Note 22 - Supplemental Guarantor Information

9 Months Ended

Sep. 30, 2011

Supplemental Guarantor Information [Text Block]

22.       Supplemental Guarantor Information

Certain of our 100% owned direct and indirect subsidiaries guarantee our outstanding senior and senior subordinated notes payable.  The guarantees are full and unconditional and joint and several.  Presented below are the condensed consolidated financial statements for our guarantor subsidiaries and non-guarantor subsidiaries.

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

	Three Months Ended September 30, 2011
	Standard Pacific Corp.			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidating Adjustments			Consolidated Standard Pacific Corp.
	(Dollars in thousands)
Homebuilding:
Revenues	$	97,409		$	128,523		$	15,861		$	―		$	241,793
Cost of sales		(82,666	)		(107,523	)		(13,358	)		―			(203,547	)
Gross margin		14,743			21,000			2,503			―			38,246
Selling, general and administrative expenses		(19,708	)		(17,760	)		(1,656	)		―			(39,124	)
Loss from unconsolidated joint ventures		(94	)		(106	)		(255	)		―			(455	)
Equity income (loss) of subsidiaries		217			―			―			(217	)		―
Interest expense		1,203			(4,946	)		(507	)		―			(4,250	)
Other income (expense)		(1,184	)		(949	)		185			―			(1,948	)
Homebuilding pretax income (loss)		(4,823	)		(2,761	)		270			(217	)		(7,531	)
Financial Services:
Financial services pretax income (loss)		(42	)		42			1,247			―			1,247
Income (loss) before income taxes		(4,865	)		(2,719	)		1,517			(217	)		(6,284	)
(Provision) benefit for income taxes		(1,569	)		2,041			(622	)		―			(150	)
Net income (loss)	$	(6,434	)	$	(678	)	$	895		$	(217	)	$	(6,434	)

	Three Months Ended September 30, 2010
	Standard Pacific Corp.			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidating Adjustments			Consolidated Standard Pacific Corp.
	(Dollars in thousands)
Homebuilding:
Revenues	$	84,506		$	110,176		$	12,784		$	―		$	207,466
Cost of sales		(59,782	)		(89,785	)		(9,064	)		―			(158,631	)
Gross margin		24,724			20,391			3,720			―			48,835
Selling, general and administrative expenses		(19,847	)		(15,452	)		(1,040	)		―			(36,339	)
Income (loss) from unconsolidated joint ventures		1,078			(27	)		750			―			1,801
Equity income (loss) of subsidiaries		2,681			―			―			(2,681	)		―
Interest expense		(4,619	)		(5,225	)		(413	)		―			(10,257	)
Loss on early extinguishment of debt		(999	)		―			―			―			(999	)
Other income (expense)		(311	)		360			986			―			1,035
Homebuilding pretax income (loss)		2,707			47			4,003			(2,681	)		4,076
Financial Services:
Financial services pretax income (loss)		(30	)		30			739			―			739
Income (loss) before income taxes		2,677			77			4,742			(2,681	)		4,815
(Provision) benefit for income taxes		1,866			(1,053	)		(1,085	)		―			(272	)
Net income (loss)	$	4,543		$	(976	)	$	3,657		$	(2,681	)	$	4,543

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

	Nine Months Ended September 30, 2011
	Standard Pacific Corp.			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidating Adjustments		Consolidated Standard Pacific Corp.
	(Dollars in thousands)
Homebuilding:
Revenues	$	242,109		$	314,418		$	33,310		$	―	$	589,837
Cost of sales		(196,074	)		(264,303	)		(27,029	)		―		(487,406	)
Gross margin		46,035			50,115			6,281			―		102,431
Selling, general and administrative expenses		(57,463	)		(49,099	)		(3,266	)		―		(109,828	)
Loss from unconsolidated joint ventures		(24	)		(142	)		(925	)		―		(1,091	)
Equity income (loss) of subsidiaries		(8,065	)		―			―			8,065		―
Interest expense		(5,704	)		(14,978	)		(1,527	)		―		(22,209	)
Other income (expense)		(790	)		(927	)		1,038			―		(679	)
Homebuilding pretax income (loss)		(26,011	)		(15,031	)		1,601			8,065		(31,376	)
Financial Services:
Financial services pretax income (loss)		(98	)		98			51			―		51
Income (loss) before income taxes		(26,109	)		(14,933	)		1,652			8,065		(31,325	)
(Provision) benefit for income taxes		(5,641	)		5,293			(77	)		―		(425	)
Net income (loss)	$	(31,750	)	$	(9,640	)	$	1,575		$	8,065	$	(31,750	)

