XML 21 R60.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Note 8 - Accrued Expenses and Other Liabilities - Schedule of Accrued Expenses and Other Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Warranty accrual $ 7,223 [1] $ 6,898 [1] $ 6,859
Litigation reserves(2) [2] 10,900 0  
Accrued interest 5,796 6,497  
Accrued compensation and benefits 5,350 5,749  
Completion reserve 3,167 4,192  
Customer deposits 3,574 2,192  
Operating Lease, Liability, Total [3] 2,243 [4] 0  
Other accrued expenses 2,301 3,500  
Total accrued expenses and other liabilities $ 40,554 $ 29,028  
[1] Included in the amount for 2019 and 2018 is approximately $1.9 million and $0.9 million, respectively, of warranty liabilities estimated to be recovered by our insurance policies.
[2] During 2019, we recorded litigation reserves totaling $5.9 million related to ordinary course litigation which developed and became probable and estimable within the 2019 fourth quarter. Further, as a result of the development of the construction defect related claims within the litigation reserve and their impact to the Company's litigation reserve estimates for incurred but not reported ("IBNR") future construction defect claims, we recorded an additional $5.0 million of IBNR construction defect claim reserves resulting in aggregate litigation reserves totaling $10.9 million as of December 31, 2019. Because the self-insured retention deductibles had been met for each claim covered by the $5.9 million reserve, and the self-insured retention deductibles are expected to be met for the $5.0 million IBNR construction defect claim reserves, the Company recorded estimated insurance receivables of $10.9 million offsetting the litigation reserves as of December 31, 2019.
[3] In conjunction with the adoption of ASC 842, the Company established a $3.5 million lease liability on January 1, 2019. For more information, please refer to Note 1 and Note 11.
[4] The weighted average remaining lease term and weighted average incremental borrowing rate used in calculating our lease liabilities were 1.9 years and 4.4%, respectively, at December 31, 2019.