and suburban, luxury move-up, empty-

nester, and active-adult buyers

Strong balance sheet and credit ratings

Insider & director ownership of approximately 10.6% at

FYE 2013

Recently completed purchase of land and homebuilding

operation of Shapell Homes in Coastal California

5

Ocean’s Edge at Singer Island, Singer Island, FL

6

The #1 Brand In Luxury Home Building

Toll Brothers named Builder of

the Year by Professional Builder

Magazine for 2012: First two-

time recipient

Honored to have won all three

most coveted awards in the

home building industry:

– Professional Builder of the Year

– America’s Best Builder

– National Housing Quality Award

7

Toll Brothers

Q1 FY2014 and FY2013 Results

3 Months Ended January 31, Fiscal Year Ended October 31,

($ in millions), except Avg Prices 2014 2013 % Change 2013 2012 % Change

Contracts

Units 916 973 -5.9% 5,294 4,159 27.3%

Total $702 $614 14.2% $3,634 $2,558 42.1%

Avg Price ($ in 000's) $766 $631 21.4% $686 $615 11.6%

Backlog

Units 3,667 2,796 31.2% 3,679 2,569 43.2%

Total $2,690 $1,860 44.6% $2,630 $1,670 57.5%

Avg Price ($ in 000's) $733 $665 10.2% $715 $650 10.0%

Deliveries

Units 928 746 24.4% 4,184 3,286 27.3%

Total $644 $425 51.6% $2,674 $1,883 42.0%

Avg Price ($ in 000's) $694 $569 22.0% $639 $573 11.6%

8

Opportunity Overview

San Diego

Orinda

Alamo Creek

Gale Ranch

Evergreen

Gilroy

Plum Canyon

Porter Ranch

Thousand Oaks

Yorba Linda

Carlsbad

NorCal

SoCal Laguna Niguel

Acquisition announced in November 2013

and closed February 2014

One of the largest homebuilders in

California and the leading builder in several

of the state’s premier, high-growth markets

18 active selling communities and land

holdings with over 5,200 concentrated lots

in 15 locations

Well-known luxury brand with a reputation

for delivering high-quality, sought-after

home product

Sizable amount of lots concentrated in a

manageable number of communities

Geographic Footprint Highly Attractive and Proven Lot Locations in NorCal and SoCal

Acquisition of Shapell Homes: Leading Coastal California

Homebuilder and Developer

9

Shapell is an active homebuilder in many of the same markets as Toll and adds immediate

scale to Toll’s California Division

97.5% of Shapell’s lots have been entitled

Source: Shapell Industries, Inc..

08/31/13 Lot Breakdown By Status (08/31/13)

($ in 000s) City Metro Area Backlog Raw Graded Finished WIP Models Total Lots Remaining

Northern California

Gale Ranch San Ramon San Francisco 55 -- 1,217 202 100 19 1,538

Alamo Creek Danville San Francisco 40 -- 159 138 46 10 353

Gilroy Gilroy San Fran - Santa Clara -- -- -- 59 -- 1 60

Evergreen San Jose San Fran - Santa Clara 13 -- -- -- 24 -- 24

Orinda Orinda San Francisco -- -- -- 22 3 -- 25

Northern California Subtotal 108 -- 1,376 421 173 30 2,000

Southern California

Porter Ranch Porter Ranch Los Angeles 41 904 746 74 47 15 1,786

Plum Canyon Santa Clarita Los Angeles 34 -- 503 100 45 8 656

Yorba Linda Yorba Linda Orange County 22 288 -- 63 31 15 397

Carlsbad Carlsbad San Diego - Carlsbad -- 305 -- -- -- -- 305

Laguna Niguel Laguna Niguel Orange County 14 -- -- 31 16 4 51

Thousand Oaks Thousand Oaks Los Angeles -- -- -- 24 -- -- 24

Southern California Subtotal 111 1,497 1,249 292 139 42 3,219

Total 219 1,497 2,625 713 312 72 5,219

Shapell: Overview of

Lots and Communities

10

Overview of Transaction Financing

Total purchase price of ~$1.60 billion, all

cash, for 5,200 lots plus Shapell’s

homebuilding operations

The purchase was financed using a

combination of equity and debt:

~$230 million of equity raised Nov 2013

$600 million of senior 5- and 10-year

unsecured debt raised Nov 2013

$485 million five-year bank term loan

raised Feb 2014

$370 million draw on our existing $1.035

billion senior unsecured credit facility that

has since been fully repaid

11

Bolsters footprint in key proven coastal California locations that fit extremely well within

Toll’s current divisional operations

Toll owns or controls approximately 9,200 lots in what we believe are the best locations

in California – at the corner of “Main St. and Main St.”

