Indebtedness

9 Months Ended

Sep. 30, 2011

12.	Indebtedness

The Board of Directors has authorized the Company, from time to time, to purchase its outstanding debt securities through cash purchases in open market transactions, privately negotiated transactions or otherwise. Such repurchases, if any, depend upon prevailing market conditions, the Company's liquidity requirements and other factors; such purchases may be commenced or suspended at any time without notice. During the nine month period ended September 30, 2011, the Company repurchased $21,359,000 principal amount of its 8 1/8% Senior Notes due 2015, $54,860,000 principal amount of its 7 1/8% Senior Notes due 2017 and $1,350,000 principal amount of its 8.65% Junior Subordinated Deferrable Interest Debentures due 2027, and recognized aggregate pre-tax losses of $6,352,000, which are reflected in selling, general and other expenses.

As more fully discussed in the 2010 10-K, in January 2011, a subsidiary of the Company paid $19,275,000 to the lenders of the Myrtle Beach project in full satisfaction of the project's non-recourse indebtedness, which had a balance of $100,524,000, and for net working capital amounts. As a result, the Company recognized a gain on forgiveness of debt (including accrued interest) in other income of $81,848,000 in the nine month period ended September 30, 2011. During 2009 and the fourth quarter of 2010, the Company had recognized impairment charges related to this project aggregating $114,900,000.

Securities sold under agreements to repurchase are accounted for as collateralized financing transactions. At September 30, 2011, these fixed rate repurchase agreements have a weighted average interest rate of approximately .22%, mature at various dates through November 2011 and are collateralized by non-current investments. The non-current investments are adjustable rate mortgage pass-through certificates issued by U.S. Government-Sponsored Enterprises (FHLMC or FNMA). This portfolio has a weighted average life of approximately 5.5 years and a duration of .9 at September 30, 2011.