10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended July 2, 2016

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                    to

Commission File Number 000-08822

Cavco Industries, Inc.

(Exact name of registrant as specified in its charter)

Delaware	56-2405642
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
1001 North Central Avenue, Suite 800 Phoenix, Arizona 85004
(Address of principal executive offices, including zip code)

602-256-6263

(Registrant's telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last year)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ý    No  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ý    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a small reporting company. See definitions of "large accelerated filer," "accelerated filer," and "smaller reporting company" in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	¨	Accelerated filer	ý
Non-accelerated filer	¨ (Do not check if a smaller reporting company)	Smaller reporting company	¨

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ¨    No  ý

As of August 5, 2016, 8,971,814 shares of Registrant's Common Stock, $.01 par value, were outstanding.

CAVCO INDUSTRIES, INC.

FORM 10-Q

July 2, 2016

TABLE OF CONTENTS

	Page
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Balance Sheets as of July 2, 2016 (unaudited) and April 2, 2016	1
Consolidated Statements of Comprehensive Income (unaudited) for the three months ended July 2, 2016 and June 27, 2015	2
Consolidated Statements of Cash Flows (unaudited) for the three months ended July 2, 2016 and June 27, 2015	3
Notes to Consolidated Financial Statements	4
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations	30
Item 3. Quantitative and Qualitative Disclosures About Market Risk	43
Item 4. Controls and Procedures	44
PART II. OTHER INFORMATION
Item 1. Legal Proceedings	45
Item 1A. Risk Factors	45
Item 6. Exhibits	45
SIGNATURES	46
EXHIBIT INDEX	47

PART 1. FINANCIAL INFORMATION

Item 1. Financial Statements

CAVCO INDUSTRIES, INC.

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands, except per share amounts)

	July 2, 2016		April 2, 2016
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	102,494	$	97,766
Restricted cash, current	10,133		10,218
Accounts receivable, net	28,329		29,113
Short-term investments	9,419		10,140
Current portion of consumer loans receivable, net	22,513		21,918
Current portion of commercial loans receivable, net	5,037		3,557
Inventories	94,796		94,813
Prepaid expenses and other current assets	23,908		22,196
Deferred income taxes, current	9,216		8,998
Total current assets	305,845		298,719
Restricted cash	1,097		1,082
Investments	29,108		28,948
Consumer loans receivable, net	65,921		67,640
Commercial loans receivable, net	22,070		21,985
Property, plant and equipment, net	56,105		55,072
Goodwill and other intangibles, net	80,297		80,389
Total assets	$	560,443	$	553,835
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	18,952	$	18,513
Accrued liabilities	102,703		100,314
Current portion of securitized financings and other	5,742		6,262
Total current liabilities	127,397		125,089
Securitized financings and other	53,725		54,909
Deferred income taxes	20,678		20,611
Stockholders' equity:
Preferred stock, $.01 par value; 1,000,000 shares authorized; No shares issued or outstanding	—		—
Common stock, $.01 par value; 40,000,000 shares authorized; Outstanding 8,970,314 and 8,927,989 shares, respectively	90		89
Additional paid-in capital	241,690		241,662
Retained earnings	115,629		110,186
Accumulated other comprehensive income	1,234		1,289
Total stockholders' equity	358,643		353,226
Total liabilities and stockholders' equity	$	560,443	$	553,835

See accompanying Notes to Consolidated Financial Statements

1

CAVCO INDUSTRIES, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Dollars in thousands, except per share amounts)

(Unaudited)

	Three Months Ended
	July 2, 2016			June 27, 2015
Net revenue	$	185,141		$	161,668
Cost of sales	151,889			129,834
Gross profit	33,252			31,834
Selling, general and administrative expenses	24,687			22,659
Income from operations	8,565			9,175
Interest expense	(1,161		)	(1,015		)
Other income, net	1,026			472
Income before income taxes	8,430			8,632
Income tax expense	(2,987		)	(3,247		)
Net income	$	5,443		$	5,385
Comprehensive income:
Net income	$	5,443		$	5,385
Unrealized loss on available-for-sale securities, net of tax	(55		)	(409		)
Comprehensive income	$	5,388		$	4,976
Net income per share:
Basic	$	0.61		$	0.61
Diluted	$	0.60		$	0.60
Weighted average shares outstanding:
Basic	8,937,265			8,863,648
Diluted	9,085,042			9,020,261

See accompanying Notes to Consolidated Financial Statements

2

CAVCO INDUSTRIES, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Dollars in thousands)

(Unaudited)

	Three Months Ended
	July 2, 2016			June 27, 2015
OPERATING ACTIVITIES
Net income	$	5,443		$	5,385
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	946			934
Provision for credit losses	85			232
Deferred income taxes	(91		)	418
Stock-based compensation expense	370			331
Non-cash interest income, net	(315		)	(526		)
Incremental tax benefits from option exercises	(1,946		)	(167		)
Gain on sale of property, plant and equipment including assets held for sale, net	(22		)	(16		)
Gain on sale of loans and investments, net	(2,171		)	(1,536		)
Changes in operating assets and liabilities:
Restricted cash	(296		)	320
Accounts receivable	791			4,162
Consumer loans receivable originated	(25,622		)	(29,045		)
Principal payments on consumer loans receivable	3,007			2,416
Proceeds from sales of consumer loans	25,800			28,491
Inventories	17			(6,008		)
Prepaid expenses and other current assets	(1,176		)	(2,513		)
Commercial loans receivable	(1,572		)	(4,503		)
Accounts payable and accrued liabilities	4,953			5,568
Net cash provided by operating activities	8,201			3,943
INVESTING ACTIVITIES
Purchases of property, plant and equipment	(1,890		)	(526		)
Purchase of certain assets and liabilities of Fairmont Homes and Chariot Eagle	—			(27,120		)
Proceeds from sale of property, plant and equipment including assets held for sale	25			26
Purchases of investments	(2,440		)	(4,485		)
Proceeds from sale of investments	3,093			2,914
Net cash used in investing activities	(1,212		)	(29,191		)
FINANCING ACTIVITIES
(Payments) Proceeds from exercise of stock options	(2,287		)	70
Incremental tax benefits from exercise of stock options	1,946			167
Proceeds from secured financings and other	294			447
Payments on securitized financings	(2,214		)	(1,817		)
Net cash used in financing activities	(2,261		)	(1,133		)
Net increase (decrease) in cash and cash equivalents	4,728			(26,381		)
Cash and cash equivalents at beginning of the period	97,766			96,597
Cash and cash equivalents at end of the period	$	102,494		$	70,216
Supplemental disclosures of cash flow information:
Cash paid during the year for income taxes	$	3,734		$	3,237
Cash paid during the year for interest	$	904		$	978

See accompanying Notes to Consolidated Financial Statements

3

CAVCO INDUSTRIES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1. Basis of Presentation

The accompanying unaudited Consolidated Financial Statements of Cavco Industries, Inc., and its subsidiaries (collectively, the "Company" or "Cavco"), have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") for Quarterly Reports on Form 10-Q and Article 10 of SEC Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP") have been condensed or omitted pursuant to such rules and regulations.

In the opinion of management, these statements include all of the normal recurring adjustments necessary to fairly state the Company's Consolidated Financial Statements. Certain prior period amounts have been reclassified to conform to current period classification. The Company has evaluated subsequent events after the balance sheet date through the date of the filing of this report with the SEC; there were no disclosable subsequent events. These Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the Notes to Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended April 2, 2016, filed with the SEC on June 21, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and the accompanying Notes. Actual results could differ from those estimates. The Consolidated Statements of Comprehensive Income and Consolidated Statements of Cash Flows for the interim periods are not necessarily indicative of the results or cash flows for the full year. The Company operates on a 52-53 week fiscal year ending on the Saturday nearest to March 31 of each year. Each fiscal quarter consists of 13 weeks, with an occasional fourth quarter extending to 14 weeks, if necessary, for the fiscal year to end on the Saturday nearest to March 31. The Company's current fiscal year will end on April 1, 2017.

The Company operates principally in two segments: (1) factory-built housing, which includes wholesale and retail systems-built housing operations, and (2) financial services, which includes manufactured housing consumer finance and insurance. The Company designs and builds a wide variety of affordable modular homes, manufactured homes and park model RVs in 19 factories located throughout the United States, which are sold to a network of independent retailers, through the Company's 45 Company-owned retail stores and to community owners and developers. Our financial services group is comprised of a mortgage subsidiary, CountryPlace Acceptance Corp. ("CountryPlace"), and an insurance subsidiary, Standard Casualty Co. ("Standard Casualty"). CountryPlace is an approved Federal National Mortgage Association ("FNMA" or "Fannie Mae") and Federal Home Loan Mortgage Corporation ("FHLMC" or "Freddie Mac") seller/servicer, and a Government National Mortgage Association ("GNMA" or "Ginnie Mae") mortgage backed securities issuer which offers conforming mortgages, non-conforming mortgages and chattel loans to purchasers of factory-built and site-built homes. Standard Casualty provides property and casualty insurance to owners of manufactured homes.

4

Recent Accounting Pronouncements. In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"), which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The standard requires entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance also includes a cohesive set of disclosure requirements intended to provide users of financial statements with comprehensive information about the nature, amount, timing and uncertainty of revenue and cash flows arising from a company's contracts with customers. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which deferred the effective date of the new revenue standard. Accordingly, the updated standard is effective for us beginning with the first quarter of the Company's fiscal year 2019, with early application permitted in fiscal year 2018. The standard allows for either "full retrospective" adoption, meaning the standard is applied to all of the periods presented, or "modified retrospective" adoption, meaning the standard is applied only to the most current period presented in the financial statements. The Company is currently evaluating the effect ASU 2014-09 will have on the Company's Consolidated Financial Statements and disclosures.

In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ("ASU 2015-17"). ASU 2015-17 will be effective beginning with the Company's fiscal year 2019 annual report and interim periods thereafter, with early adoption permitted. In this update, entities are required to present all deferred tax liabilities and assets as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. The standard can be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. As this standard impacts presentation only, the adoption of ASU 2015-17 is not expected to have an impact on the Company's financial condition, results of operations or cash flows.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2019. The amendments require certain equity investments to be measured at fair value, with changes in the fair value recognized through net income. The Company is currently evaluating the effect ASU 2016-01 will have on the Company's Consolidated Financial Statements and disclosures.

In February 2016, the FASB issued ASU 2016-02, Leases(Topic 842) ("ASU 2016-02"). ASU 2016-02 will be effective beginning with the first quarter of the Company's fiscal year 2020, with early adoption permitted. The amendments require the recognition of lease assets and lease liabilities on the balance sheet for most leases, but recognize expenses in the income statement in a manner similar to current accounting treatment. In addition, disclosures of key information about leasing arrangements are required. Upon adoption, leases will be recognized and measured at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently evaluating the effect ASU 2016-02 will have on the Company's Consolidated Financial Statements and disclosures.

In March 2016, the FASB issued ASU 2016-09, Compensation- Stock Compensation(Topic 718) ("ASU 2016-09"). ASU 2016-09 will be effective beginning with the first quarter of the Company's fiscal year 2018, with early adoption permitted. The amendment simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The Company is currently evaluating the effect ASU 2016-09 will have on the Company's Consolidated Financial Statements and disclosures.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 changes the impairment model for most financial assets and certain other instruments, which requires a new forward-looking impairment model based on expected losses rather than incurred losses. The guidance also requires increased disclosures. ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2021. The Company is currently evaluating the effect ASU 2016-13 will have on the Company's Consolidated Financial Statements and disclosures.

5

From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted by the Company as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's Consolidated Financial Statements upon adoption.

For a description of other significant accounting policies used by the Company in the preparation of its Consolidated Financial Statements, please refer to Note 1 of the Notes to Consolidated Financial Statements in the Form 10-K.

2. Restricted Cash

Restricted cash consists of the following (in thousands):

	July 2, 2016		April 2, 2016
Cash related to CountryPlace customer payments to be remitted to third parties	$	8,651	$	8,419
Cash related to CountryPlace customer payments on securitized loans to be remitted to bondholders	1,381		1,747
Cash related to workers' compensation insurance held in trust	728		728
Other restricted cash	470		406
	$	11,230	$	11,300

Corresponding amounts are recorded in accounts payable and accrued liabilities for customer payments, deposits and other restricted cash.

6

3. Investments

Investments consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Available-for-sale investment securities	$	23,763	$	24,247
Non-marketable equity investments	14,764		14,841
	$	38,527	$	39,088

The following tables summarize the Company's available-for-sale investment securities, gross unrealized gains and losses and fair value, aggregated by investment category (in thousands):

	July 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	650	$	1	$	—		$	651
Residential mortgage-backed securities	5,680		19		(49		)	5,650
State and political subdivision debt securities	7,914		291		(65		)	8,140
Corporate debt securities	911		8		(3		)	916
Marketable equity securities	5,619		2,138		(351		)	7,406
Certificates of deposit	1,000		—		—			1,000
	$	21,774	$	2,457	$	(468	)	$	23,763

	April 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	1,002	$	—	$	(3	)	$	999
Residential mortgage-backed securities	5,866		13		(60		)	5,819
State and political subdivision debt securities	7,231		239		(49		)	7,421
Corporate debt securities	1,166		4		(6		)	1,164
Marketable equity securities	5,882		2,374		(412		)	7,844
Certificates of deposit	1,000		—		—			1,000
	$	22,147	$	2,630	$	(530	)	$	24,247

7

The following tables show the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands):

	July 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	3,036	$	(18	)	$	493	$	(31	)	$	3,529	$	(49	)
State and political subdivision debt securities	1,852		(29		)	1,734		(36		)	3,586		(65		)
Corporate debt securities	—		—			249		(3		)	249		(3		)
Marketable equity securities	1,792		(247		)	184		(104		)	1,976		(351		)
	$	6,680	$	(294	)	$	2,660	$	(174	)	$	9,340	$	(468	)

	April 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
U.S. Treasury and government debt securities	$	—	$	—		$	699	$	(3	)	$	699	$	(3	)
Residential mortgage-backed securities	3,436		(27		)	898		(33		)	4,334		(60		)
State and political subdivision debt securities	1,865		(29		)	1,257		(20		)	3,122		(49		)
Corporate debt securities	763		(6		)	—		—			763		(6		)
Marketable equity securities	1,780		(324		)	152		(88		)	1,932		(412		)
	$	7,844	$	(386	)	$	3,006	$	(144	)	$	10,850	$	(530	)

Based on the Company's ability and intent to hold the investments for a reasonable period of time sufficient for a forecasted recovery of fair value, the Company does not consider any investments to be other-than-temporarily impaired at July 2, 2016.