Complementary luxury brand with a reputation for delivery of high-quality, sought-after

home product and communities

Builds upon recent success of Toll Amalfi Hills land purchase from Shapell

California housing market dynamics support incremental investment with many of

Shapell’s markets experiencing double digit price appreciation

Shapell’s seasoned management team adds capacity to Toll’s already proven local

homebuilding and land development expertise

Strategic

Rationale

Financial

Rationale

We believe the transaction will be accretive to EPS in the first year of the transaction,

excluding transaction costs

Toll intends to selectively sell off approximately $500 million of land to de-lever the

balance sheet, and reduce California concentration

We believe the transaction will return significant cash within 18 months of purchase

Competitive Advantages From

Shapell Acquisition

12

Key Metrics Improving

FY 2010 FY 2011 FY 2012 FY 2013

Pre-tax Income (000s) ($117,187) ($29,366) $112,942 $267,697

EBITDA (000s) $172,036 $207,536 $281,552 $462,189

Cash and Marketable Securities (000s) $1,236,927 $1,139,912 $1,217,892 $825,480

Impairments (000s) $115,258 $51,837 $14,739 $4,562

Selling Community Count 195 215 224 232

Total Spec Count 737 703 523 571

Owned Lots 28,891 30,199 31,327 33,967

Controlled Lots 34,852 37,497 40,350 48,628

Cancellation Rate 6.6% 6.1% 4.2% 4.7%

Through October 31, 2013

13

Current U.S. Housing Market

Still in the early stages of a recovery

Six years of pent-up demand: Increasing

Household Formations

Limited inventory (existing and new)

Interest rates remain low; Affordability

remains solid

Home purchase decision is a confidence

sensitive issue

The Fairhaven, Regency at Yardley, Yardley, PA

14

Basic Demographics Drive An

Industry Emerging From Its Slumber

1,585

726

858

1970-2007 2008-2013

Annual Shortfall in Production

(est.)

Source: U.S. Census Bureau

Total estimated shortfall of 5.1 million houses from 2008-2013. (# in thousands)

Actual Average Annual Housing Starts

Average Annual Housing Starts

15

Nationwide Footprint Positions Us For Growth

19 States

50 Markets

Austin

Dallas

Phoenix

San Francisco

Philadelphia

Charlotte Raleigh

Ft . Myers West Palm Beach

New York

Washington DC

Los Angeles

Naples

Las Vegas

San Diego

Hartford

Miami

Detroit

Chicago

Wilmington

Princeton

Boston

Palm Springs

Denver

San Antonio

Jupiter

Reno

Jacksonville

Orlando

Minneapolis

San Jose

Houston

Seattle

North Mid-Atlantic South West

R E G I O N S

City Living

16

$249 $253 $292 $293 $297 $305

$331 $345 $349

$413

$639

$694

DR Horton Beazer KB Home Lennar Ryland Pulte Hovnanian MDC NVR St Pac TollBrothers

Q1 FY2014

Average Home Price* ($000)

Only National Homebuilder Focused On Luxury Market

Toll’s main competitors are small private builders, not the larger public builders.

*Updated based on most recent reported fiscal year end deliveries as of December 31, 2013.