	Nine Months Ended September 30, 2010
	Standard Pacific Corp.			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Consolidating Adjustments			Consolidated Standard Pacific Corp.
	(Dollars in thousands)
Homebuilding:
Revenues	$	307,651		$	337,276		$	55,067		$	―		$	699,994
Cost of sales		(227,312	)		(273,484	)		(44,232	)		―			(545,028	)
Gross margin		80,339			63,792			10,835			―			154,966
Selling, general and administrative expenses		(59,373	)		(49,469	)		(3,662	)		―			(112,504	)
Income (loss) from unconsolidated joint ventures		560			(63	)		644			―			1,141
Equity income (loss) of subsidiaries		1,254			―			―			(1,254	)		―
Interest expense		(14,550	)		(16,885	)		(1,286	)		―			(32,721	)
Loss on early extinguishment of debt		(6,189	)		―			―			―			(6,189	)
Other income (expense)		(172	)		392			4,057			―			4,277
Homebuilding pretax income (loss)		1,869			(2,233	)		10,588			(1,254	)		8,970
Financial Services:
Financial services pretax income (loss)		(111	)		111			1,796			―			1,796
Income (loss) before income taxes		1,758			(2,122	)		12,384			(1,254	)		10,766
(Provision) benefit for income taxes		8,375			(1,924	)		(7,084	)		―			(633	)
Net income (loss)	$	10,133		$	(4,046	)	$	5,300		$	(1,254	)	$	10,133

CONDENSED CONSOLIDATING BALANCE SHEET

	September 30, 2011
	Standard Pacific Corp.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated Standard Pacific Corp.
	(Dollars in thousands)
ASSETS
Homebuilding:
Cash and equivalents	$	51,240	$	210	$	368,560	$	―		$	420,010
Restricted cash		―		―		31,182		―			31,182
Trade and other receivables		490,014		5,575		7,695		(484,808	)		18,476
Inventories:
Owned		626,553		627,168		197,106		―			1,450,827
Not owned		8,100		51,485		2,018		―			61,603
Investments in unconsolidated joint ventures		21,708		2,335		52,015		―			76,058
Investments in subsidiaries		767,675		―		―		(767,675	)		―
Deferred income taxes, net		6,172		―		―		148			6,320
Other assets		35,255		3,264		296		(165	)		38,650
Total Homebuilding Assets		2,006,717		690,037		658,872		(1,252,500	)		2,103,126
Financial Services:
Cash and equivalents		―		―		11,339		―			11,339
Restricted cash		―		―		1,745		―			1,745
Mortgage loans held for sale, net		―		―		50,049		―			50,049
Mortgage loans held for investment, net		―		―		10,329		―			10,329
Other assets		―		―		8,365		(3,155	)		5,210
Total Financial Services Assets		―		―		81,827		(3,155	)		78,672
Total Assets	$	2,006,717	$	690,037	$	740,699	$	(1,255,655	)	$	2,181,798
LIABILITIES AND EQUITY
Homebuilding:
Accounts payable	$	10,299	$	10,575	$	1,731	$	―		$	22,605
Accrued liabilities		71,662		416,405		170,756		(482,125	)		176,698
Secured project debt and other notes payable		―		―		3,899		―			3,899
Senior notes payable		1,274,532		―		―		―			1,274,532
Senior subordinated notes payable		45,293		―		―		―			45,293
Total Homebuilding Liabilities		1,401,786		426,980		176,386		(482,125	)		1,523,027
Financial Services:
Accounts payable and other liabilities		―		―		5,667		(4,355	)		1,312
Mortgage credit facilities		―		―		54,028		(1,500	)		52,528
Total Financial Services Liabilities		―		―		59,695		(5,855	)		53,840
Total Liabilities		1,401,786		426,980		236,081		(487,980	)		1,576,867
Equity:
Total Stockholders' Equity		604,931		263,057		504,618		(767,675	)		604,931
Total Liabilities and Equity	$	2,006,717	$	690,037	$	740,699	$	(1,255,655	)	$	2,181,798

CONDENSED CONSOLIDATING BALANCE SHEET

	December 31, 2010
	Standard Pacific Corp.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated Standard Pacific Corp.
	(Dollars in thousands)
ASSETS
Homebuilding:
Cash and equivalents	$	260,869	$	217	$	459,430	$	―		$	720,516
Restricted cash		―		―		28,238		―			28,238
Trade and other receivables		411,804		2,225		7,555		(415,417	)		6,167
Inventories:
Owned		429,951		617,641		134,105		―			1,181,697
Not owned		10,405		5,239		3,355		―			18,999
Investments in unconsolidated joint ventures		17,203		2,316		54,342		―			73,861
Investments in subsidiaries		867,740		―		―		(867,740	)		―
Deferred income taxes, net		9,121		―		―		148			9,269
Other assets		33,994		4,024		168		(11	)		38,175
Total Homebuilding Assets		2,041,087		631,662		687,193		(1,283,020	)		2,076,922
Financial Services:
Cash and equivalents		―		―		10,855		―			10,855
Restricted cash		―		―		2,870		―			2,870
Mortgage loans held for sale, net		―		―		30,279		―			30,279
Mortgage loans held for investment, net		―		―		9,904		―			9,904
Other assets		―		―		5,003		(2,710	)		2,293
Total Financial Services Assets		―		―		58,911		(2,710	)		56,201
Total Assets	$	2,041,087	$	631,662	$	746,104	$	(1,285,730	)	$	2,133,123
LIABILITIES AND EQUITY
Homebuilding:
Accounts payable	$	5,971	$	8,371	$	2,594	$	(220	)	$	16,716
Accrued liabilities		97,738		350,321		107,347		(412,279	)		143,127
Secured project debt and other notes payable		―		273		4,465		―			4,738
Senior notes payable		1,272,977		―		―		―			1,272,977
Senior subordinated notes payable		42,539		―		―		―			42,539
Total Homebuilding Liabilities		1,419,225		358,965		114,406		(412,499	)		1,480,097
Financial Services:
Accounts payable and other liabilities		―		―		4,811		(3,991	)		820
Mortgage credit facilities		―		―		31,844		(1,500	)		30,344
Total Financial Services Liabilities		―		―		36,655		(5,491	)		31,164
Total Liabilities		1,419,225		358,965		151,061		(417,990	)		1,511,261
Equity:
Total Stockholders' Equity		621,862		272,697		595,043		(867,740	)		621,862
Total Liabilities and Equity	$	2,041,087	$	631,662	$	746,104	$	(1,285,730	)	$	2,133,123

