Supplemental Guarantor Information (Tables)

12 Months Ended

Nov. 30, 2014

Condensed Consolidating Statements of Operations

Condensed Consolidating Statement of Operations

(in thousands)



	Year Ended November 30, 2014
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Revenues	$	—		$	2,148,048		$	252,901		$	—		$	2,400,949
Homebuilding:
Revenues	$	—		$	2,148,048		$	241,595		$	—		$	2,389,643
Construction and land costs	—			(1,776,839		)	(208,812		)	—			(1,985,651		)
Selling, general and administrative expenses	(68,717		)	(188,690		)	(30,616		)	—			(288,023		)
Operating income (loss)	(68,717		)	182,519			2,167			—			115,969
Interest income	432			9			2			—			443
Interest expense	(165,485		)	(6,056		)	—			140,791			(30,750		)
Intercompany interest	287,017			(135,978		)	(10,248		)	(140,791		)	—
Equity in income (loss) of unconsolidated joint ventures	—			(2,551		)	3,292			—			741
Homebuilding pretax income (loss)	53,247			37,943			(4,787		)	—			86,403
Financial services pretax income	—			—			8,546			—			8,546
Total pretax income	53,247			37,943			3,759			—			94,949
Income tax benefit	215,691			551,203			56,506			—			823,400
Equity in net income of subsidiaries	649,411			—			—			(649,411		)	—
Net income	$	918,349		$	589,146		$	60,265		$	(649,411	)	$	918,349

Condensed Consolidating Statement of Operations

(in thousands)



	Year Ended November 30, 2013
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Revenues	$	—		$	1,872,648		$	224,482		$	—		$	2,097,130
Homebuilding:
Revenues	$	—		$	1,872,648		$	212,330		$	—		$	2,084,978
Construction and land costs	—			(1,549,426		)	(187,660		)	—			(1,737,086		)
Selling, general and administrative expenses	(60,545		)	(161,415		)	(33,848		)	—			(255,808		)
Operating income (loss)	(60,545		)	161,807			(9,178		)	—			92,084
Interest income	768			18			6			—			792
Interest expense	(143,902		)	(5,199		)	—			86,411			(62,690		)
Intercompany interest	203,096			(108,252		)	(8,433		)	(86,411		)	—
Equity in income (loss) of unconsolidated joint ventures	—			(2,506		)	499			—			(2,007		)
Homebuilding pretax income (loss)	(583		)	45,868			(17,106		)	—			28,179
Financial services pretax income	—			—			10,184			—			10,184
Total pretax income (loss)	(583		)	45,868			(6,922		)	—			38,363
Income tax benefit (expense)	100			1,800			(300		)	—			1,600
Equity in net income of subsidiaries	40,446			—			—			(40,446		)	—
Net income (loss)	$	39,963		$	47,668		$	(7,222	)	$	(40,446	)	$	39,963

Condensed Consolidating Statement of Operations

(in thousands)



	Year Ended November 30, 2012
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Revenues	$	—		$	1,378,749		$	181,366		$	—		$	1,560,115
Homebuilding:
Revenues	$	—		$	1,378,749		$	169,683		$	—		$	1,548,432
Construction and land costs	—			(1,192,877		)	(139,168		)	—			(1,332,045		)
Selling, general and administrative expenses	(60,101		)	(145,291		)	(31,251		)	—			(236,643		)
Operating income (loss)	(60,101		)	40,581			(736		)	—			(20,256		)
Interest income	480			14			24			—			518
Interest expense	(127,291		)	(5,364		)	(1		)	62,852			(69,804		)
Intercompany interest	176,977			(97,304		)	(16,821		)	(62,852		)	—
Equity in income (loss) of unconsolidated joint ventures	—			(985		)	591			—			(394		)
Homebuilding pretax loss	(9,935		)	(63,058		)	(16,943		)	—			(89,936		)
Financial services pretax income	—			—			10,883			—			10,883
Total pretax loss	(9,935		)	(63,058		)	(6,060		)	—			(79,053		)
Income tax benefit	7,900			10,800			1,400			—			20,100
Equity in net loss of subsidiaries	(56,918		)	—			—			56,918			—
Net loss	$	(58,953	)	$	(52,258	)	$	(4,660	)	$	56,918		$	(58,953	)

Condensed Consolidating Statements of Comprehensive Income (Loss)

(in thousands)



	Year Ended November 30, 2014
	KB Home Corporate			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Total
Net income	$	918,349		$	589,146	$	60,265	$	(649,411	)	$	918,349
Other comprehensive loss:
Postretirement benefit plan adjustments	(1,888		)	—		—		—			(1,888		)
Other comprehensive loss before tax	(1,888		)	—		—		—			(1,888		)
Income tax expense related to items of other comprehensive income	(1,604		)	—		—		—			(1,604		)
Other comprehensive loss, net of tax	(3,492		)	—		—		—			(3,492		)
Comprehensive income	$	914,857		$	589,146	$	60,265	$	(649,411	)	$	914,857