17

Toll Home Sale Prices Q1 FY 2014*

2%

72%

14% 13%

Under $300,000

$300,000 to $749,999

$750,000 to $999,999

Over $1,000,000

73%

Under

$750,000

Numbers may not add due to rounding

*In Units

18

The Widest Variety Of Homes In The Industry

Move-up

Empty-Nester

Active Adult

Second Home

Urban-Infill Condo

Urban Redevelopment

Golf Course &

Country Club

High-Rise

Suburban High-Density

Urban and Suburban

Rental Apartments

19

92%

1%8%

FY 2000

Single-Family Age-Qualified Multi-Family (For-Sale) High-Rise

Evolving Product Diversification (by revenues)

73%

8%

13%

6%

FY 2013

20

Move-up

20 The Hampton Georgian at Randolph Ridge, Randolph, NJ

21

Empty Nester

21 The Villa Lago at Frenchman’s Harbor, North Palm Beach, FL

22

Active Adult

22 The Clubhouse at Regency at Monroe, Monroe Township, NJ

23

Master Planned

23 Jupiter Country Club Entrance, Jupiter, FL

24

Second Home

24 The Savino At Montevista, Phoenix, AZ

25

Urban Redevelopment

25 Harborside Loft, Hoboken, NJ

26

Suburban High Density

27

Urban Infill

27

28

Current City Living Pipeline*

Estimated Timing

Units Estimated Revenue

Construction Start

Open for Sale

1st Settlement

The Touraine (Manhattan)** 1 $18 million Oct-10 Oct-11 Jun-13

2400 South – Towns (Phila)** 19 $13 million Feb-12 Apr-12 Oct-13

Naval Square – Lawrence Place (Phila)** 7 $3 million Mar-11 Jun-12 Apr-13

Maxwell C (Hoboken) 99 $106 million Jan-12 Feb-13 Mar-14

160 East 22nd (Manhattan) 16 $37 million May-12 Feb-13 Jul-14

410 at Society Hill (Phila) 43 $42 million Jun-13 Sept-13 Mar-15

2400 South – Condos (Phila) 48 $23 million Sep-13 Oct-13 Oct-14

Total 233 $242 million

*Projects open for sale as of January 31, 2014

** Began delivering units in FY 2013. Numbers shown represent remaining units to be delivered

29

Future City Living Pipeline* Estimated Timing

Units Estimated Revenue

Construction Start

Open for Sale 1st Settlement

Brooklyn Bridge Park (Brooklyn)** 108 $397 million May-13 Feb-14 Jan-16

400 Park Ave South (Manhattan) 99 $280 million Jul-12 Mar-14 Jul-15

1110 Park Ave (Manhattan) 11 $162 million Jul-13 May-14 Feb-15

The Sutton (Manhattan) 114 $225 million Jan-14 May-14 Mar-16

Hampden Row (Bethesda) 55 $69 million Feb-14 Sep-14 Oct-15

Hudson Tea E (Hoboken) 236 $183 million Jun-14 Feb-15 May-16

Provost Square (Jersey City) 501 $277 million May-15 May-15 Apr-17

Maxwell D (Hoboken) 141 $111million Nov-16 May-17 May-18

Hudson Tea D (Hoboken) 99 $79 million Apr-15 Aug-17 Aug-18

55 W 17th Street (Manhattan) 55 $179 million Oct-14 May-15 Jul-16

82 King Street (Manhattan) 192 $270 million Oct-14 Feb-19 Jun-20

Total 1,611 $2.25 billion *Projects scheduled to open for sale after January 31, 2014

** Will be delivered in joint venture

30

Focus on Land

One of the largest land

developers in the U.S.

Control 51,200 home sites*

Operate in most difficult land

approval markets in the country

Skilled in land acquisition,

approvals, and development

across all markets

Manages site design and land

improvements across most

communities

Provides protection against

potential land shortages in our

lot constrained markets

* At January 31, 2014 30

31

Building On A Solid Land Position

2000 2001 2002 2003 2004 2005 Q2 2006 2006 2007 2008 2009 2010 2011 2012 2013 Q1 2014

Owned Optioned

48,628

33,118

39,146 40,844

48,058

60,189

83,126

91,207

59,251

39,784

31,917 34,852

37,497 40,350

73,768

17,127

34,108

Lots Owned and Optioned

13,500 Finished

Lots at 1/31/14

51,235

32

Number Of Selling Communities

146 155 170

200 220 230

300 315

273

200 195 215 224 232

250-290

At FYE October 31,

238

32

* Projected Range

33

Homebuilder School Quality Index

8.61 8.13 7.91

7.17 7.10 7.04 6.54 6.50

6.11 5.47 5.20 5.14

4.17 3.65

0

1

2

3

4

5

6

7

8

9

10

TOL TMHC WY MTH SPF PHM RYL MHO HOV MDC LEN BZH DHI KBH

Average School District Rating (0-10 Scale)

Source: GreatSchools.org and Raymond James analysis (August 28, 2013)

34

ESE Consultants

ESE is a full service land engineering firm that provides a wide range of services to Toll Brothers.