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

	Nine Months Ended September 30, 2011
	Standard Pacific Corp.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments		Consolidated Standard Pacific Corp.
	(Dollars in thousands)
Cash Flows From Operating Activities:
Net cash provided by (used in) operating activities	$	(293,052	)	$	530		$	(18,055	)	$	―	$	(310,577	)
Cash Flows From Investing Activities:
Investments in unconsolidated homebuilding joint ventures		(3,691	)		(161	)		(7,452	)		―		(11,304	)
Distributions from unconsolidated homebuilding joint ventures		―			―			7,786			―		7,786
Other investing activities		(1,185	)		(103	)		(464	)		―		(1,752	)
Net cash provided by (used in) investing activities		(4,876	)		(264	)		(130	)		―		(5,270	)
Cash Flows From Financing Activities:
Change in restricted cash		―			―			(1,819	)		―		(1,819	)
Net proceeds from (principal payments on) secured project debt and other notes payable		―			(273	)		(566	)		―		(839	)
Payment of debt issuance costs		(4,575	)		―			―			―		(4,575	)
Net proceeds from (payments on) mortgage credit facilities		―			―			22,184			―		22,184
Distributions from (contributions to) Corporate and subsidiaries		92,000						(92,000	)		―		―
Payment of issuance costs in connection with exercise of Warrant for common stock		(324	)		―			―			―		(324	)
Proceeds from the exercise of stock options		1,198			―			―			―		1,198
Net cash provided by (used in) financing activities		88,299			(273	)		(72,201	)		―		15,825
Net increase (decrease) in cash and equivalents		(209,629	)		(7	)		(90,386	)		―		(300,022	)
Cash and equivalents at beginning of period		260,869			217			470,285			―		731,371
Cash and equivalents at end of period	$	51,240		$	210		$	379,899		$	―	$	431,349

	Nine Months Ended September 30, 2010
	Standard Pacific Corp.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments		Consolidated Standard Pacific Corp.
	(Dollars in thousands)
Cash Flows From Operating Activities:
Net cash provided by (used in) operating activities	$	(141,083	)	$	18,056		$	94,532		$	―	$	(28,495	)
Cash Flows From Investing Activities:
Investments in unconsolidated homebuilding joint ventures		(1,853	)		(91	)		(35,490	)		―		(37,434	)
Distributions from unconsolidated homebuilding joint ventures		3			―			110			―		113
Other investing activities		(520	)		(106	)		(507	)		―		(1,133	)
Net cash provided by (used in) investing activities		(2,370	)		(197	)		(35,887	)		―		(38,454	)
Cash Flows From Financing Activities:
Change in restricted cash		―			―			(1,588	)		―		(1,588	)
Net proceeds from (principal payments on) secured project debt and other notes payable		(62,467	)		(17,969	)		(2,971	)		―		(83,407	)
Principal payments on senior notes payable		(195,869	)		―			―			―		(195,869	)
Proceeds from the issuance of senior notes payable		300,000			―			―			―		300,000
Payment of debt issuance costs		(5,506	)		―			―			―		(5,506	)
Net proceeds from (payments on) mortgage credit facilities		―			―			(5,393	)		―		(5,393	)
Proceeds from the exercise of stock options		2,454			―			―			―		2,454
Excess tax benefits from share-based payment arrangements		27			―			―			―		27
Distributions from (contributions to) Corporate and subsidiaries		17,291			―			(17,291	)		―		―
Net cash provided by (used in) financing activities		55,930			(17,969	)		(27,243	)		―		10,718
Net increase (decrease) in cash and equivalents		(87,523	)		(110	)		31,402			―		(56,231	)
Cash and equivalents at beginning of period		183,135			402			412,022			―		595,559
Cash and equivalents at end of period	$	95,612		$	292		$	443,424		$	―	$	539,328