	Year Ended November 30, 2013
	KB Home Corporate		Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Net income (loss)	$	39,963	$	47,668	$	(7,222	)	$	(40,446	)	$	39,963
Other comprehensive income:
Postretirement benefit plan adjustments	10,442		—		—			—			10,442
Other comprehensive income, net of tax	10,442		—		—			—			10,442
Comprehensive income (loss)	$	50,405	$	47,668	$	(7,222	)	$	(40,446	)	$	50,405



	Year Ended November 30, 2012
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments		Total
Net loss	$	(58,953	)	$	(52,258	)	$	(4,660	)	$	56,918	$	(58,953	)
Other comprehensive loss:
Postretirement benefit plan adjustments	(1,806		)	—			—			—		(1,806		)
Other comprehensive loss, net of tax	(1,806		)	—			—			—		(1,806		)
Comprehensive loss	$	(60,759	)	$	(52,258	)	$	(4,660	)	$	56,918	$	(60,759	)

Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheet

(in thousands)



	November 30, 2014
	KB Home Corporate		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Total
Assets
Homebuilding:
Cash and cash equivalents	$	303,280	$	38,124	$	14,962	$	—		$	356,366
Restricted cash	27,235		—		—		—			27,235
Receivables	15		123,024		2,449		—			125,488
Inventories	—		2,980,056		238,331		—			3,218,387
Investments in unconsolidated joint ventures	—		79,441		—		—			79,441
Deferred tax assets, net	215,923		552,653		56,656		—			825,232
Other assets	99,099		13,922		1,894		—			114,915
	645,552		3,787,220		314,292		—			4,747,064
Financial services	—		—		10,486		—			10,486
Intercompany receivables	3,582,612		—		112,919		(3,695,531		)	—
Investments in subsidiaries	39,356		—		—		(39,356		)	—
Total assets	$	4,267,520	$	3,787,220	$	437,697	$	(3,734,887	)	$	4,757,550
Liabilities and stockholders’ equity
Homebuilding:
Accounts payable, accrued expenses and other liabilities	$	138,298	$	331,361	$	112,939	$	—		$	582,598
Notes payable	2,513,165		63,360		—		—			2,576,525
	2,651,463		394,721		112,939		—			3,159,123
Financial services	—		—		2,517		—			2,517
Intercompany payables	20,147		3,392,499		282,885		(3,695,531		)	—
Stockholders’ equity	1,595,910		—		39,356		(39,356		)	1,595,910
Total liabilities and stockholders’ equity	$	4,267,520	$	3,787,220	$	437,697	$	(3,734,887	)	$	4,757,550

Condensed Consolidating Balance Sheet

(in thousands)



	November 30, 2013
	KB Home Corporate		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Total
Assets
Homebuilding:
Cash and cash equivalents	$	476,847	$	39,952	$	13,296	$	—		$	530,095
Restricted cash	41,906		—		—		—			41,906
Receivables	1,472		73,668		609		—			75,749
Inventories	—		2,084,177		214,400		—			2,298,577
Investments in unconsolidated joint ventures	—		123,623		6,569		—			130,192
Other assets	97,647		8,393		1,036		—			107,076
	617,872		2,329,813		235,910		—			3,183,595
Financial services	—		—		10,040		—			10,040
Intercompany receivables	2,129,729		—		117,829		(2,247,558		)	—
Investments in subsidiaries	39,955		—		—		(39,955		)	—
Total assets	$	2,787,556	$	2,329,813	$	363,779	$	(2,287,513	)	$	3,193,635
Liabilities and stockholders’ equity
Homebuilding:
Accounts payable, accrued expenses and other liabilities	$	117,875	$	268,431	$	118,152	$	—		$	504,458
Notes payable	2,111,773		38,725		—		—			2,150,498
	2,229,648		307,156		118,152		—			2,654,956
Financial services	—		—		2,593		—			2,593
Intercompany payables	21,822		2,022,657		203,079		(2,247,558		)	—
Stockholders’ equity	536,086		—		39,955		(39,955		)	536,086
Total liabilities and stockholders’ equity	$	2,787,556	$	2,329,813	$	363,779	$	(2,287,513	)	$	3,193,635

Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statement of Cash Flows

(in thousands)