Every ESE plan is designed for approvals, constructability and most importantly, the end use…a luxury home community.

Having an in-house engineering company allows:

Superior land acquisition / evaluation/ support

Maximize premium lots

Maximize land value – not total home sites

35

Custom Homes Built Using High Volume Technology

Toll’s luxury systems developed over

40 years

Buyers choose from hundreds of

structural and designer options

In FY 2013 the average buyer added

approximately $116,000 in options and

premiums, consistent with 18 - 22% of

base in prior years

Provides competitive advantage vs.

small builders

Toll Architecture systemizes high

volume home production

The Henley at The Estates at Garnet Valley, Glen Mills, PA

36

Toll Architecture

Designing customized

homes for high volume

production

Introduces 70 new

models annually

Pre-designs every home

and option to improve

production quality and

efficiency

37

Toll Integrated Systems – Panel & Truss Plant

Manufactures and distributes wall

panels, floor and roof trusses,

signature millwork, windows, and

doors.

Operates four plants in suburban

Philadelphia, Virginia, and Indiana.

Builds more than 150 different homes

with multiple elevations and hundreds

of options.

Improves timeline, quality, costs, and

reduces waste.

Reduces dependence on skilled

carpenters in times of labor shortage.

38

TBI Mortgage

Served 64% of Toll buyers using mortgages in Q1 FY 2014

Pre-sells loans individually to minimize risk

Investors who provide our customers with mortgages have continued to issue new commitments

Our buyers have strong credit profiles with Q1 FY 2014 FICO scores of 757 on conforming loans and jumbo loans

Average LTV of 68.2% in Q1 FY 2014

Only 20% of buyers used jumbo mortgages in Q1 FY 2014

38

The Monterey at Lakewind on Lake Travis, Austin, TX

39

Diverse Income Streams

Toll Brothers, Inc.

Suburban Home Building

(For Sale) Land Sales

City Living (Condo for Sale)

Apartment Living

(Rental)

Ancillary Businesses

- 50 markets in 19 state and Washington, DC • Move up • Empty nester • Active Adult • Second home • Master-

planned resort style

• Suburban high density

- Gibraltar Capital and Asset Management

- TBI Mortgage - Golf Course

Development Management

- Toll Landscaping - Security - Title

- Located in Urban and Suburban locations

- 4 projects under development

- 3,800 units in the pipeline

- Manhattan, Brooklyn, and Queens, NYC

- Hoboken and Jersey City, NJ

- Metro Washington, DC

- Philadelphia, PA

- Shapell - Woodbridge at

Spring Creek - Northwoods - Travisso - Other lot sales

to 3rd parties

40

Overview Of Gibraltar Capital

An industry leader in the acquisition, management, and resolution of

non-performing AD&C and CRE loans, portfolios, and properties

Capitalizes on Toll’s core expertise, nationwide presence, and

relationships

Expands Toll’s ability to identify and control attractive land at historically

low valuations and create value

Deals done as majority partner, minority partner, and wholly owned in

portfolio on a single loan

At Q1 FY 2014, Toll’s investment in Gibraltar was $91.3 million

In Q1 FY 2014, Gibraltar generated pretax income of $3.3 million

Wholly/majority own 1,400 improved lots and land for 6,800 future lots*

*excludes assets in the Amtrust portfolio where our interest is 8%

41

Toll Apartment Living

Investing in apartment development to

maximize synergies of our operations

and hedge for-sale cyclicality

Developed & operate 1,441 units

1,502 units under construction in

Jersey City, NJ, Washington, D.C.,

Plymouth Meeting PA and East

Brunswick, NJ

Control land for 3,802 future apartment

units in Northeast Mid-Atlantic corridor

Expect to invest an additional $100

million to $200 million in Toll Apartment

Living over next 2 years

Dulles Green, Herndon, VA

42

What’s New Since the Downturn?