As of July 2, 2016, the Company's investments in marketable equity securities consist of investments in common stock of industrial and other companies ($7.3 million of the total fair value and $348,000 of the total unrealized losses) and bank trust, insurance and public utility companies ($100,000 of the total fair value and $3,000 of the total unrealized losses).

As of April 2, 2016, the Company's investments in marketable equity securities consisted of investments in common stock of industrial and other companies ($7.7 million of the total fair value and $409,000 of the total unrealized losses) and bank trust, insurance and public utility companies ($100,000 of the total fair value and $3,000 of the total unrealized losses).

8

The amortized cost and fair value of the Company's investments in debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	July 2, 2016
	Amortized Cost		Fair Value
Due in less than one year	$	1,015	$	1,013
Due after one year through five years	3,199		3,216
Due after five years through ten years	3,680		3,628
Due after ten years	7,261		7,500
	$	15,155	$	15,357

Realized gains and losses from the sale of securities are determined using the specific identification method. Gross gains realized on the sales of investment securities for the three months ended July 2, 2016 were approximately $453,000. Gross losses realized were approximately $149,000 for the three months ended July 2, 2016. Gross gains realized on the sales of investment securities for the three months ended June 27, 2015 were approximately $180,000. Gross losses realized were approximately $46,000 for the three months ended June 27, 2015.

4. Inventories

Inventories consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Raw materials	$	29,403	$	28,764
Work in process	11,079		10,755
Finished goods and other	54,314		55,294
	$	94,796	$	94,813

5. Consumer Loans Receivable

The Company acquired consumer loans receivable during the first quarter of fiscal 2012 as part of the Palm Harbor transaction. Acquired consumer loans receivable held for investment were acquired at fair value and subsequently are accounted for in accordance with Accounting Standards Codification ("ASC") 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality ("ASC 310-30"). Consumer loans receivable held for sale are carried at the lower of cost or market and construction advances are carried at the amount advanced less a valuation allowance. The following table summarizes consumer loans receivable (in thousands):

	July 2, 2016			April 2, 2016
Loans held for investment (acquired on Palm Harbor Acquisition Date)	$	66,968		$	68,951
Loans held for investment (originated after Palm Harbor Acquisition Date)	6,236			6,120
Loans held for sale	10,388			8,765
Construction advances	5,685			6,566
Consumer loans receivable	89,277			90,402
Deferred financing fees and other, net	(843		)	(844		)
Consumer loans receivable, net	$	88,434		$	89,558

9

As of the date of the Palm Harbor acquisition, management evaluated consumer loans receivable held for investment by CountryPlace to determine whether there was evidence of deterioration of credit quality and if it was probable that CountryPlace would be unable to collect all amounts due according to the loans' contractual terms. The Company also considered expected prepayments and estimated the amount and timing of undiscounted expected principal, interest and other cash flows. The Company determined the excess of the loan pool's scheduled contractual principal and contractual interest payments over all cash flows expected as of the date of the Palm Harbor transaction as an amount that cannot be accreted into interest income (the non-accretable difference). The cash flow expected to be collected in excess of the carrying value of the acquired loans is accreted into interest income over the remaining life of the loans (referred to as accretable yield). Interest income on consumer loans receivable is recognized as net revenue.

	July 2, 2016			April 2, 2016
	(in thousands)
Consumer loans receivable held for investment – contractual amount	$	161,570		$	166,793
Purchase discount
Accretable	(66,284		)	(69,053		)
Non-accretable	(27,987		)	(28,536		)
Less consumer loans receivable reclassified as other assets	(331		)	(253		)
Total acquired consumer loans receivable held for investment, net	$	66,968		$	68,951

Over the life of the acquired loans, the Company continues to estimate cash flows expected to be collected by CountryPlace. As of the balance sheet date, the Company evaluates whether the present value of expected cash flows, determined using the effective interest rate, has decreased from the value at acquisition and, if so, recognizes an allowance for loan loss. The present value of any subsequent increase in the loan pool's actual cash flows expected to be collected is used first to reverse any existing allowance for loan loss. Any remaining increase in cash flows expected to be collected adjusts the amount of accretable yield recognized on a prospective basis over the loan pool's remaining life. The weighted averages of assumptions used in the calculation of expected cash flows to be collected are as follows:

	July 2, 2016		April 2, 2016
Prepayment rate	13.0	%	13.0	%
Default rate	1.0	%	1.0	%

Assuming there was a 1% unfavorable variation from the expected level, for each key assumption, the expected cash flows for the life of the portfolio, as of July 2, 2016, would decrease by approximately $2.3 million and $5.8 million for the expected prepayment rate and expected default rate, respectively.

The changes in accretable yield on acquired consumer loans receivable held for investment were as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at the beginning of the period	$	69,053		$	73,202
Accretion	(2,515		)	(2,751		)
Reclassifications from non-accretable discount	(254		)	(190		)
Balance at the end of the period	$	66,284		$	70,261

10

The consumer loans held for investment have the following characteristics:

	July 2, 2016		April 2, 2016
Weighted average contractual interest rate	9.01	%	9.05	%
Weighted average effective interest rate	9.31	%	9.39	%
Weighted average months to maturity	168		170

The Company's consumer loans receivable balance consists of fixed-rate, fixed-term and fully-amortizing single-family home loans. These loans are either secured by a manufactured home, excluding the land upon which the home is located (chattel property loans and retail installment sale contracts), or by a combination of the home and the land upon which the home is located (real property mortgage loans). The real property mortgage loans are primarily for manufactured homes. Combined land and home loans are further disaggregated by the type of loan documentation: those conforming to the requirements of Government-Sponsored Enterprises ("GSEs"), and those that are non-conforming. In most instances, CountryPlace's loans are secured by a first-lien position and are provided for the consumer purchase of a home. In rare instances, CountryPlace may provide other types of loans in second-lien or unsecured positions. Accordingly, CountryPlace classifies its loans receivable as follows: chattel loans, conforming mortgages, non-conforming mortgages and other loans.

In measuring credit quality within each segment and class, CountryPlace uses commercially available credit scores (such as FICO®). At the time of each loan's origination, CountryPlace obtains credit scores from each of the three primary credit bureaus, if available. To evaluate credit quality of individual loans, CountryPlace uses the mid-point of the available credit scores or, if only two scores are available, the Company uses the lower of the two. CountryPlace does not update credit bureau scores after the time of origination.

11

The following table disaggregates CountryPlace's gross consumer loans receivable for each class by portfolio segment and credit quality indicator as of the time of origination (in thousands):

July 2, 2016
	Consumer Loans Held for Investment
	Securitized 2005		Securitized 2007		Unsecuritized		Construction Advances		Consumer Loans Held For Sale		Total
Asset Class
Credit Quality Indicator (FICO® score)
Chattel loans
0-619	$	758	$	515	$	324	$	—	$	42	$	1,639
620-719	12,844		8,811		3,795		—		46		25,496
720+	14,135		9,055		2,304		—		754		26,248
Other	54		—		443		—		—		497
Subtotal	27,791		18,381		6,866		—		842		53,880
Conforming mortgages
0-619	—		—		163		135		294		592
620-719	—		—		1,530		3,781		6,438		11,749
720+	—		—		193		1,769		2,814		4,776
Subtotal	—		—		1,886		5,685		9,546		17,117
Non-conforming mortgages
0-619	87		578		1,373		—		—		2,038
620-719	1,350		5,242		3,635		—		—		10,227
720+	1,633		3,348		714		—		—		5,695
Other	—		—		307		—		—		307
Subtotal	3,070		9,168		6,029		—		—		18,267
Other loans
Subtotal	—		—		13		—		—		13
	$	30,861	$	27,549	$	14,794	$	5,685	$	10,388	$	89,277

12

	April 2, 2016
	Consumer Loans Held for Investment
	Securitized 2005		Securitized 2007		Unsecuritized		Construction Advances		Consumer Loans Held For Sale		Total
Asset Class
Credit Quality Indicator (FICO® score)
Chattel loans
0-619	$	776	$	543	$	336	$	—	$	—	$	1,655
620-719	13,139		9,100		3,683		—		96		26,018
720+	14,751		9,409		2,324		—		215		26,699
Other	55		—		447		—		—		502
Subtotal	28,721		19,052		6,790		—		311		54,874
Conforming mortgages
0-619	—		—		164		95		171		430
620-719	—		—		1,428		3,355		5,847		10,630
720+	—		—		320		3,116		2,436		5,872
Subtotal	—		—		1,912		6,566		8,454		16,932
Non-conforming mortgages
0-619	88		585		1,392		—		—		2,065
620-719	1,365		5,290		3,664		—		—		10,319
720+	1,684		3,382		826		—		—		5,892
Other	—		—		307		—		—		307
Subtotal	3,137		9,257		6,189		—		—		18,583
Other loans
Subtotal	—		—		13		—		—		13
	$	31,858	$	28,309	$	14,904	$	6,566	$	8,765	$	90,402

Loan contracts secured by collateral that is geographically concentrated could experience higher rates of delinquencies, default and foreclosure losses than loan contracts secured by collateral that is more geographically dispersed. Thirty-nine percent of the outstanding principal balance of consumer loans receivable portfolio is concentrated in Texas and 10% is concentrated in Florida. Other than Texas and Florida, no other state had concentrations in excess of 10% of the principal balance of the consumer loans receivable as of July 2, 2016.

Collateral for repossessed loans is acquired through foreclosure or similar proceedings and is recorded at the estimated fair value of the home, less the costs to sell. At repossession, the fair value of the collateral is computed based on the historical recovery rates of previously charged-off loans; the loan is charged off and the loss is charged to the allowance for loan losses. On a monthly basis, the fair value of the collateral is adjusted to the lower of the amount recorded at repossession or the estimated sales price less estimated costs to sell, based on current information. Repossessed homes totaled approximately $953,000 and $707,000 as of July 2, 2016 and April 2, 2016, respectively, and are included in prepaid and other assets in the consolidated balance sheet. Foreclosure or similar proceedings in progress totaled approximately $370,000 and $340,000 as of July 2, 2016 and April 2, 2016, respectively.

13

6. Commercial Loans Receivable and Allowance for Loan Loss

The Company's commercial loans receivable balance consists of two classes: (i) direct financing arrangements for the home product needs of our independent retailers, communities and developers; and (ii) amounts loaned by the Company under participation financing programs.

Under the terms of the direct programs, the Company provides funds for the independent retailers, communities and developers' financed home purchases. The notes are secured by the home as collateral and, in some instances, other security depending on the circumstances. The other terms of direct arrangements vary depending on the needs of the borrower and the opportunity for the Company.

Under the terms of the participation programs, the Company provides loans to independent floor plan lenders, representing a significant portion of the funds that such financiers then lend to retailers to finance their inventory purchases. The participation commercial loan receivables are unsecured general obligations of the independent floor plan lenders.

Commercial loans receivables, net, consist of the following by class of financing notes receivable (in thousands):

	July 2, 2016			April 2, 2016
Direct loans receivable	$	26,085		$	24,392
Participation loans receivable	1,157			1,278
Allowance for loan loss	(135		)	(128		)
	$	27,107		$	25,542

The commercial loans receivable balance has the following characteristics:

	July 2, 2016		April 2, 2016
Weighted average contractual interest rate	6.8	%	6.9	%
Weighted average months to maturity	10		9

The Company evaluates the potential for loss from its participation loan programs based on the independent lender's overall financial stability, as well as historical experience, and has determined that an applicable allowance for loan loss was not needed at either July 2, 2016 or April 2, 2016.

With respect to direct programs with communities and developers, borrower activity is monitored on a regular basis and contractual arrangements are in place to provide adequate loss mitigation in the event of a default. For direct programs with independent retailers, the risk of loss is spread over numerous borrowers. Borrower activity is monitored in conjunction with third-party service providers, where applicable, to estimate the potential for loss on the related notes receivable, considering potential exposures, including repossession costs, remarketing expenses, impairment of value and the risk of collateral loss. The Company has historically been able to resell repossessed unused homes, thereby mitigating loss experience. If a default occurs and collateral is lost, the Company is exposed to loss of the full value of the home loan. If the Company determines that it is probable that a borrower will default, a specific reserve is determined and recorded within the estimated allowance for loan loss. The Company recorded an allowance for loan loss of $135,000 and $82,000 at July 2, 2016 and June 27, 2015, respectively.

