Segment Information |
Segment information
Our Homebuilding operations are engaged in the acquisition and development of land primarily for residential purposes within the U.S. and the construction of housing on such land. For reporting purposes, our Homebuilding operations are aggregated into six reportable segments: | | | | Northeast: | | Connecticut, Delaware, Maryland, Massachusetts, New Jersey, New York, Pennsylvania, Rhode Island, Virginia | Southeast: | | Georgia, North Carolina, South Carolina, Tennessee | Florida: | | Florida | Texas: | | Texas | North: | | Illinois, Indiana, Michigan, Minnesota, Missouri, Northern California, Ohio, Oregon, Washington | Southwest: | | Arizona, Colorado, Nevada, New Mexico, Southern California
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We also have a reportable segment for our Financial Services operations, which consist principally of mortgage banking and title operations. The Financial Services segment operates generally in the same markets as the Homebuilding segments.
Evaluation of segment performance is generally based on income before income taxes. Each reportable segment generally follows the same accounting policies described in Note 1 - "Summary of Significant Accounting Policies" to the consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2012. | | | | | | | | | | | | | | | | | | Operating Data by Segment ($000’s omitted) | | Three Months Ended | | Nine Months Ended | | September 30, | | September 30, | | 2013 | | 2012 | | 2013 | | 2012 | Revenues: | | | | | | | | Northeast | $ | 259,413 |
| | $ | 194,732 |
| | $ | 555,856 |
| | $ | 502,813 |
| Southeast | 234,605 |
| | 194,654 |
| | 602,379 |
| | 496,244 |
| Florida | 227,614 |
| | 165,621 |
| | 562,890 |
| | 439,665 |
| Texas | 217,897 |
| | 179,581 |
| | 621,972 |
| | 471,648 |
| North | 343,748 |
| | 277,297 |
| | 826,054 |
| | 666,458 |
| Southwest | 264,465 |
| | 243,442 |
| | 744,534 |
| | 563,837 |
| | 1,547,742 |
| | 1,255,327 |
| | 3,913,685 |
| | 3,140,665 |
| Financial Services | 34,336 |
| | 47,264 |
| | 110,571 |
| | 112,367 |
| Consolidated | $ | 1,582,078 |
| | $ | 1,302,591 |
| | $ | 4,024,256 |
| | $ | 3,253,032 |
| | | | | | | | | Income (loss) before income taxes: | | | | | | | | Northeast | $ | 33,508 |
| | $ | 20,303 |
| | $ | 62,162 |
| | $ | 42,940 |
| Southeast | 37,687 |
| | 21,227 |
| | 78,811 |
| | 40,724 |
| Florida | 43,834 |
| | 23,723 |
| | 89,711 |
| | 46,530 |
| Texas | 32,111 |
| | 18,807 |
| | 79,015 |
| | 34,704 |
| North | 48,674 |
| | 26,494 |
| | 95,303 |
| | 38,281 |
| Southwest | 49,508 |
| | 27,882 |
| | 119,908 |
| | 41,817 |
| Other homebuilding (a) | (81,728 | ) | | (59,257 | ) | | (271,308 | ) | | (162,230 | ) | | 163,594 |
| | 79,179 |
| | 253,602 |
| | 82,766 |
| Financial Services (b) | 11,128 |
| | 26,727 |
| | 41,800 |
| | 49,575 |
| Consolidated | $ | 174,722 |
| | $ | 105,906 |
| | $ | 295,402 |
| | $ | 132,341 |
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| | (a) | Other homebuilding includes the amortization of intangible assets, amortization of capitalized interest, and other items not allocated to the operating segments. Other homebuilding also included for the three and nine months ended September 30, 2013: losses on debt retirements totaling $3.9 million and $26.9 million, respectively; costs associated with the previously announced relocation of our corporate headquarters totaling $0.3 million and $13.8 million, respectively; and charges resulting from a contractual dispute related to a previously completed luxury community totaling $8.0 million and $38.0 million, respectively. |
| | (b) | Financial Services income before income taxes includes interest income of $2.1 million and $1.6 million for the three months ended September 30, 2013 and 2012, respectively, and $5.2 million and $4.1 million for the nine months ended September 30, 2013 and 2012, respectively. |