New Markets

Entered major markets of Houston (2009) and

Seattle (2011)

Reentered Austin (2013)

Expanding Product Lines

Expanded City Living within Metro NYC and

Philadelphia, introduced City Living to Metro

Washington D.C. (2013), with other major markets

under consideration

Expanding Active Adult beyond East and Midwest

into Western U.S. (2013)

New Initiatives

Formed Gibraltar Capital (2010)

Developing apartments in Northeast and Mid Atlantic

Parkridge at The Woodlands, Redmond, WA

43

Superior Capital Market Access

SENIOR/CORPORATE CREDIT RATINGS

Fitch Inc. BBB- (Stable)

Standard & Poor’s BB+ (Stable)

Moody’s Ba1 (Stable)

All three affirmed Toll’s Credit Ratings after Shapell acquisition announcement Nov 2013.

44 44

14 15 16 17 18 19 20 21 22 23 24

$268 $300

$400

$485

$250

$420 $400

$250

FY

Public Debt (Senior)

Convertible Debt (Senior)**

$288

$350

Bank Debt

Maintain Conservative Debt Maturities* Accessing Capital For Growth

$ millions

*As of February 26, 2014

**Convertible notes mature in September 2032. Holders’ first put right is December 2017 at a conversion price of $49.08

45

Strong Balance Sheet Provides Room to Grow

46.0% 48.2%

46.2%

40.9%

35.5%

27.6%

31.8%

26.8%

12.6%

7.4%

13.6% 15.0%

23.6%

32.5%

47.0%

At FYE October 31,

Net Debt To Capital*

2000-2013

*Calculated as total debt minus mortgage warehouse loans minus cash and marketable

securities divided by total debt minus mortgage warehouse loans minus cash and marketable

securities plus stockholders’ equity.

**Pro Forma net debt to capital ratio after completing the Shapell acquisition on Feb. 4, 2014.

46

Capitalization*

Toll Brothers Inc.

First Huntingdon Finance Corp. Toll Brothers Finance Corp.

*As of February 4, 2014

**$288 mill of Convertible notes mature in September 2032. Holders’ first put right is December 2017 at a conversion price of $49.08

46

$1.035 BN Revolving Credit Facility $500 MM Revolving Credit Facility $485 MM Term Loan Facility Senior Notes

Due August 2018 Due February 2015 Due February 2019

Citi $100 MM Citi $100 MM SunTrust $100 MM

Deutsche Bank $100 MM Deutsche Bank $100 MM Sumitomo Mitsui $75 MM Principal Coupon Maturity

Royal Bank of Scotland $100 MM Royal Bank of Scotland $100 MM US Bank $75 MM

PNC $100 MM PNC $100 MM Capital One $50 MM $268 MM 4.950% March 2014

SunTrust $100 MM SunTrust $100 MM Wells Fargo $50 MM $300 MM 5.150% May 2015

Capital One $75 MM Bank of New York $40 MM $400 MM 8.910% October 2017

US Bank $75 MM Beneficial Bank $30 MM $288 MM 0.500% December 2017**

Wells Fargo $75 MM Fifth Third Bank $30 MM $350 MM 4.000% December 2018

Bank of America $50 MM PNC $25 MM $250 MM 6.750% November 2019

Comerica $50 MM Mega International $10 MM $420 MM 5.875% February 2022

Fifth Third Bank $50 MM $400 MM 4.375% April 2023

Regions Bank $50 MM $250 MM 5.625% January 2024

Sumitomo Mitsui $50 MM

Texas Capital Bank $35 MM

TD Bank $25 MM Total Weighted Average

TOTAL $1,035 MM TOTAL $500 MM TOTAL $485 MM $2,925 MM 5.227% 5.36 years

47

Sector Has Room to Grow

*Average since 1970

**Source: U.S. Census Bureau

***Source: Freddie Mac

December 2013

Long-Term Average*

Total Housing Starts** 1.0 mil 1.5 mil

New Home Inventory** 5.0 months 6.2 months

Average 30 Year Fixed Mortgage Rate*** 4.46% 8.68%

Beachfront at Singer Island, Singer Island, FL

48

Toll Has Room to Grow

FY 2010 FY 2011 FY 2012 FY 2013

Pre-

Downturn

Average*

Contracts Per Community 13.6 13.7 18.2 23.5 28.7

Gross Margin (%) (exl. Impairments, incl. interest) 15.6% 18.1% 19.4% 20.4% 22.4%