14

The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan loss applicable to the direct programs (in thousands):

	Three Months Ended
	July 2, 2016		June 27, 2015
Balance at beginning of period	$	128	$	73
Provision for inventory finance credit losses	7		9
Loans charged off, net of recoveries	—		—
Balance at end of period	$	135	$	82

The following table disaggregates commercial loans receivable and the estimated allowance for loan loss for each class of financing receivable by evaluation methodology (in thousands):

	Direct Commercial Loans						Participation Commercial Loans
	July 2, 2016			April 2, 2016			July 2, 2016		April 2, 2016
Inventory finance notes receivable:
Collectively evaluated for impairment	$	13,485		$	12,761		$	—	$	—
Individually evaluated for impairment	12,600			11,631			1,157		1,278
	$	26,085		$	24,392		$	1,157	$	1,278
Allowance for loan loss:
Collectively evaluated for impairment	$	(135	)	$	(128	)	$	—	$	—
Individually evaluated for impairment	—			—			—		—
	$	(135	)	$	(128	)	$	—	$	—

Loans are subject to regular review and are given management's attention whenever a problem situation appears to be developing. Loans with indicators of potential performance problems are placed on watch list status and are subject to additional monitoring and scrutiny. Nonperforming status includes loans accounted for on a non-accrual basis and accruing loans with principal payments past due 90 days or more. The Company's policy is to place loans on nonaccrual status when interest is past due and remains unpaid 90 days or more or when there is a clear indication that the borrower has the inability or unwillingness to meet payments as they become due. The Company will resume accrual of interest once these factors have been remedied. At July 2, 2016, there are no commercial loans that are 90 days or more past due that are still accruing interest. Payments received on nonaccrual loans are recorded on a cash basis, first to interest and then to principal. At July 2, 2016, the Company was not aware of any potential problem loans that would have a material effect on the commercial receivables balance. Charge-offs occur when it becomes probable that outstanding amounts will not be recovered.

The following table disaggregates the Company's inventory finance receivables by class and credit quality indicator (in thousands):

	Direct Commercial Loans				Participation Commercial Loans
	July 2, 2016		April 2, 2016		July 2, 2016		April 2, 2016
Risk profile based on payment activity:
Performing	$	26,085	$	24,392	$	1,157	$	1,278
Watch list	—		—		—		—
Nonperforming	—		—		—		—
	$	26,085	$	24,392	$	1,157	$	1,278

15

The Company has concentrations of commercial loans receivable related to factory-built homes located in the following states, measured as a percentage of commercial loans receivables principal balance outstanding:

	July 2, 2016		April 2, 2016
Texas	30.3	%	33.2	%
Arizona	10.7	%	13.3	%

The risks created by these concentrations have been considered in the determination of the adequacy of the allowance for loan losses. The Company did not have concentrations in excess of 10% of the principal balance of the commercial loans receivables in any other states as of July 2, 2016 or April 2, 2016, respectively.

As of July 2, 2016 and April 2, 2016, the Company had concentrations of commercial loans receivable with one independent third-party and its affiliates that equaled 29.3% and 32.0% of the principal balance outstanding, respectively, all of which was secured.

7. Property, Plant and Equipment

Property, plant and equipment are carried at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of each asset. Estimated useful lives for significant classes of assets are as follows: (i) buildings and improvements, 10 to 39 years, and (ii) machinery and equipment, 3 to 25 years. Repairs and maintenance charges are expensed as incurred. Property, plant and equipment consist of the following (in thousands):

	July 2, 2016			April 2, 2016
Property, plant and equipment, at cost:
Land	$	22,719		$	22,719
Buildings and improvements	33,187			32,230
Machinery and equipment	20,397			19,533
	76,303			74,482
Accumulated depreciation	(20,198		)	(19,410		)
Property, plant and equipment, net	$	56,105		$	55,072

Included in the amounts above are certain assets under a capital lease. See Note 8 for additional information.

8. Capital Leases

On May 1, 2015, in connection with the purchase of Fairmont Homes, the Company entered into a five-year lease covering the manufacturing facilities and land in Montevideo, Minnesota, which is accounted for as a capital lease. At the end of the lease term, the landlord has the option to require the Company to purchase the leased premises at a specified price. If the landlord does not exercise this option, the Company may purchase the facilities at the termination of the lease for that price. The following amounts were recorded for the leased assets as of July 2, 2016 and April 2, 2016 (in thousands):

	July 2, 2016			April 2, 2016
Land	$	240		$	240
Buildings and improvements	2,960			2,960
	3,200			3,200
Accumulated amortization	(115		)	(90		)
Leased assets, net	$	3,085		$	3,110

16

The minimum payments in future fiscal years under the lease as of July 2, 2016 are as follows (in thousands):

2017	$	216
2018	277
2019	265
2020	253
2021	1,721
Total remaining lease payments	2,732
Less: Amount representing interest	(388		)
Present value of future minimum lease payments	$	2,344

9. Goodwill and Other Intangibles

Intangible assets principally consist of goodwill, trademarks and trade names, state insurance licenses, customer relationships, and other, which includes technology, insurance policies and renewal rights and other. Goodwill, trademarks and trade names and state insurance licenses are indefinite-lived intangible assets and are evaluated for impairment annually and whenever events or circumstances indicate that more likely than not impairment has occurred. During the three months ended July 2, 2016 and June 27, 2015, no impairment expense was recorded. Finite-lived intangibles are amortized over their estimated useful lives on a straight-line basis and are reviewed for possible impairment whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. The value of customer relationships is amortized over 4 to 15 years and other intangibles over 7 to 15 years.

Goodwill and other intangibles consist of the following (in thousands):

	July 2, 2016							April 2, 2016
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Indefinite lived:
Goodwill	$	69,753	$	—		$	69,753	$	69,753	$	—		$	69,753
Trademarks and trade names	7,000		—			7,000		7,000		—			7,000
State insurance licenses	1,100		—			1,100		1,100		—			1,100
Total indefinite-lived intangible assets	77,853		—			77,853		77,853		—			77,853
Finite lived:
Customer relationships	7,100		(5,383		)	1,717		7,100		(5,329		)	1,771
Other	1,384		(657		)	727		1,384		(619		)	765
Total goodwill and other intangible assets	$	86,337	$	(6,040	)	$	80,297	$	86,337	$	(5,948	)	$	80,389

Amortization expense recognized on intangible assets during the three months ended July 2, 2016 and June 27, 2015 was $92,000 and $189,000, respectively.

17

10. Accrued Liabilities

Accrued liabilities consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Unearned insurance premiums	$	16,928	$	15,528
Customer deposits	15,736		14,039
Salaries, wages and benefits	15,702		20,675
Estimated warranties	13,718		13,371
Insurance loss reserves	7,429		5,990
Accrued volume rebates	5,302		4,647
Accrued insurance	3,765		3,969
Company repurchase option on certain loans sold	3,729		3,497
Deferred margin	3,180		2,823
Capital lease obligation	2,344		2,387
Reserve for repurchase commitments	1,741		1,660
Accrued taxes	1,052		1,282
Other	12,077		10,446
	$	102,703	$	100,314

11. Warranties

Homes are generally warranted against manufacturing defects for a period of one year commencing at the time of sale to the retail customer. Estimated costs relating to home warranties are recorded at the date of sale. The Company has recorded a liability for estimated future warranty costs relating to homes sold based upon management's assessment of historical experience factors, an estimate of the amount of homes in the distribution channel and current industry trends. Activity in the liability for estimated warranties was as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at beginning of period	$	13,371		$	9,953
Purchase accounting additions	—			1,111
Charged to costs and expenses	6,136			4,265
Payments and deductions	(5,789		)	(4,272		)
Balance at end of period	$	13,718		$	11,057

18

12. Debt Obligations

Debt obligations consist of amounts related to loans sold that did not qualify for loan sale accounting treatment. The following table summarizes debt obligations (in thousands):

	July 2, 2016		April 2, 2016
Acquired securitized financings (acquired as part of the Palm Harbor transaction)
Securitized financing 2005-1	$	26,545	$	27,481
Securitized financing 2007-1	27,957		28,859
Other secured financings	4,965		4,831
Total securitized financings and other, net	$	59,467	$	61,171

The Company acquired CountryPlace's securitized financings during the first quarter of fiscal year 2012 as a part of the Palm Harbor acquisition. Acquired securitized financings were recorded at fair value at the time of acquisition, which resulted in a discount, and subsequently are accounted for in a manner similar to ASC 310-30 to accrete the discount.

The Company considers expected prepayments and estimates the amount and timing of undiscounted expected principal, interest and other cash flows for securitized consumer loans receivable held for investment to determine the expected cash flows on securitized financings and the contractual payments. The amount of contractual principal and contractual interest payments due on the securitized financings in excess of all cash flows expected as of the date of the Palm Harbor acquisition cannot be accreted into interest expense (the non-accretable difference). The remaining amount is accreted into interest expense over the remaining life of the obligation (referred to as accretable yield). The following table summarizes acquired securitized financings (in thousands):

	July 2, 2016			April 2, 2016
Securitized financings – contractual amount	$	65,961		$	68,673
Purchase discount
Accretable	(11,459		)	(12,333		)
Non-accretable (1)	—			—
Total acquired securitized financings, net	$	54,502		$	56,340

(1) There is no non-accretable difference, as the contractual payments on acquired securitized financing are determined by the cash collections from the underlying loans.

Over the life of the loans, the Company continues to estimate cash flows expected to be paid on securitized financings. The Company evaluates at the balance sheet date whether the present value of its securitized financings, determined using the effective interest rate, has increased or decreased. The present value of any subsequent change in cash flows expected to be paid adjusts the amount of accretable yield recognized on a prospective basis over the securitized financing's remaining life.

The changes in accretable yield on securitized financings were as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at the beginning of the period	$	12,333		$	12,128
Accretion	(968		)	(812		)
Adjustment to cash flows	94			(575		)
Balance at the end of the period	$	11,459		$	10,741

19

On July 12, 2005, prior to the Company's acquisition of Palm Harbor and CountryPlace, CountryPlace completed its initial securitization (2005-1) for approximately $141.0 million of loans, which was funded by issuing bonds totaling approximately $118.4 million. The bonds were issued in four different classes: Class A-1 totaling $36.3 million with a coupon rate of 4.23%; Class A-2 totaling $27.4 million with a coupon rate of 4.42%; Class A-3 totaling $27.3 million with a coupon rate of 4.80%; and Class A-4 totaling $27.4 million with a coupon rate of 5.20%. The bonds mature at varying dates and at issuance had an expected weighted average maturity of 4.66 years. For accounting purposes, this transaction was structured as a securitized borrowing. As of July 2, 2016, the Class A-1 and Class A-2 bonds have been retired.

On March 22, 2007, prior to the Company's acquisition of Palm Harbor and CountryPlace, CountryPlace completed its second securitization (2007-1) for approximately $116.5 million of loans, which was funded by issuing bonds totaling approximately $101.9 million. The bonds were issued in four classes: Class A-1 totaling $28.9 million with a coupon rate of 5.484%; Class A-2 totaling $23.4 million with a coupon rate of 5.232%; Class A-3 totaling $24.5 million with a coupon rate of 5.593%; and Class A-4 totaling $25.1 million with a coupon rate of 5.846%. The bonds mature at varying dates and at issuance had an expected weighted average maturity of 4.86 years. For accounting purposes, this transaction was also structured as a securitized borrowing. As of July 2, 2016, the Class A-1 and Class A-2 bonds have been retired.

CountryPlace's securitized debt is subject to provisions that require certain levels of overcollateralization. Overcollateralization is equal to CountryPlace's equity in the bonds. Failure to satisfy these provisions could cause cash, which would normally be distributed to CountryPlace, to be used for repayment of the principal of the related Class A bonds until the required overcollateralization level is reached. During periods when the overcollateralization is below the specified level, cash collections from the securitized loans in excess of servicing fees payable to CountryPlace and amounts owed to the Class A bondholders, trustee and surety, are applied to reduce the Class A debt until such time the overcollateralization level reaches the specified level. Therefore, failure to meet the overcollateralization requirement could adversely affect the timing of cash flows received by CountryPlace. However, principal payments of the securitized debt, including accelerated amounts, is payable only from cash collections from the securitized loans and no additional sources of repayment are required or permitted. As of July 2, 2016, the 2005-1 and 2007-1 securitized portfolios were within the required overcollateralization level.

13. Reinsurance

Standard Casualty is primarily a specialty writer of manufactured home physical damage insurance. Certain of Standard Casualty's premiums and benefits are assumed from and ceded to other insurance companies under various reinsurance agreements. The ceded reinsurance agreements provide Standard Casualty with increased capacity to write larger risks and maintain its exposure to loss within its capital resources. Standard Casualty remains obligated for amounts ceded in the event that the reinsurers do not meet their obligations. Substantially all of Standard Casualty's assumed reinsurance is with one entity.

The effects of reinsurance on premiums written and earned are as follows (in thousands):

	Three Months Ended
	July 2, 2016						June 27, 2015
	Written			Earned			Written			Earned
Direct premiums	$	4,386		$	3,926		$	4,111		$	3,593
Assumed premiums—nonaffiliate	6,947			5,632			5,789			5,083
Ceded premiums—nonaffiliate	(3,220		)	(3,220		)	(2,714		)	(2,714		)
Net premiums	$	8,113		$	6,338		$	7,186		$	5,962

20

Typical insurance policies written or assumed by Standard Casualty have a maximum coverage of $300,000 per claim, of which Standard cedes $200,000 of the risk of loss per reinsurance. Therefore, Standard Casualty maintains risk of loss limited to $100,000 per claim on typical policies. Amounts are recoverable by Standard Casualty through reinsurance for catastrophic losses in excess of $1.0 million per occurrence up to a maximum of $44.0 million in the aggregate.