| | | | | | | | | | | | | | | | | | Land-Related Charges by Segment ($000's omitted) | | Three Months Ended | | Nine Months Ended | | September 30, | | September 30, | | 2013 | | 2012 | | 2013 | | 2012 | Land and community valuation adjustments: | | | | | | | | Northeast | $ | — |
| | $ | — |
| | $ | — |
| | $ | 535 |
| Southeast | — |
| | — |
| | — |
| | — |
| Florida | — |
| | — |
| | — |
| | — |
| Texas | — |
| | — |
| | — |
| | — |
| North | — |
| | 385 |
| | — |
| | 2,373 |
| Southwest | — |
| | — |
| | — |
| | 1,810 |
| Other homebuilding (a) | 766 |
| | 1,878 |
| | 2,701 |
| | 4,855 |
| | $ | 766 |
| | $ | 2,263 |
| | $ | 2,701 |
| | $ | 9,573 |
| Net realizable value adjustments (NRV) - land held for sale: | | | | | | | | Northeast | $ | — |
| | $ | — |
| | $ | — |
| | $ | — |
| Southeast | — |
| | 69 |
| | — |
| | 350 |
| Florida | — |
| | 11 |
| | 567 |
| | 49 |
| Texas | (6 | ) | | 154 |
| | (2 | ) | | 412 |
| North | 172 |
| | 29 |
| | 1,703 |
| | 94 |
| Southwest | (81 | ) | | (14 | ) | | — |
| | 347 |
| | $ | 85 |
| | $ | 249 |
| | $ | 2,268 |
| | $ | 1,252 |
| Write-off of deposits and pre-acquisition costs: | | | | | | | | Northeast | $ | 219 |
| | $ | 727 |
| | $ | 328 |
| | $ | 815 |
| Southeast | 56 |
| | 46 |
| | 144 |
| | 589 |
| Florida | 126 |
| | 69 |
| | 208 |
| | 80 |
| Texas | 6 |
| | 21 |
| | 2 |
| | 70 |
| North | 155 |
| | 13 |
| | 337 |
| | 156 |
| Southwest | 249 |
| | 17 |
| | 383 |
| | 88 |
| | $ | 811 |
| | $ | 893 |
| | $ | 1,402 |
| | $ | 1,798 |
| Total land-related charges | $ | 1,662 |
| | $ | 3,405 |
| | $ | 6,371 |
| | $ | 12,623 |
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| | (a) | Represents write-offs of capitalized interest related to land and community valuation adjustments. |
| | | | | | | | | | | | | | | | | | | | | | Operating Data by Segment | | ($000's omitted) | | September 30, 2013 | | Homes Under Construction | | Land Under Development | | Raw Land | | Total Inventory | | Total Assets | Northeast | $ | 263,889 |
| | $ | 331,779 |
| | $ | 117,532 |
| | $ | 713,200 |
| | $ | 809,063 |
| Southeast | 160,916 |
| | 256,949 |
| | 131,724 |
| | 549,589 |
| | 589,929 |
| Florida | 161,204 |
| | 293,858 |
| | 91,238 |
| | 546,300 |
| | 629,724 |
| Texas | 148,158 |
| | 221,958 |
| | 49,607 |
| | 419,723 |
| | 477,936 |
| North | 300,452 |
| | 327,529 |
| | 100,737 |
| | 728,718 |
| | 781,447 |
| Southwest | 197,689 |
| | 475,663 |
| | 206,387 |
| | 879,739 |
| | 955,368 |
| Other homebuilding (a) | 45,340 |
| | 209,917 |
| | 58,438 |
| | 313,695 |
| | 4,098,818 |
| | 1,277,648 |
| | 2,117,653 |
| | 755,663 |
| | 4,150,964 |
| | 8,342,285 |
| Financial Services | — |
| | — |
| | — |
| | — |
| | 351,437 |
| | $ | 1,277,648 |
| | $ | 2,117,653 |
| | $ | 755,663 |
| | $ | 4,150,964 |
| | $ | 8,693,722 |
| | | | | | | | | | | | December 31, 2012 | | Homes Under Construction | | Land Under Development | | Raw Land | | Total Inventory | | Total Assets | Northeast | $ | 198,549 |
| | $ | 445,436 |
| | $ | 109,136 |
| | $ | 753,121 |
| | $ | 866,024 |
| Southeast | 147,227 |
| | 286,210 |
| | 120,193 |
| | 553,630 |
| | 590,650 |
| Florida | 130,276 |
| | 310,625 |
| | 100,633 |
| | 541,534 |
| | 620,220 |
| Texas | 145,594 |
| | 256,704 |
| | 54,556 |
| | 456,854 |
| | 523,843 |
| North | 219,172 |
| | 369,144 |
| | 46,414 |
| | 634,730 |
| | 680,447 |
| Southwest | 226,204 |
| | 496,488 |
| | 167,295 |
| | 889,987 |
| | 963,540 |
| Other homebuilding (a) | 49,162 |
| | 270,771 |
| | 64,257 |
| | 384,190 |
| | 2,140,739 |
| | 1,116,184 |
| | 2,435,378 |
| | 662,484 |
| | 4,214,046 |
| | 6,385,463 |
| Financial Services | — |
| | — |
| | — |
| | — |
| | 348,946 |
| | $ | 1,116,184 |
| | $ | 2,435,378 |
| | $ | 662,484 |
| | $ | 4,214,046 |
| | $ | 6,734,409 |
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| | (a) | Other homebuilding primarily includes cash and equivalents, capitalized interest, net deferred tax assets, intangibles, and other corporate items that are not allocated to the operating segments. |
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