SG & A % of Revenue 17.6% 17.7% 15.3% 12.7% 9.7%

Operating Margin (11.2%) (3.2%) 3.4% 7.5% 12.3%

*Average from FY 1993 – FY 2004

49

Long Term Industry Fundamentals Favorable

Population growth and positive

demographic trends

Mortgage rates at historical lows

Affordability near all-time high

Few land entitlements have been

processed for several years in many

markets resulting in lot shortages

Six years of pent up demand releasing

Constrained capital availability favors

largest builders

50

Unemployment Rates

0

2

4

6

8

10

12

Jan

-93

Jul-

93

Jan

-94

Jul-

94

Jan

-95

Jul-

95

Jan

-96

Jul-

96

Jan

-97

Jul-

97

Jan

-98

Jul-

98

Jan

-99

Jul-

99

Jan

-00

Jul-

00

Jan

-01

Jul-

01

Jan

-02

Jul-

02

Jan

-03

Jul-

03

Jan

-04

Jul-

04

Jan

-05

Jul-

05

Jan

-06

Jul-

06

Jan

-07

Jul-

07

Jan

-08

Jul-

08

Jan

-09

Jul-

09

Jan

-10

Jul-

10

Jan

-11

Jul-

11

Jan

-12

Jul-

12

Jan

-13

Jul-

13

Jan

-14

UN

EM

PL

OY

ME

NT

RA

TE

(%

)

January 2014 Civilian Labor Force Rate 6.6%

College Graduate Rate 3.2%

Civilian Labor Force

College Graduates

Source: U.S. Bureau of Labor Statistics

51

Baby Boomers Drive Luxury Market

2.75

2.95

3.15

3.35

3.55

3.75

3.95

4.15

4.35

4.55

4.75

195

4

195

5

195

6

195

7

195

8

195

9

196

0

196

1

196

2

196

3

196

4

196

5

196

6

196

7

196

8

196

9

197

0

197

1

197

2

197

3

197

4

197

5

197

6

197

7

197

8

197

9

198

0

198

1

198

2

198

3

198

4

198

5

198

6

198

7

198

8

198

9

199

0

199

1

199

2

199

3

199

4

199

5

199

6

199

7

199

8

199

9

200

0

200

1

200

2

200

3

200

4

200

5

200

6

200

7

200

8

200

9

201

0

Birth

s (

Mill

ion

s)

U.S. BIRTHS 1954-2010

52

$100,000+ Income Households Growing 3 Times Faster Than All U.S. Households

1980 2012

82.4

122.5

All Households (mill)

1980 2012

10.5

26.9

$100,000+ Income Households (mill)

Source: U.S. Census Bureau (P60-245)

(2012 Dollars)

53

1970-1979

Average

Annual

Housing

Starts

1.77 (mil)

1980-1989

Average

Annual

Housing

Starts

1.49 (mil)

1990-1999

Average

Annual

Housing

Starts

1.37 (mil)

2000-2007

Average

Annual

Housing

Starts

1.74 (mil)

2008-2012

Average

Annual

Housing

Starts

.69 (mil)

Housing Starts vs. Household Growth

0.00

800.00

1,600.00

2,400.00

70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12

0

20,000

40,000

60,000

80,000

100,000

120,000

Source: U.S. Census Bureau

Ho

us

eh

old

s (

00

0)

Ho

us

ing

Sta

rts (0

00

)

N u m b e r o f H o u s e h o l d s H a s G r o w n 7 8 % S i n c e 1 9 7 0

Total Single and Multi-

Family Housing Starts

Total

Households

54

Why Toll Brothers?

A proven management team with a tremendous track record.

The dominant player with few competitors in the luxury market.

Control 51,200 lots in a lot-constrained environment.

A strong balance sheet and nationwide brand.

A homebuilder with a niche in urban, rental and distressed real estate.

The nation's growing number of affluent households.

The nation's strong baby-boomer-driven demographic growth.

Strongest buyer profile in the industry.

54

55