Purchasing reinsurance contracts protects Standard Casualty from frequency and/or severity of losses incurred on insurance policies issued, such as in the case of a catastrophe that generates a large number of serious claims on multiple policies at the same time.

14. Income Taxes

The Company's deferred tax assets primarily result from financial statement accruals not currently deductible for tax purposes and differences in the acquired basis of certain assets, and its deferred tax liabilities primarily result from tax amortization of goodwill and other intangible assets.

The Company complies with the provisions of ASC 740, Income Taxes ("ASC 740"), which clarifies the accounting for income taxes by prescribing a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. ASC 740 also provides guidance on derecognizing, measurement, classification, interest and penalties, accounting in interim periods, disclosure and transition. The amount of unrecognized tax benefits recorded by the Company is insignificant and the impact on the effective tax rate if all unrecognized tax benefits were recognized would be insignificant. The Company classifies interest and penalties related to unrecognized tax benefits in tax expense.

Income tax returns are filed in the U.S. federal jurisdiction and in several state jurisdictions. The Company is no longer subject to examination by the IRS for years before fiscal year 2013. In general, the Company is no longer subject to state and local income tax examinations by tax authorities for years before fiscal year 2012. The Company believes that its income tax filing positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material change to the Company's financial position. The total amount of unrecognized tax benefit related to any particular tax position is not anticipated to change significantly within the next 12 months. The provision for income taxes generally represents income taxes paid or payable for the current year plus the change in deferred taxes during the year.

15. Commitments and Contingencies

Repurchase Contingencies. The Company is contingently liable under terms of repurchase agreements with financial institutions providing inventory financing for independent retailers of its products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to retailers in the event of default by the retailer. The risk of loss under these agreements is spread over numerous retailers. The price the Company is obligated to pay generally declines over the period of the agreement (generally 18 to 36 months, calculated from the date of sale to the retailer) and the risk of loss is further reduced by the resale value of the repurchased homes. The maximum amount for which the Company was contingently liable under such agreements approximated $49.1 million at July 2, 2016, without reduction for the resale value of the homes. The Company applies ASC 460, Guarantees ("ASC 460"), and ASC 450-20, Loss Contingencies ("ASC 450-20"), to account for its liability for repurchase commitments. Under the provisions of ASC 460, the Company records the greater of the estimated value of the non-contingent obligation or a contingent liability for each repurchase arrangement under the provisions of ASC 450-20. The Company recorded an estimated liability of $1.7 millionat both July 2, 2016 and April 2, 2016, related to the commitments pertaining to these agreements.

Letters of Credit. To secure certain reinsurance contracts, Standard Casualty maintains an irrevocable letter of credit of $7.0 million to provide assurance that Standard Casualty will fulfill its reinsurance obligations. This letter of credit is secured by certain of the Company's investments.

21

Construction-Period Mortgages. CountryPlace funds construction-period mortgages through periodic advances during the period of home construction. At the time of initial funding, CountryPlace commits to fully fund the loan contract in accordance with a predetermined schedule. Subsequent advances are contingent upon the performance of contractual obligations by the seller of the home and the borrower. Cumulative advances on construction-period mortgages are carried in the consolidated balance sheet at the amount advanced less a valuation allowance, which are included in consumer loans receivable. The total loan contract amount, less cumulative advances, represents an off-balance sheet contingent commitment of CountryPlace to fund future advances.

Loan contracts with off-balance sheet commitments are summarized below (in thousands):

	July 2, 2016			April 2, 2016
Construction loan contract amount	$	15,688		$	15,109
Cumulative advances	(5,685		)	(6,566		)
Remaining construction contingent commitment	$	10,003		$	8,543

Representations and Warranties of Mortgages Sold. CountryPlace sells loans to GSEs and whole-loan purchasers. In connection with these activities, CountryPlace provides to the GSEs and whole-loan purchasers representations and warranties related to the loans sold. These representations and warranties generally relate to the ownership of the loan, the validity of the lien securing the loan, the loan's compliance with the criteria for inclusion in the sale transactions, including compliance with underwriting standards or loan criteria established by the buyer, and CountryPlace's ability to deliver documentation in compliance with applicable laws. Generally, representations and warranties may be enforced at any time over the life of the loan. Upon a breach of a representation, CountryPlace may be required to repurchase the loan or to indemnify a party for incurred losses. Repurchase demands and claims for indemnification payments are reviewed on a loan-by-loan basis to validate if there has been a breach requiring repurchase. CountryPlace manages the risk of repurchase through underwriting and quality assurance practices and by servicing the mortgage loans to investor standards. CountryPlace maintains a reserve for these contingent repurchase and indemnification obligations. This reserve of $816,000 and $785,000 as of July 2, 2016 and April 2, 2016, respectively, included in accrued liabilities, reflects management's estimate of probable loss. CountryPlace considers a variety of assumptions, including borrower performance (both actual and estimated future defaults), historical repurchase demands and loan defect rates to estimate the liability for loan repurchases and indemnifications.

Interest Rate Lock Commitments. In originating loans for sale, CountryPlace issues interest rate lock commitments ("IRLCs") to prospective borrowers and third-party originators. These IRLCs represent an agreement to extend credit to a loan applicant, or an agreement to purchase a loan from a third-party originator, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind CountryPlace to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The loan commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, CountryPlace is subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs unless the commitment is successfully paired with another loan that may mitigate losses from fallout.

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As of July 2, 2016, CountryPlace had outstanding IRLCs with a notional amount of $5.8 million and are recorded at fair value in accordance with ASC 815, Derivatives and Hedging ("ASC 815"). ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair values of IRLCs are recorded in other assets in the consolidated balance sheets. The fair value of IRLCs is based on the value of the underlying mortgage loan adjusted for: (i) estimated cost to complete and originate the loan and (ii) the estimated percentage of IRLCs that will result in closed mortgage loans. The initial and subsequent changes in the value of IRLCs are a component of gain (loss) on mortgage loans held for sale. During the three months ended July 2, 2016, CountryPlace recognized gains of $28,000 on the outstanding IRLCs. During the three months ended June 27, 2015, CountryPlace recognized losses of $18,000 on the outstanding IRLCs.

Forward Sales Commitments. CountryPlace manages the risk profiles of a portion of its outstanding IRLCs and mortgage loans held for sale by entering into forward sales of mortgage backed securities ("MBS") and whole loan sale commitments. As of July 2, 2016, CountryPlace had $23.9 million in outstanding notional forward sales of MBSs and forward sales commitments. Commitments to forward sales of whole loans are typically in an amount proportionate with the amount of IRLCs expected to close in particular time frames, assuming no change in mortgage interest rates, for the respective loan products intended for whole loan sale.

The estimated fair values of forward sales of MBS and forward sale commitments are based on quoted market values and are recorded within other current assets in the consolidated balance sheets. During the three months ended July 2, 2016 and June 27, 2015, CountryPlace recognized losses of $44,000 and gains of $66,000, respectively, on forward sales and whole loan sale commitments.

Legal Matters. The Company is party to certain legal proceedings that arise in the ordinary course and are incidental to its business. Certain of the claims pending against the Company in these proceedings allege, among other things, breach of contract and warranty, product liability and personal injury. Although litigation is inherently uncertain, based on past experience and the information currently available, management does not believe that the currently pending and threatened litigation or claims will have a material adverse effect on the Company's consolidated financial position, liquidity or results of operations. However, future events or circumstances currently unknown to management will determine whether the resolution of pending or threatened litigation or claims will ultimately have a material effect on the Company's consolidated financial position, liquidity or results of operations in any future reporting periods.

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16. Stockholders' Equity

The following table represents changes in stockholders' equity for the three months ended July 2, 2016 (dollars in thousands):

				Additional paid-in capital			Retained earnings		Accumulated other comprehensive income			Total
	Common Stock
	Shares	Amount
Balance, April 2, 2016	8,927,989	$	89	$	241,662		$	110,186	$	1,289		$	353,226
Stock option exercises, including incremental tax benefits	42,325	1		(342		)	—		—			(341		)
Share-based compensation	—	—		370			—		—			370
Net income	—	—		—			5,443		—			5,443
Unrealized loss on Available-for-sale securities	—	—		—			—		(55		)	(55		)
Balance, July 2, 2016	8,970,314	$	90	$	241,690		$	115,629	$	1,234		$	358,643

(1) Other comprehensive income is comprised of unrealized gains and losses on available-for-sale investments. Unrealized losses before tax effect on available-for-sale securities were $112,000 for the three months ended July 2, 2016.

17. Stock-Based Compensation

The Company maintains stock incentive plans whereby stock option grants or awards of restricted stock may be made to certain officers, directors and key employees. As of July 2, 2016, the plans, which are shareholder approved, permit the award of up to 1,650,000 shares of the Company's common stock, of which 435,706 shares were still available for grant. When options are exercised, new shares of the Company's common stock are issued. Stock options may not be granted below 100% of the fair market value of the Company's common stock at the date of grant and generally expire seven years from the date of grant. Stock options and awards of restricted stock typically vest over a one to five year period as determined by the plan administrator (the Compensation Committee of the Board of Directors, which consists of independent directors). The stock incentive plans provide for accelerated vesting of stock options upon a change in control (as defined in the plans).

Stock-based compensation cost charged against income for the three months ended July 2, 2016 and June 27, 2015 was $370,000 and $331,000, respectively.

As of July 2, 2016, total unrecognized compensation cost related to stock options was approximately $2.0 million and the related weighted-average period over which it is expected to be recognized is approximately 2.53 years.

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The following table summarizes the option activity within the Company's stock-based compensation plans for the three months ended July 2, 2016:

	Number of Shares
Outstanding at April 2, 2016	491,980
Granted	4,000
Exercised	(92,400	)
Canceled or expired	(3,500	)
Outstanding at July 2, 2016	400,080
Exercisable at July 2, 2016	240,125

18. Earnings Per Share

Basic earnings per common share is computed based on the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per common share is computed based on the combination of dilutive common share equivalents, comprised of shares issuable under the Company's stock-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. Dilutive common share equivalents include the dilutive effect of in-the-money options to purchase shares, which is calculated based on the average share price for each period using the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share (dollars in thousands, except per share amounts):

	Three Months Ended
	July 2, 2016		June 27, 2015
Net income	$	5,443	$	5,385
Weighted average shares outstanding:
Basic	8,937,265		8,863,648
Common stock equivalents—treasury stock method	147,777		156,613
Diluted	9,085,042		9,020,261
Net income per share:
Basic	$	0.61	$	0.61
Diluted	$	0.60	$	0.60

There were 2,147 and 14,711 anti-dilutive common stock equivalents excluded from the computation of diluted earnings per share for the three months ended July 2, 2016 and June 27, 2015, respectively.

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19. Fair Value Measurements

The book value and estimated fair value of the Company's financial instruments are as follows (in thousands):

	July 2, 2016						April 2, 2016
	Book Value			Estimated Fair Value			Book Value			Estimated Fair Value
Available-for-sale securities (1)	$	23,763		$	23,763		$	24,247		$	24,247
Non-marketable equity investments (2)	14,764			14,764			14,841			14,841
Consumer loans receivable (3)	88,434			125,344			89,558			126,077
Interest rate lock commitment derivatives (4)	36			36			8			8
Forward loan sale commitment derivatives (4)	(75		)	(75		)	(31		)	(31		)
Commercial loans receivable (5)	27,107			27,238			25,542			25,688
Securitized financings (6)	(59,467		)	(58,576		)	(61,171		)	(60,220		)
Mortgage servicing rights (7)	865			865			803			803

(1) The fair value is based on quoted market prices.

(2) The fair value approximates book value based on the non-marketable nature of the investments.

(3) Includes consumer loans receivable held for investment, held for sale and construction advances. The fair value of the loans held for investment is based on the discounted value of the remaining principal and interest cash flows. The fair value of the loans held for sale are estimated based on recent GSE mortgage backed bond prices. The fair value of the construction advances approximates book value and the sales price of these loans is estimated based on construction completed.

(4) The fair values are based on changes in GSE mortgage backed bond prices and, additionally for IRLCs, pull through rates.

(5) The fair value is estimated using market interest rates of comparable loans.

(6) The fair value is estimated using recent public transactions of similar asset-backed securities.

(7) The fair value of the mortgage servicing rights is based on the present value of expected net cash flows related to servicing these loans.

In accordance with ASC 820, Fair Value Measurements and Disclosures ("ASC 820"), fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

Level 1 –	Quoted prices in active markets for identical assets or liabilities.
Level 2 –	Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
Level 3 –	Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities.

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When the Company uses observable market prices for identical securities that are traded in less active markets, it classifies such securities as Level 2. When observable market prices for identical securities are not available, the Company prices its marketable debt instruments using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. Non-binding market consensus prices are based on the proprietary valuation models of pricing providers or brokers. These valuation models incorporate a number of inputs, including non-binding and binding broker quotes; observable market prices for identical or similar securities; and the internal assumptions of pricing providers or brokers that use observable market inputs and, to a lesser degree, unobservable market inputs.

Financial instruments measured at fair value on a recurring basis are summarized below (in thousands):

	July 2, 2016
	Total			Level 1		Level 2		Level 3
Securities issued by the U.S Treasury and Government (1)	$	651		$	—	$	651	$	—
Mortgage-backed securities (1)	5,650			—		5,650		—
Securities issued by states and political subdivisions (1)	8,140			—		8,140		—
Corporate debt securities (1)	916			—		916		—
Marketable equity securities (1)	7,406			7,406		—		—
Interest rate lock commitment derivatives (2)	36			—		—		36
Forward loan sale commitment derivatives (2)	(75		)	—		—		(75		)
Mortgage servicing rights (3)	865			—		—		865

(1) Unrealized gains or losses on investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

(2) Gains or losses on derivatives are recognized in current period earnings through cost of sales.

