Note 5 - Accumulated Other Comprehensive Income

6 Months Ended

Jun. 30, 2018

Notes to Financial Statements

Comprehensive Income (Loss) Note [Text Block]

5

.     

Accumulated

Other Comprehensive Income

The following table sets forth our changes in accumulated other comprehensive income (“AOCI”):

	Three Months Ended					Six Months Ended
	June 30,					June 30,
	2018		2017			2018			2017
	(Dollars in thousands)
Beginning balance 1	$	-	$	9,479		$	3,992		$	7,730
Adoption of accounting standards (Note 2)		-		-			(3,992	)		-
Other comprehensive income before reclassifications		-		2,389			-			4,423
Amounts reclassified from AOCI 2		-		(692	)		-			(977	)
Ending balance	$	-	$	11,176		$	-		$	11,176
Unrealized gains on available-for-sale metropolitan district bond securities 1 :
Beginning balance	$	-	$	14,578		$	-		$	14,341
Other comprehensive income (loss) before reclassifications		-		247			-			484
Amounts reclassified from AOCI		-		-			-			-
Ending balance	$	-	$	14,825		$	-		$	14,825
Total ending AOCI	$	-	$	26,001		$	-		$	26,001

(

1

)

All amounts net-of-tax.

(

2

)

See separate table below for details about these reclassifications.

During the

first

quarter of

2018,

an election was made to reclassify the income tax effects of the Act related to net unrealized gains on equity investments from accumulated other comprehensive income to retained earnings. See Note

2

for further discussion of adoption of new accounting standards.

The following table sets forth the activity related to reclassifications out of accumulated other comprehensive income:

	Three Months Ended					Six Months Ended
	June 30,					June 30,
Affected Line Item in the Statements of Operations	2018		2017			2018		2017
	(Dollars in thousands)
Homebuilding: Interest and other income	$	-	$	889		$	-	$	1,411
Homebuilding: Other-than-temporary impairment of marketable securities		-		(1	)		-		(51	)
Financial services: Interest and other income		-		308			-		347
Financial services: Other-than-temporary impairment of marketable securities		-		(80	)		-		(131	)
Income before income taxes		-		1,116			-		1,576
Provision for income taxes		-		(424	)		-		(599	)
Net income	$	-	$	692		$	-	$	977