	Year Ended November 30, 2014
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Net cash provided by (used in) operating activities	$	82,629		$	(680,649	)	$	(32,671	)	$	—		$	(630,691	)
Cash flows from investing activities:
Contributions to unconsolidated joint ventures	—			(48,849		)	(248		)	—			(49,097		)
Proceeds from sale of investment in unconsolidated joint venture	—			—			10,110			—			10,110
Purchases of property and equipment, net	(208		)	(4,961		)	(626		)	—			(5,795		)
Intercompany	(794,624		)	—			—			794,624			—
Net cash provided by (used in) investing activities	(794,832		)	(53,810		)	9,236			794,624			(44,782		)
Cash flows from financing activities:
Change in restricted cash	14,671			—			—			—			14,671
Proceeds from issuance of debt	400,000			—			—			—			400,000
Payment of debt issuance costs	(5,448		)	—			—			—			(5,448		)
Payments on mortgages and land contracts due to land sellers and other loans	—			(36,918		)	—			—			(36,918		)
Proceeds from issuance of common stock, net	137,045			—			—			—			137,045
Issuance of common stock under employee stock plans	1,896			—			—			—			1,896
Payments of cash dividends	(8,982		)	—			—			—			(8,982		)
Stock repurchases	(546		)	—			—			—			(546		)
Intercompany	—			769,549			25,075			(794,624		)	—
Net cash provided by financing activities	538,636			732,631			25,075			(794,624		)	501,718
Net increase (decrease) in cash and cash equivalents	(173,567		)	(1,828		)	1,640			—			(173,755		)
Cash and cash equivalents at beginning of year	476,847			39,952			15,724			—			532,523
Cash and cash equivalents at end of year	$	303,280		$	38,124		$	17,364		$	—		$	358,768

Condensed Consolidating Statement of Cash Flows

(in thousands)



	Year Ended November 30, 2013
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Net cash provided by (used in) operating activities	$	4,795		$	(483,363	)	$	35,082		$	—		$	(443,486	)
Cash flows from investing activities:
Contributions to unconsolidated joint ventures	—			(9,336		)	(5,023		)	—			(14,359		)
Purchases of property and equipment, net	(519		)	(1,289		)	(583		)	—			(2,391		)
Intercompany	(517,803		)	—			—			517,803			—
Net cash used in investing activities	(518,322		)	(10,625		)	(5,606		)	517,803			(16,750		)
Cash flows from financing activities:
Change in restricted cash	456			—			—			—			456
Proceeds from issuance of debt	680,000			—			—			—			680,000
Payment of debt issuance costs	(16,525		)	—			—			—			(16,525		)
Repayment of senior notes	(225,394		)	—			—			—			(225,394		)
Payments on mortgages and land contracts due to land sellers and other loans	—			(66,296		)	—			—			(66,296		)
Proceeds from issuance of common stock, net	109,503			—			—			—			109,503
Issuance of common stock under employee stock plans	2,181			—			—			—			2,181
Payments of cash dividends	(8,366		)	—			—			—			(8,366		)
Stock repurchases	(8,488		)	—			—			—			(8,488		)
Intercompany	—			550,704			(32,901		)	(517,803		)	—
Net cash provided by (used in) financing activities	533,367			484,408			(32,901		)	(517,803		)	467,071
Net increase (decrease) in cash and cash equivalents	19,840			(9,580		)	(3,425		)	—			6,835
Cash and cash equivalents at beginning of year	457,007			49,532			19,149			—			525,688
Cash and cash equivalents at end of year	$	476,847		$	39,952		$	15,724		$	—		$	532,523

Condensed Consolidating Statement of Cash Flows

(in thousands)



	Year Ended November 30, 2012
	KB Home Corporate			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Total
Net cash provided by (used in) operating activities	$	16,433		$	21,233		$	(3,049	)	$	—		$	34,617
Cash flows from investing activities:
Return of investments in (contributions to) unconsolidated joint ventures	—			1,381			(392		)	—			989
Purchases of property and equipment, net	(175		)	(1,494		)	(80		)	—			(1,749		)
Intercompany	(263		)	—			—			263			—
Net cash used in investing activities	(438		)	(113		)	(472		)	263			(760		)
Cash flows from financing activities:
Change in restricted cash	22,119			—			—			—			22,119
Proceeds from issuance of debt	694,831			—			—			—			694,831
Payment of debt issuance costs	(12,445		)	—			—			—			(12,445		)
Repayment of senior notes	(592,645		)	—			—			—			(592,645		)
Payments on mortgages and land contracts due to land sellers and other loans	—			(26,298		)	—			—			(26,298		)
Issuance of common stock under employee stock plans	593			—			—			—			593
Payments of cash dividends	(10,599		)	—			—			—			(10,599		)
Stock repurchases	(1,799		)	—			—			—			(1,799		)
Intercompany	—			8,929			(8,666		)	(263		)	—
Net cash provided by (used in) financing activities	100,055			(17,369		)	(8,666		)	(263		)	73,757
Net increase (decrease) in cash and cash equivalents	116,050			3,751			(12,187		)	—			107,614
Cash and cash equivalents at beginning of year	340,957			45,781			31,336			—			418,074
Cash and cash equivalents at end of year	$	457,007		$	49,532		$	19,149		$	—		$	525,688