(3) Changes in the fair value of mortgage servicing rights are recognized in the current period earnings through net revenue.

No transfers between Level 1, Level 2 or Level 3 occurred during the three months ended July 2, 2016. The Company's policy regarding the recording of transfers between levels is to record any such transfers at the end of the reporting period.

Financial instruments for which fair value is disclosed but not required to be recognized in the balance sheet on a recurring basis are summarized below (in thousands):

	July 2, 2016
	Total			Level 1		Level 2			Level 3
Loans held for investment	$	108,650		$	—	$	—		$	108,650
Loans held for sale	11,009			—		11,009			—
Loans held—construction advances	5,685			—		—			5,685
Commercial loans receivable	27,238			—		—			27,238
Securitized financings	(58,576		)	—		(58,576		)	—
Non-marketable equity investments	14,764			—		—			14,764

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Financial instruments measured on a nonrecurring basis also include impaired loans (nonaccrual loans) and loans held for sale. No recent sales have been executed in an orderly market of manufactured home loan portfolios with comparable product features, credit characteristics or performance. Impaired loans are measured using Level 3 inputs that are calculated using estimated discounted future cash flows with discount rates considered to reflect current market conditions. Loans held for sale are measured at the lower of cost or fair value using Level 2 inputs that consist of commitments on hand from investors. These loans are held for relatively short periods, typically no more than 45 days. As a result, changes in loan-specific credit risk are not a significant component of the change in fair value. The cost of loans held for sale is lower than the fair value as of July 2, 2016.

ASC 825, Financial Instruments ("ASC 825"), requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate fair value. Fair value estimates are made as of a specific point in time based on the characteristics of the financial instruments and the relevant market information. Where available, quoted market prices are used. In other cases, fair values are based on estimates using other valuation techniques. These techniques involve uncertainties and are significantly affected by the assumptions used and the judgments made regarding risk characteristics of various financial instruments, discount rates, estimates of future cash flows, future expected loss experience and other factors. Changes in assumptions could significantly affect these estimates and the resulting fair values. Derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in an immediate sale of the instrument. Also, because of differences in methodologies and assumptions used to estimate fair values, the Company's fair values should not be compared to those of other companies.

Under ASC 825, fair value estimates are based on existing financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Accordingly, the aggregate fair value amounts presented do not represent the underlying market value of the Company.

The Company records impairment losses on long-lived assets held for sale when the fair value of such long-lived assets is below their carrying values. The Company records impairment charges on long-lived assets used in operations when events and circumstances indicate that long-lived assets might be impaired and the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts. No impairment charges were recorded during the three months ended July 2, 2016.

Mortgage Servicing. Mortgage Servicing Rights ("MSRs") are the rights to receive a portion of the interest coupon and fees collected from the mortgagors for performing specified mortgage servicing activities, which consist of collecting loan payments, remitting principal and interest payments to investors, managing escrow accounts, performing loss mitigation activities on behalf of investors and otherwise administering the loan servicing portfolio. MSRs are initially recorded at fair value. Changes in fair value subsequent to the initial capitalization are recorded in the Company's results of operations. The Company recognizes MSRs on all loans sold to investors that meet the requirements for sale accounting and for which servicing rights are retained.

The Company applies fair value accounting to MSRs, with all changes in fair value recorded to net revenue in accordance with ASC 860-50, Servicing Assets and Liabilities. The fair value of MSRs is based on the present value of the expected future cash flows related to servicing these loans. The revenue components of the cash flows are servicing fees, interest earned on custodial accounts and other ancillary income. The expense components include operating costs related to servicing the loans (including delinquency and foreclosure costs) and interest expenses on servicer advances that the Company believes are consistent with the assumptions major market participants use in valuing MSRs. The expected cash flows are primarily impacted by prepayment estimates, delinquencies and market discounts. Generally, the value of MSRs is expected to increase when interest rates rise and decrease when interest rates decline, due to the effect those changes in interest rates have on prepayment estimates. Other factors noted above as well as the overall market demand for MSRs may also affect the valuation.

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	July 2, 2016			April 2, 2016
Number of loans serviced with MSRs	3,822			3,728
Weighted average servicing fee (basis points)	30.56			30.43
Capitalized servicing multiple	64.14		%	61.65		%
Capitalized servicing rate (basis points)	19.60			18.76
Serviced portfolio with MSRs (in thousands)	$	441,480		$	428,324
Mortgage servicing rights (in thousands)	$	865		$	803

20. Business Segment Information

The Company operates principally in two segments: (1) factory-built housing, which includes wholesale and retail systems-built housing operations and (2) financial services, which includes manufactured housing consumer finance and insurance. The following table details net revenue and income before income taxes by segment (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Net revenue:
Factory-built housing	$	172,486		$	147,546
Financial services	12,655			14,122
	$	185,141		$	161,668
Income before income taxes:
Factory-built housing	$	10,738		$	8,004
Financial services	(2,308		)	628
	$	8,430		$	8,632

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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

Introduction

The following should be read in conjunction with Cavco Industries, Inc. and its subsidiaries' (collectively, the "Company" or "Cavco") Consolidated Financial Statements and the related Notes that appear in Item 1 of this Report. References to "Note" or "Notes" pertain to the Notes to the Company's Consolidated Financial Statements.

Overview

Headquartered in Phoenix, Arizona, the Company designs and produces factory-built homes primarily distributed through a network of independent and Company-owned retailers. We are the second largest producer of manufactured homes in the United States, based on reported wholesale shipments, marketed under a variety of brand names, including Cavco Homes, Fleetwood Homes, Palm Harbor Homes, Fairmont Homes and Chariot Eagle. The Company is also a leading builder of park model RVs, vacation cabins and systems-built commercial structures, as well as modular homes built primarily under the Nationwide Homes brand. Cavco's mortgage subsidiary, CountryPlace Acceptance Corp. ("CountryPlace"), is an approved Federal National Mortgage Association ("FNMA" or "Fannie Mae") and Federal Home Loan Mortgage Corporation ("FHLMC" or "Freddie Mac") seller/servicer, and a Government National Mortgage Association ("GNMA" or "Ginnie Mae") mortgage backed securities issuer which offers conforming mortgages, non-conforming mortgages and chattel loans to purchasers of factory-built and site-built homes. Our insurance subsidiary, Standard Casualty Co. ("Standard Casualty"), provides property and casualty insurance to owners of manufactured homes.

Company Growth

From its inception in 1965, Cavco has traditionally served affordable housing markets in the southwestern United States primarily through its manufactured home production. During the period from 1997 to 2000, Cavco was purchased by and became a wholly-owned subsidiary of Centex Corporation, which operated the Company until 2003, when Cavco became a stand-alone publicly-held Company traded on the NASDAQ Global Select Market under the ticker symbol CVCO.

In 2009, the Company acquired certain manufactured housing assets and liabilities of Fleetwood Enterprises, Inc. ("Fleetwood"). The assets purchased included seven operating production facilities as well as idle factories. During fiscal year 2011, the Company acquired certain manufactured housing assets and liabilities of Palm Harbor Homes, Inc., a Florida corporation. The assets purchased included five operating production facilities as well as idle factories, 49 operating retail locations, a manufactured housing finance company and a homeowners insurance company.

On March 30, 2015, the Company purchased the business and operating assets of Chariot Eagle, a Florida-based manufacturer of park model RVs and manufactured homes. This transaction was accounted for as a business combination and is expected to expand the Company's offering of park model RV product lines and further strengthen our market position in the Southeastern United States.

On May 1, 2015, Cavco acquired certain assets and liabilities of Fairmont Homes. Fairmont Homes, headquartered in Nappanee, Indiana, is a builder of manufactured and modular homes and park model RVs, with manufacturing plants in Indiana and Minnesota. This transaction was accounted for as a business combination and provides additional home production capabilities and increased distribution into new markets in the Midwest, the western Great Plains states, the Northeast and several provinces in Canada.

The Company operates 19 homebuilding facilities located in Millersburg and Woodburn, Oregon; Nampa, Idaho; Riverside, California; Phoenix and Goodyear, Arizona; Austin, Fort Worth, Seguin and Waco, Texas; Montevideo, Minnesota (2); Nappanee, Indiana; Lafayette, Tennessee; Martinsville and Rocky Mount, Virginia; Douglas, Georgia; Plant City and Ocala, Florida. The majority of the homes produced are sold to and distributed by independently owned retailers located primarily throughout the United States and Canada. In addition, our homes are sold through 45 Company-owned U.S. retail locations.

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We continually review our product offerings throughout the combined organization and strive to improve product designs, production methods and marketing strategies. The supportive market response to the past and recent acquisitions has been encouraging and we believe that these expansions provide positive long-term strategic benefits for the Company. We plan to focus on developing synergies among all operations, which continue to have significant organic growth potential.

Industry and Company Outlook

According to data reported by the Manufactured Housing Institute ("MHI"), industry home shipments continue to improve, increasing 19.7% for the first six months of calendar year 2016 compared to the same period in the prior year. During calendar year 2015 our industry shipped approximately 71,000 HUD code manufactured homes, an increase of 10.9% over the approximately 64,000 homes shipped in 2014. Shipments were 60,000 in 2013, 55,000 in 2012 and 52,000 in calendar year 2011, the lowest levels since shipment statistics began to be recorded in 1959. Annual home shipments from 2006 to 2015 were less than the annual home shipments for each of the 40 years from 1963 to 2002. For the past 10- and 20-year periods, annual home shipments averaged 70,000 and 158,000, respectively. While industry HUD code manufactured home shipments improved modestly during recent years, the manufactured housing industry and the Company are operating at relatively low production and shipment levels.

Although ongoing economic challenges continue to hinder annual industry and Company home sales, we believe that employment rates and underemployment among potential home buyers who favor affordable housing as well as low consumer confidence levels are beginning to improve. "First-time" and "move-up" buyers of affordable homes are historically among the largest segments of new manufactured home purchasers. Included in this group are lower-income households that were particularly affected by a period of persistently low employment rates and underemployment. Following such challenges, the process of repairing damaged credit among such consumers and efforts to save for a home loan down-payment often require substantial time. Improving consumer confidence in the U.S. economy is evident among manufactured home buyers interested in our products for seasonal or retirement living that have been concerned about financial stability, and appear to be less hesitant to commit to a new home purchase. We believe sales of our products may continue to increase as employment and consumer confidence levels continue to improve.

The housing industry is subject to seasonal fluctuations based on new home buyer purchasing patterns. Further, Cavco’s Company-owned retail stores experience decreased home buyer traffic during holidays and popular vacation periods. Still, diversification among Cavco’s product lines and operations have served to partially offset the extent of seasonal fluctuations. Demand for our core single-family new home products typically peaks each spring and summer before declining in the winter, consistent with the overall housing industry. Demand patterns for park model and cabin RVs and homes used primarily for retirement seasonal living partially offset the general housing seasonality.

Cavco’s mortgage subsidiary experiences minimal seasonal fluctuation in its mortgage origination activities as a result of the time needed for loan application approval processes and subsequent home loan closing activities. The mortgage subsidiary realizes no seasonal impacts from its mortgage servicing operations. Revenue for the home insurance subsidiary is not impacted by seasonality as it recognizes revenue from policy sales ratably over each policy’s term year. The insurance subsidiary is subject to the effects of seasonal storms in Texas where most of its policies are underwritten. Spring storm activity typically spikes each April and May, the prime season for Texas weather events. During this quarter, multiple record setting storms in Texas produced high insurance claims volume. The severity of the hail, wind and flood related damage to insured homes were considerably greater than most spring storm seasons. Losses from these events were somewhat limited by reinsurance contracts, which responded as intended as part of the Company’s loss mitigation structure. While the severity of weather events has and can be expected to vary over time, the insurance subsidiary is a well-established and time-tested business. The entity has been a solid performer for the Company over time despite occasional periods of high claims experience.

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The two largest manufactured housing consumer demographics, young adults and those who are 55+ years old, are both growing. The U.S. adult population is estimated to expand by approximately 11.8 million between 2016 and 2021. Young adults born from 1976 to 1995, sometimes referred to as Gen Y, represent a large segment of the population. Late-stage Gen Y is approximately 2 million people larger than the next age category born from 1966 to 1975, Gen X, and is considered to be in the peak home-buying years. Gen Y represents prime first-time home buyers who may be attracted by the affordability, diversity of style choices and location flexibility of factory-built homes. The age 55 and older category is reported to be the fastest growing segment of the U.S. population. This group is similarly interested in the value proposition; however, they are also motivated by the energy efficiency and low maintenance requirements of systems-built homes, and by the lifestyle offered by planned communities that are specifically designed for homeowners that fall into this age group.

Consumer financing for the retail purchase of manufactured homes needs to become generally more available before marked emergence from current low home shipment levels can occur. Restrictive underwriting guidelines, irregular and onerous appraisal requirements, higher interest rates compared to site-built homes, regulatory burdens, a reduced number of institutions lending to manufactured home buyers and limited secondary market availability for manufactured home loans are significant restraints to industry growth. We are working directly with other industry participants to develop manufactured home consumer financing models that may better attract industry financiers interested in furthering or expanding lending opportunities in the industry. We have invested in community-based lending initiatives that provide home-only financing to residents of certain manufactured home communities. We are also working through industry trade associations to encourage favorable legislative and GSE action to address the mortgage financing needs of potential buyers of affordable homes. Only limited progress has been made in this area and meaningful positive impact in the form of increased home orders has yet to be realized. See "Regulatory Developments" below.

While sales activity of existing homes has improved, the current lending environment that favors site-built housing and more affluent home buyers has not provided improved capabilities for affordable-home buyers to facilitate a new home purchase. In addition, the contingency contract process, wherein potential manufactured home buyers must sell their existing home in order to facilitate the purchase of a new factory-built home continues to be somewhat impeded.

Based on the relatively low cost associated with manufactured home ownership, our products have traditionally competed with rental housing's monthly payment affordability. Rental housing activity is reported to have increased in recent years. As a result, tenant housing vacancy rates appear to have declined, causing a corresponding rise in associated rental rates. These rental market factors may cause some renters to become interested buyers of affordable housing alternatives including manufactured homes.

Further, with respect to the general rise in demand for rental housing, we have realized a larger proportion of orders from developers and community owners for new manufactured homes intended for use as rental housing. The Company is responsive to the unique product and related requirements of these home buyers and values the opportunity to provide homes that are well suited for these purposes.

The backlog of sales orders at July 2, 2016 varied among our 19 factories and in total was approximately $54.7 million, or approximately five weeks of current production levels, compared to $72.1 million at June 27, 2015. Retailers may cancel orders prior to production without penalty. Accordingly, until the production of a particular home has commenced, we do not consider our backlog to be firm orders.

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The Company has entered into certain commercial loan programs with members of the Company's independent wholesale distribution chain. Under these programs, the Company provides a significant amount of the funds that independent financiers then lend to distributors to finance retail inventories of our products. In addition, the Company has entered into direct commercial loan arrangements with distributors, communities and developers under which the Company provides funds for financing homes (see Note 6 to the Consolidated Financial Statements). The Company's involvement in commercial loans has increased the availability of manufactured home financing to distributors and users of our products. We believe that our participation in wholesale financing is helpful to retailers, communities and developers and allows our homes continued exposure to potential home buyers. These initiatives support the Company's ongoing efforts to expand our distribution base in all of our markets with existing and new customers. However, the initiatives expose the Company to risks associated with the creditworthiness of certain customers and business partners, including independent retailers, developers, communities and inventory financing partners.

With manufacturing facilities strategically positioned across the United States, we utilize local market research to design homes to meet the demands of our customers. We have the ability to customize floor plans and designs to fulfill specific needs and interests. By offering a full range of homes from entry-level models to large custom homes with the ability to engineer designs in-house, we can accommodate virtually any customer request. In addition to homes built to the federal HUD code, we construct modular homes that conform to state and local codes, park models and cabins and light commercial buildings at many of our manufacturing facilities.

We employ a concerted effort to identify niche market opportunities where our diverse product lines and custom building capabilities provide us with a competitive advantage. Our green building initiatives involve the creation of an energy efficient envelope, including higher utilization of renewable materials. These homes provide environmentally-friendly maintenance requirements, typically lower utility costs, specially designed ventilation systems and sustainability. Cavco also builds homes designed to use alternative energy sources, such as solar and wind. Building green may significantly reduce greenhouse gas emissions without sacrificing features, style or comfort. From bamboo flooring and tankless water heaters to solar-powered homes, our products are diverse and tailored to a wide range of consumer interests. Innovation in housing design is a forte of the Company and we continue to introduce new models at competitive price points with expressive interiors and exteriors that complement home styles in the areas in which they are located.

We maintain a conservative cost structure, which enables us to build added value into our homes. We have placed a consistent focus on developing synergies among all operations. In addition, the Company has worked diligently to maintain a solid financial position. Our balance sheet strength and position in cash and cash equivalents should help us to avoid liquidity problems and enable us to act effectively as market opportunities present themselves.

We were named the 2016 Manufacturer of the Year by the members of MHI, the factory-built home industry's national trade organization, for the seventh consecutive year. We also received several product and interior design awards from MHI.

In 2008, we announced a stock repurchase program, under which a total of $10.0 million may be used to repurchase our outstanding common stock. The repurchases may be made in the open market or in privately negotiated transactions in compliance with applicable state and federal securities laws and other legal requirements. The level of repurchase activity is subject to market conditions and other investment opportunities. The plan does not obligate us to acquire any particular amount of common stock and may be suspended or discontinued at any time. The repurchase program will be funded using our available cash. No repurchases have been made under this program to date.

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Regulatory Developments

In 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act ("Dodd-Frank Act" or the "Act") was passed into law. The Dodd-Frank Act is a sweeping piece of legislation and the financial services industry continues to assess its implications and implement necessary changes in procedures and business practices. The Act established the Consumer Financial Protection Bureau ("CFPB") to regulate consumer financial products and services. Although Congress detailed significant changes, and many new rules have been implemented, the full impact will not be known for years as the development of additional rules continue, and Congress considers amending part of the Act. Enforcement actions are in the early stages and the effects of possible litigation related to the regulations remains unknown.

In 2014, certain CFPB mortgage finance rules required under the Dodd-Frank Act became effective. The rules apply to consumer credit transactions secured by a dwelling, which include real property mortgages and chattel loans (financed without land) secured by manufactured homes. The rules defined standards for origination of "Qualified Mortgages," established specific requirements for lenders to prove borrowers' ability to repay loans, and outlined the conditions under which Qualified Mortgages are subject to safe harbor limitations on liability to borrowers. The rules also established interest rates and other cost parameters for determining which Qualified Mortgages fall under safe harbor protection. Among other issues, Qualified Mortgages with interest rates and other costs outside the limits are deemed "rebuttable" by borrowers and expose the lender and its assignees (including investors in loans, pools of loans and instruments secured by loans or loan pools) to possible litigation and penalties.

While many manufactured homes are currently financed with agency-conforming mortgages in which the ability to repay is verified, and interest rates and other costs are within the safe harbor limits established under the CFPB, mortgage finance rules, certain loans to finance the purchase of manufactured homes, especially chattel loans and non-conforming land-home loans, may fall outside the safe harbor limits. The rules have caused some lenders to curtail underwriting such loans, and some investors are reluctant to own or participate in owning such loans because of the uncertainty of potential litigation and other costs. If so, some prospective buyers of manufactured homes may be unable to secure the financing necessary to complete purchases. In addition, compliance with the law and ongoing rule implementation has caused lenders to incur additional costs to implement new processes, procedures, controls and infrastructure required to comply with the regulations. Compliance may constrain lenders' ability to profitably price certain loans. Failure to comply with these regulations, changes in these or other regulations, or the imposition of additional regulations, could affect our earnings, limit our access to capital and have a material adverse effect on our business and results of operations.

The CFPB rules amending the Truth in Lending Act ("TILA") and the Real Estate Settlement Procedures Act ("RESPA") expand the types of mortgage loans that are subject to the protections of the Home Ownership and Equity Protections Act of 1994 ("HOEPA"), revise and expand the tests for coverage under HOEPA, and impose additional restrictions on mortgages that are covered by HOEPA. As a result, certain manufactured home loans are now subject to HOEPA limits on interest rates and fees. Loans with rates or fees in excess of the limits are deemed High Cost Mortgages and provide additional protections for borrowers, including with respect to determining the value of the home. Most loans for the purchase of manufactured homes have been written at rates and fees that would not appear to be considered High Cost Mortgages under the new rule. Although some lenders may continue to offer loans that are now deemed High Cost Mortgages, the rate and fee limits appear to have deterred some lenders from offering loans to certain borrowers and may continue to make them reluctant to enter into loans subject to the provisions of HOEPA. As a result, some prospective buyers of manufactured homes may be unable to secure financing necessary to complete manufactured home purchases.

The Dodd-Frank Act amended provisions of TILA to require rules for appraisals on principal residences securing higher-priced mortgage loans ("HPML"). Certain loans secured by manufactured homes, primarily chattel loans, could be considered HPMLs. Among other things, the rule requires creditors to provide copies of appraisal reports to borrowers prior to loan closing. To implement these amendments, the CFPB adopted the HPML Appraisal Rule effective December 30, 2014 and loans secured by new manufactured homes were exempt from the rule until July 18, 2015. While effects of these new requirements are not fully known, some prospective home buyers may be deterred from completing a manufactured home purchase as a result of appraised values.

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The Dodd-Frank Act also required integrating disclosures provided by lenders to borrowers under TILA and RESPA. The final rule became effective October 3, 2015. The TILA-RESPA Integrated Disclosure ("TRID") mandated extensive changes to the mortgage loan closing process and necessitated significant changes to mortgage origination systems. Since its implementation, technical ambiguities in the rule have resulted in lender and investor uncertainty regarding acceptable cures and tolerances for disclosure and estimate errors. It is not yet fully known how the GSEs and HUD will view TRID compliance, how they will apply their own interpretations of TRID to their repurchase and claims review processes, or how the market for private-label securitizations may be impacted.

The American Housing Rescue and Foreclosure Prevention Act was enacted in 2008 to provide assistance by way of legislation for the housing industry, including manufactured homes. Among other things, the act provided for increased loan limits for chattel (home-only Title I) loans to $69,678, up 43% from the previous limit of $48,600 set in 1992. New Federal Housing Administration ("FHA") Title I program guidelines became effective on June 1, 2010 and provide Ginnie Mae the ability to securitize manufactured home FHA Title I loans. These guidelines were intended to allow lenders to obtain new capital, which can then be used to fund new loans for our customers. Chattel loans have languished for several years and these changes were meant to broaden chattel financing availability for prospective homeowners. However, we are aware of only a small number of loans currently being securitized under the Ginnie Mae program.

The Secure and Fair Enforcement for Mortgage Licensing Act of 2008 ("SAFE Act") established requirements for the licensing and registration of all individuals that are Mortgage Loan Originators ("MLOs"). MLOs must be registered or licensed by the states. Traditionally, manufactured housing retailers have assisted home buyers with securing financing for the purchase of homes. This assistance may have included assisting with loan applications and presenting terms of loans. Under the SAFE Act, these activities are prohibited unless performed by a registered or licensed MLO. Although the definition of an MLO contains exemptions for administrative and other specific functions and industries, manufactured housing retailers are no longer able to negotiate rates and terms for loans unless they are licensed as MLOs. Compliance may require manufactured housing retailers to become licensed lenders and employ MLOs, or alter business practices related to assisting home buyers in securing financing. This may result in increased costs for retailers who elect to employ MLOs, penalties assessed against or litigation costs incurred by retailers found to be in violation, reduced home sales from home buyers' inability to secure financing without retailer assistance, or increased costs to home buyers or reduced transaction profitability for retailers as a result of the additional cost of mandatory MLO involvement.

If passed by Congress and signed into law, the proposed Preserving Access to Manufactured Housing Act (Senate Bill 682 and House of Representatives Bill 650) would amend some Dodd-Frank Act provisions that affect manufactured housing financing. The bill would revise the triggers by which small-sized manufactured home loans are considered “High-Cost” under HOEPA and clarify the MLO licensing requirements for manufactured home retailers and their employees.

Our sale of insurance products is subject to various state insurance laws and regulations which govern allowable charges and other insurance practices. Standard Casualty's insurance operations are regulated by the state insurance boards where it underwrites its policies. Underwriting, premiums, investments and capital reserves (including dividend payments to stockholders) are subject to the rules and regulations of these state agencies.

In 2010, the Patient Protection and Affordable Care Act, as amended by the Health Care and Education Reconciliation Act ("Health Reform Law"), was passed into law. As enacted, the Health Reform Law reforms, among other things, certain aspects of health insurance. The Health Reform Law could continue to increase our healthcare costs, adversely impacting the Company's earnings.

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Results of Operations

Three months endedJuly 2, 2016 compared to June 27, 2015

Net Revenue.The following tables summarize net revenue for the three months ended July 2, 2016 and June 27, 2015.

	Three Months Ended
	July 2, 2016		June 27, 2015		$ Change			% Change
	(Dollars in thousands)
Net revenue:
Factory-built housing	$	172,486	$	147,546	$	24,940		16.9	%
Financial services	12,655		14,122		(1,467		)	(10.4	)%
	$	185,141	$	161,668	$	23,473		14.5	%
Total homes sold	3,395		2,902		493			17.0	%
Net factory-built housing revenue per home sold	$	50,806	$	50,843	$	(37	)	(0.1	)%

The increase in net revenue from the factory-built housing segment for the three months ended July 2, 2016 was primarily from 17.0% higher home sales volume. The current quarter contains one additional month of Fairmont Homes operations versus the same quarter last year, as Fairmont Homes was purchased by the Company on May 1, 2015.

Net revenue per factory-built home sold is a volatile metric dependent upon several factors. A primary factor is the price disparity between sales of homes to independent retailers, builders, communities and developers ("Wholesale") and sales of homes to consumers by Company-owned retail centers ("Retail"). Wholesale sales prices are primarily comprised of the home and the cost to ship the home from a homebuilding facility to the home-site. Retail home prices include these items and retail markup, as well as items that are largely subject to home buyer discretion, including, but not limited to, installation, utilities, site improvements, landscaping, land and additional services. Changes to the proportion of home sales among these distribution channels between reporting periods impacts the overall net revenue per home sold. Further, fluctuations in the net revenue per home sold are the result of changes in product mix, which results from home buyer tastes and preferences as they select home types/models, as well as optional home upgrades when purchasing the home. These selections vary regularly based on consumer interests, local housing preferences and economic circumstances. Our product prices are also periodically adjusted for the cost and availability of raw materials included in and labor used to produce each home. For these reasons, we have experienced, and expect to continue to experience, volatility in overall net revenue per home sold.

Financial services segment revenue decreased from changes made to the recognition of certain ceded insurance commissions that took effect this fiscal year and lower interest income earned on securitized loan portfolios that continue to amortize.

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Gross Profit. The following tables summarize gross profit for the three months ended July 2, 2016 and June 27, 2015.

	Three months ended
	July 2, 2016			June 27, 2015			$ Change			% Change
	(Dollars in thousands)
Gross profit:
Factory-built housing	$	30,659		$	26,364		$	4,295		16.3	%
Financial services	2,593			5,470			(2,877		)	(52.6	)%
	$	33,252		$	31,834		$	1,418		4.5	%
Gross profit as % of Net revenue:	18.0		%	19.7		%	N/A			(1.7	)%

The increase in factory-built housing gross profit for the three months ended July 2, 2016 is primarily from higher home sales volume.

Financial services gross profit for the three months ended July 2, 2016decreased versus the three months ended June 27, 2015 mainly from higher insurance claim losses, partially offset by gross profit earned on higher loan servicing volume. While claims activity typically spikes in April and May each year, a prime season for storm activity in the area, the severity of the hail, wind and flood damage to insured homes was considerably greater in the first quarter of fiscal 2017 than during the same period last year. Losses from these events were somewhat mitigated by reinsurance contracts.

Lower gross profit percentages in the current three-month period compared to the same period last year are from increased insurance claims activity as described above, partially offset by operating leverage gained from increased home sales volume.

Selling, General and Administrative Expenses. The following tables summarize selling, general and administrative expenses for the three months ended July 2, 2016 and June 27, 2015.

	Three months ended
	July 2, 2016			June 27, 2015			$ Change			% Change
	(Dollars in thousands)
Selling, general and administrative expenses:
Factory-built housing	$	20,875		$	18,800		$	2,075		11.0	%
Financial services	3,812			3,859			(47		)	(1.2	)%
	$	24,687		$	22,659		$	2,028		9.0	%
Selling, general and administrative expenses as % of Net revenue:	13.3		%	14.0		%	N/A			(0.7	)%

Selling, general and administrative expenses related to factory-built housing increased during the three months ended July 2, 2016 primarily from increased incentive compensation and marketing expenses from improved home sales overall. The three months ended June 27, 2015 included a $1.1 million reduction in incentive compensation expense from the Company's CEO repayment of performance bonuses that were determined to be in excess of plan limits.

Selling, general and administrative expenses for financial services remained relatively flat from operating consistency.

As a percentage of net revenue, selling, general and administrative expenses decreased from increased leverage on higher net revenue.

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Interest Expense. The following tables summarize interest expense for the three months ended July 2, 2016 and June 27, 2015.

	Three months ended
	July 2, 2016		June 27, 2015		$ Change		% Change
	(Dollars in thousands)
Interest expense	$	1,161	$	1,015	$	146	14.4	%

Interest expense consists primarily of debt service on the CountyPlace securitized financings of manufactured home loans and interest related to the capital lease treatment for a lease of manufacturing facilities and land entered into as part of the Fairmont acquisition during the first quarter of fiscal year 2016. The increase for the three months ended July 2, 2016 is related to capital lease related interest and changes to the purchase discount market-based valuation adjustment on securitized financings, partially offset by the continued principal reductions of those financings.

Other Income, net. The following tables summarize other income, net for the three months ended July 2, 2016 and June 27, 2015.

	Three Months Ended
	July 2, 2016		June 27, 2015		$ Change		% Change
	(Dollars in thousands)
Other income, net	$	1,026	$	472	$	554	117.4	%

Other income, net, is attributable to interest income earned on commercial loans receivable in the factory-built housing segment and also represents gains and losses on corporate investments and property, plant and equipment, including assets held for sale or sold. The increase is primarily from realized gains on corporate investments in the current period.

Income Before Income Taxes. The following tables summarize income (loss) before income taxes for the three months ended July 2, 2016 and June 27, 2015.

	Three Months Ended
	July 2, 2016			June 27, 2015		$ Change			% Change
	(Dollars in thousands)
Income before income taxes:
Factory-built housing	$	10,738		$	8,004	$	2,734		34.2	%
Financial services	(2,308		)	628		(2,936		)	(467.5	)%
	$	8,430		$	8,632	$	(202	)	(2.3	)%

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Income taxes. The following tables summarize Income taxes for the three months ended July 2, 2016 and June 27, 2015.

	Three Months Ended
	July 2, 2016		June 27, 2015		$ Change			% Change
	(Dollars in thousands)
Income taxes	$	2,987	$	3,247	$	(260	)	(8.0	)%

The effective tax rate for the first fiscal quarter of 35.4%, benefited from certain manufacturing specific deductions and tax credits, including the New Energy Efficient Home Credit, which will expire on December 31, 2016, unless renewed. For the prior year first fiscal quarter, the effective tax rate was 37.6%.

Liquidity and Capital Resources

We believe that cash and cash equivalents at July 2, 2016, together with cash flow from operations, will be sufficient to fund our operations and provide for growth for the next 12 months and into the foreseeable future. We maintain cash in various deposit accounts, the balances of which are in excess of federally insured limits. We expect to continue to evaluate potential acquisitions of, or strategic investments in, businesses that are complementary to our Company. Such transactions may require the use of cash and have other impacts on the Company's liquidity and capital resources in the event of such a transaction. Recent acquisitions of Fairmont Homes and Chariot Eagle did not have a significant impact on our liquidity or capital resources. Because of the Company’s sufficient cash position, the Company has not sought external sources of liquidity, such as a credit facility; however, depending on our operating results and strategic opportunities, we may need to seek additional or alternative sources of financing. There can be no assurance that such financing would be available on satisfactory terms, if at all. If this financing were not available, it could be necessary for us to reevaluate our long-term operating plans to make more efficient use of our existing capital resources. The exact nature of any changes to our plans that would be considered depends on various factors, such as conditions in the factory-built housing industry and general economic conditions outside of our control.

Projected cash provided by operations in the coming year is largely dependent on sales volume and other activities. Operating activities provided $8.2 million of cash during the three months ended July 2, 2016, compared to providing cash of $3.9 million during the same period last year. Cash provided by operating activities during the current period was primarily the result of cash generated by operating income before non-cash charges, higher accounts payable and accrued liabilities, including insurance loss reserves and customer deposits. This was partially offset by increases in commercial loans receivable from further expansion of our distribution-based lending programs. Cash provided by operating activities during the prior period was primarily the result of cash generated by operating income before non-cash charges, decreased accounts receivable, higher customer deposits and insurance loss reserves, offset by a decrease in prepaid expenses and other current assets and increases in commercial loans receivable and inventory.

Consumer loan originations decreased to $25.6 million from $29.0 million for the three months endedJuly 2, 2016 and June 27, 2015, respectively. Proceeds from the sale of consumer loans provided $25.8 million in cash, compared to $28.5 million in the previous year, a net decrease of $2.7 million, which relates to the timing of loan origination and related loan sales.

With respect to consumer lending for the purchase of manufactured housing, states may classify manufactured homes for both legal and tax purposes as personal property rather than real estate. As a result, financing for the purchase of manufactured homes is characterized by shorter loan maturities and higher interest rates. Unfavorable changes in these factors and the current adverse trend in the availability and terms of financing in the industry may have material negative effects on our results of operations and financial condition. See Item IA, "Risk Factors."

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Cavco has entered into programs to provide some of the capital used by inventory lenders to finance wholesale home purchases by retailers. In addition, the Company has entered into direct commercial loan arrangements with distributors, communities and developers under which the Company provides funds for financing homes and has invested in community-based lending initiatives that provide home-only financing to new residents of certain manufactured home communities (see Note 6 to the Consolidated Financial Statements).

Investing activities used $1.2 million of cash during the three months ended July 2, 2016, compared to $29.2 million during the same period last year. In the current year, cash was used for the purchases of property, plant and equipment as well as investments by our insurance subsidiary for its investment portfolio, offset by that subsidiary's investment sales. In the prior period, cash of $27.1 million was used for the purchase of certain assets and liabilities of Fairmont Homes and Chariot Eagle as well as for purchases of investments by our insurance subsidiary for its investment portfolio, offset by that subsidiary's investment sales.

Financing activities used $2.3 million in cash during the three months ended July 2, 2016 primarily from payment on securitized financings, offset by loan sales accounted for as other secured financings. Financing activities used $1.1 million in cash during the three months ended June 27, 2015, largely from cash used to repay securitized financings, offset by loan sales accounted for as other secured financings.

CountryPlace's securitized debt is subject to provisions that require certain levels of overcollateralization. Overcollateralization is equal to CountryPlace's equity in the bonds. Failure to satisfy these provisions could cause cash, which would normally be distributed to CountryPlace, to be used for repayment of the principal of the related Class A bonds until the required overcollateralization level is reached. During periods when the overcollateralization is below the specified level, cash collections from the securitized loans in excess of servicing fees payable to CountryPlace and amounts owed to the Class A bondholders, trustee and surety, are applied to reduce the Class A debt until such time the overcollateralization level reaches the specified level. Therefore, failure to meet the overcollateralization requirement could adversely affect the timing of cash flows received by CountryPlace. However, principal payments of the securitized debt, including accelerated amounts, is payable only from cash collections from the securitized loans and no additional sources of repayment are required or permitted. As of July 2, 2016, the 2005-1 and 2007-1 securitized portfolios were within the required overcollateralization level.

Critical Accounting Policies

In Part II, Item 7 of our Form 10-K, under the heading "Critical Accounting Policies," we have provided a discussion of the critical accounting policies that management believes affect its more significant judgments and estimates used in the preparation of our Consolidated Financial Statements.

Recent Accounting Pronouncements

In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"), which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The standard requires entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance also includes a cohesive set of disclosure requirements intended to provide users of financial statements with comprehensive information about the nature, amount, timing and uncertainty of revenue and cash flows arising from a company's contracts with customers. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which deferred the effective date of the new revenue standard. Accordingly, the updated standard is effective for us beginning with the first quarter of the Company's fiscal year 2019, with early application permitted in fiscal year 2018. The standard allows for either "full retrospective" adoption, meaning the standard is applied to all of the periods presented, or "modified retrospective" adoption, meaning the standard is applied only to the most current period presented in the financial statements. The Company is currently evaluating the effect ASU 2014-09 will have on the Company's Consolidated Financial Statements and disclosures.

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In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ("ASU 2015-17"). ASU 2015-17 will be effective beginning with the Company's fiscal year 2019 annual report, and interim periods thereafter, with early adoption permitted. In this update, entities are required to present all deferred tax liabilities and assets as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. The standard can be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. As this standard impacts presentation only, the adoption of ASU 2015-17 is not expected to have an impact on the Company's financial condition, results of operations or cash flows.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2019. The amendments require certain equity investments to be measured at fair value with changes in the fair value recognized through net income. The Company is currently evaluating the effect ASU 2016-01 will have on the Company's Consolidated Financial Statements and disclosures.

In February 2016, the FASB issued ASU 2016-02, Leases(Topic 842) ("ASU 2016-02"). ASU 2016-02 will be effective beginning with the first quarter of the Company's fiscal year 2020, with early adoption permitted. The amendments require the recognition of lease assets and lease liabilities on the balance sheet for most leases, but recognize expenses in the income statement in a manner similar to current accounting treatment. In addition, disclosures of key information about leasing arrangements are required. Upon adoption, leases will be recognized and measured at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently evaluating the effect ASU 2016-02 will have on the Company's Consolidated Financial Statements and disclosures.

In March 2016, the FASB issued ASU 2016-09, Compensation- Stock Compensation(Topic 718) ("ASU 2016-09"). ASU 2016-09 will be effective beginning with the first quarter of the Company's fiscal year 2018, with early adoption permitted. The amendment simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The Company is currently evaluating the effect ASU 2016-09 will have on the Company's Consolidated Financial Statements and disclosures.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 changes the impairment model for most financial assets and certain other instruments, which sets forth a new forward-looking impairment model based on expected losses rather than incurred losses. The guidance also requires increased disclosures. ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2021. The Company is currently evaluating the effect ASU 2016-13 will have on the Company's Consolidated Financial Statements and disclosures.

From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted by the Company as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's Consolidated Financial Statements upon adoption.

Forward-looking Statements

Statements in this Report on Form 10-Q, including those set forth in this section, may be considered "forward looking statements" within the meaning of Section 21E of the Securities Act of 1934. These forward-looking statements are often identified by words such as "estimate," "predict," "hope," "may," "believe," "anticipate," "plan," "expect," "require," "intend," "assume," and similar words. Forward-looking statements contained in this Report on Form 10-Q speak only as of the date of this report or, in the case of any document incorporated by reference, the date of that document. We do not intend to publicly update or revise any forward-looking statement contained in this Report on Form 10-Q or in any document incorporated herein by reference to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time.

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Forward-looking statements involve risks, uncertainties and other factors, which may cause our actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. In addition to the Risk Factors described in Part I, Item 1A. Risk Factors in our Form 10-K, factors that could affect our results and cause them to materially differ from those contained in the forward-looking statements include, but are not limited to:

• We operate in an industry that is currently experiencing a prolonged and significant downturn;

• We may not be able to successfully integrate past acquisitions, including the recent acquisitions of Fairmont Homes and Chariot Eagle and any future acquisitions to attain the anticipated benefits. Past acquisitions may adversely impact the Company's liquidity;

• Our involvement in vertically integrated lines of business, including manufactured housing consumer finance, commercial finance and insurance, exposes the Company to certain risks;

• Tightened credit standards, curtailed lending activity by home-only lenders and increased government lending regulations have contributed to a constrained consumer financing market;

• The availability of wholesale financing for industry retailers is limited due to a reduced number of floor plan lenders and reduced lending limits;

• Our participation in certain financing programs for the purchase of our products by industry distributors and consumers may expose us to additional risk of credit loss, which could adversely impact the Company's liquidity and results of operations;

• Our results of operations could be adversely affected by significant warranty and construction defect claims on factory-built housing;

• We have contingent repurchase obligations related to wholesale financing provided to industry retailers;

• Our operating results could be affected by market forces and declining housing demand;

• We have incurred net losses in certain prior periods and there can be no assurance that we will generate income in the future;

• A write-off of all or part of our goodwill could adversely affect our operating results and net worth;

• The cyclical and seasonal nature of the manufactured housing industry causes our revenues and operating results to fluctuate, and we expect this cyclicality and seasonality to continue in the future;

• Our liquidity and ability to raise capital may be limited;

• The manufactured housing industry is highly competitive, and increased competition may result in lower revenue;

• If we are unable to establish or maintain relationships with independent distributors who sell our homes, our revenue could decline;

• Our business and operations are concentrated in certain geographic regions, which could be impacted by market declines;

• Our results of operations can be adversely affected by labor shortages and the pricing and availability of raw materials;

• If the manufactured housing industry is not able to secure favorable local zoning ordinances, our revenue could decline and our business could be adversely affected;

• The loss of any of our executive officers could reduce our ability to execute our business strategy and could have a material adverse effect on our business and results of operations;

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• Certain provisions of our organizational documents could delay or make more difficult a change in control of our Company;

• Volatility of stock price;

• Deterioration in economic conditions and turmoil in financial markets could reduce our earnings and financial condition;

• The cost of operations could be adversely impacted by increased costs of healthcare benefits provided to employees;

• A prolonged delay by Congress and the President to approve budgets or continuing appropriation resolutions to facilitate the operations of the federal government could delay the completion of home sales and/or cause cancellations, and thereby negatively impact our deliveries and revenues;

• Information technology failures or data security breaches could harm our business; and

• We are subject to extensive regulation affecting the production and sale of manufactured housing, which could adversely affect our profitability.

We may make additional written or oral forward-looking statements from time to time in filings with the SEC or in public news releases or statements. Such additional statements may include, but are not limited to, projections of revenues, income or loss, capital expenditures, acquisitions, plans for future operations, financing needs or plans, the impact of inflation and plans relating to our products or services, as well as assumptions relating to the foregoing.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Market risk is the risk of loss arising from adverse changes in market prices and interest rates. We may from time to time be exposed to interest rate risk inherent in our financial instruments, but are not currently subject to foreign currency or commodity price risk. We manage our exposure to these market risks through our regular operating and financing activities.

Our operations are interest rate sensitive. As overall manufactured housing demand can be adversely affected by increases in interest rates, a significant increase in wholesale or mortgage interest rates may negatively affect the ability of retailers and home buyers to secure financing. Higher interest rates could unfavorably impact our revenues, gross margins and net earnings. Our business is also sensitive to the effects of inflation, particularly with respect to raw material and transportation costs. We may not be able to offset inflation through increased selling prices.

CountryPlace is exposed to market risk related to the accessibility and terms of long-term financing of its loans. In the past, CountryPlace accessed the asset-backed securities market to provide term financing of its chattel and non-conforming mortgage originations. At present, independent asset-backed and mortgage-backed securitization markets are not readily accessible to CountryPlace and other manufactured housing lenders. Accordingly, CountryPlace has not continued to securitize its loan originations as a means to obtain long-term funding.

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We are also exposed to market risks related to our fixed rate consumer and commercial loan notes receivables, as well as our securitized financings balances. For fixed rate instruments, changes in interest rates do not change future earnings and cash flows. However, changes in interest rates could affect the fair value of these instruments. Assuming the level of these instruments as of July 2, 2016, is held constant, a 1% unfavorable change in average interest rates would adversely impact the fair value of these instruments, as follows (in thousands):

	Change in Fair Value
Consumer loans receivable	$	5,595
Commercial loans receivable	$	176
Securitized financings	$	819

In originating loans for sale, CountryPlace issues IRLCs to prospective borrowers and third-party originators. These IRLCs represent an agreement to extend credit to a loan applicant, or an agreement to purchase a loan from a third-party originator, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind CountryPlace to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The loan commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, CountryPlace is subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs. As of July 2, 2016, CountryPlace had outstanding IRLCs with a notional amount of $5.8 million and are recorded at fair value in accordance with ASC 815. The estimated fair values of IRLCs are based on quoted market values and are recorded in other assets in the consolidated balance sheets. The fair value of IRLCs is based on the value of the underlying mortgage loan adjusted for: (i) estimated cost to complete and originate the loan and (ii) the estimated percentage for IRLCs that will result in closed mortgage loans. The initial and subsequent changes in the value of IRLCs are a component of current income. Assuming CountryPlace's level of IRLCs as of July 2, 2016 is held constant, a 1% increase in average interest rates would decrease the fair value of CountryPlace's obligations by approximately $189,000.

Item 4. Controls and Procedures

(a) Disclosure Controls and Procedures

We carried out an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in the Exchange Act Rules 13a-15(e) and 15d-15(e)). Based upon that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, as of the end of the period covered in this report, our disclosure controls and procedures were effective.

(b) Changes in Internal Control over Financial Reporting

Other than the integration of Fairmont Homes and Chariot Eagle into our internal control framework, there have been no changes in our internal controls over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) that occurred during the fiscal quarter ended July 2, 2016, which have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

44

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

Information regarding reportable legal proceedings is contained in Part I, Item 3, Legal Proceedings, in our Form 10-K. The following describes legal proceedings, if any, that became reportable during the period ended July 2, 2016, and, if applicable, amends and restates descriptions of previously reported legal proceedings in which there have been material developments during such quarter.

We are party to certain legal proceedings that arise in the ordinary course and are incidental to our business. Certain of the claims pending against us in these proceedings allege, among other things, breach of contract, breach of express and implied warranties, construction defect, deceptive trade practices, unfair insurance practices, product liability and personal injury. Although litigation is inherently uncertain, based on past experience and the information currently available, management does not believe that the currently pending and threatened litigation or claims will have a material adverse effect on the Company's consolidated financial position, liquidity or results of operations. However, future events or circumstances currently unknown to management will determine whether the resolution of pending or threatened litigation or claims will ultimately have a material effect on our consolidated financial position, liquidity or results of operations in any future reporting periods.

Item 1A. Risk Factors

In addition to the other information set forth in this Report, you should carefully consider the factors discussed in Part I, Item 1A, Risk Factors, in our Form 10-K, which could materially affect our business, financial condition or future results. The risks described in this Report and in our Form 10-K are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition and/or operating results.

Item 6. Exhibits

See Exhibit Index.

All other items required under Part II are omitted because they are not applicable.

45

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Cavco Industries, Inc.
Registrant
Signature	Title	Date
/s/ Joseph H. Stegmayer	Chairman, President and	August 10, 2016
Joseph H. Stegmayer	Chief Executive Officer
	(Principal Executive Officer)
/s/ Daniel L. Urness	Executive Vice President, Treasurer and	August 10, 2016
Daniel L. Urness	Chief Financial Officer
	(Principal Financial and Accounting Officer)

46

EXHIBIT INDEX

Exhibit No.	Exhibit
10.1	Form of Stock Option Agreement for Stock Incentive Plan
31.1	Certification of the Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 - Rule 13a-14(a)/15d-14(a)
31.2	Certification of the Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 - Rule 13a-14(a)/15d-14(a)
32	Certification of the Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101	The following materials contained in this Quarterly Report on Form 10-Q for the period ended July 2, 2016 were formatted in XBRL (eXtensible Business Reporting Language): (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Comprehensive Income, (iii) Consolidated Statements of Cash Flows and (iv) Notes to Consolidated Financial Statements

47

EX-10.1

Exhibit 10.1

CAVCO INDUSTRIES, INC.

STOCK OPTION AGREEMENT

Dear [Optionee]:

Effective [Date of Grant], you have been granted a non-qualified Option to purchase up to [Number of Shares] shares of the common stock, par value $.01 per share, of Cavco Industries, Inc., a Delaware corporation (the "Company"), for $[Option Price] per share (the "Option"). This Option is granted under the Cavco Industries, Inc. 2005 Stock Incentive Plan (as such plan may be amended from time to time, the "Plan"). A copy of the Plan is available to you upon request to the Corporate Secretary during the term of this Option. This Option will terminate upon the close of business on [Termination Date] unless earlier terminated as described herein or in the Plan. This Option will vest and become exercisable in the amounts and on the dates shown below, provided that, except as expressly provided in the proviso of the first sentence of the next paragraph, the optionee must be in continuous Employment or in continuous service as a Director from the Grant Date through the date shown below for the Option to vest as to the amount shown for such date: [Vesting Schedule].

Except as otherwise provided below in this award agreement: (i) all rights to exercise this Option shall terminate four (4) months after the date the optionee ceases to be an employee of the Company, or ceases to be a Director, whichever may occur later, for any reason other than death or Disability, (ii) in the event of the optionee's death, this Option will terminate fifteen (15) months thereafter and (iii) in the event of the optionee's Disability and resulting termination of Employment, this Option will terminate six (6) months after such optionee's Employment Termination Date; provided however, if this Option is held by a Director who, on the date he or she ceases to be a Director (and, if also an employee, ceases to be an employee), has at least ten (10) years of service as a Director, then all Shares subject to this Option will vest on the date the Director ceases to be a Director, and all rights to exercise this Option will terminate three (3) years thereafter. In no case may this Option be exercised later than [Termination Date]. If the Employment of the optionee or the optionee's service as a Director is terminated for cause, this Option shall thereafter be null and void for all purposes.

The Option may be exercised in whole or in part by delivering to the Company written notice of exercise together with payment in full for the shares being purchased upon such exercise. The purchase price for any shares purchased pursuant to the exercise of an Option, and in the case of an employee, applicable tax withholdings will be paid by any one or a combination of the following: (a) delivery of cash, check or wire transfer, (b) effecting a broker-assisted cashless exercise, which involves the immediate sale of the stock received upon exercise in the open market through an approved broker who will pay to the Company the exercise price and in the case of an employee applicable tax withholdings attributable to such exercise or (c) by a “Net Share Exercise” arrangement pursuant to which the Company will reduce the number of shares issuable upon exercise by the largest whole number of shares with an aggregate fair market value that does not exceed the aggregate exercise price (with the remainder of the exercise price to be paid in cash). For the Purpose of a Net Share Exercise, the term "fair market value" shall mean the closing price of a Share as reported on the NASDAQ Global Select Market on the trading date immediately preceding the date that the Option is exercised.

This Option is subject to the Plan, and the Plan will govern where there is any inconsistency between the Plan and this Option. The provisions of the Plan are also provisions of this Option, and all terms, provisions and definitions set forth in the Plan are incorporated in this Option and made a part of this Option for all purposes. Capitalized terms used but not defined in this Option will have the meanings assigned to such terms in the Plan. This Option has been signed in duplicate by Cavco Industries, Inc. and delivered to you, and (when you sign below) has been accepted by you effective as of [Effective Date].

ACCEPTED BY OPTIONEECAVCO INDUSTRIES, INC.

as of [Effective Date]

_________________________________        By: _________________________________

[Optionee]                        [Corporate Officer]

EX-31.1

Exhibit 31.1

Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Joseph H. Stegmayer, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Cavco Industries, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Dated:	August 10, 2016
By:	/s/ Joseph H. Stegmayer
	Joseph H. Stegmayer
	Chairman, President and Chief Executive Officer

EX-31.2

Exhibit 31.2

Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Daniel L. Urness, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Cavco Industries, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Dated:	August 10, 2016
By:	/s/ Daniel L. Urness
	Daniel L. Urness
	Executive Vice President, Treasurer, and Chief Financial Officer

EX-32

Exhibit 32

Certification of Chief Executive Officer and Chief Financial Officer Pursuant to 18 U.S.C. 1350, As Adopted

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Cavco Industries, Inc. (the “Registrant”) on Form 10-Q for the period ending July 2, 2016 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), we, Joseph H. Stegmayer and Daniel L. Urness, Chief Executive Officer and Chief Financial Officer, respectively, of the Registrant, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that to our knowledge:

(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

August 10, 2016

/s/ Joseph H. Stegmayer

Joseph H. Stegmayer

Chairman, President and

Chief Executive Officer

/s/ Daniel L. Urness

Daniel L. Urness

Executive Vice President, Treasurer, and Chief Financial Officer

XML

Document and Entity Information - shares	3 Months Ended
	Jul. 02, 2016	Aug. 05, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	CAVCO INDUSTRIES INC
Entity Central Index Key	0000278166
Document Type	10-Q
Document Period End Date	Jul. 02, 2016
Amendment Flag	false
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--04-01
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		8,971,814

XML

Consolidated Balance Sheets - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Current assets:
Cash and cash equivalents	$ 102,494	$ 97,766
Restricted cash, current	10,133	10,218
Accounts receivable, net	28,329	29,113
Short-term investments	9,419	10,140
Current portion of consumer loans receivable, net	22,513	21,918
Current portion of commercial loans receivable, net	5,037	3,557
Inventories	94,796	94,813
Prepaid expenses and other current assets	23,908	22,196
Deferred income taxes, current	9,216	8,998
Total current assets	305,845	298,719
Restricted cash	1,097	1,082
Investments	29,108	28,948
Consumer loans receivable, net	65,921	67,640
Commercial loans receivable, net	22,070	21,985
Property, plant and equipment, net	56,105	55,072
Goodwill and other intangibles, net	80,297	80,389
Total assets	560,443	553,835
Current liabilities:
Accounts payable	18,952	18,513
Accrued liabilities	102,703	100,314
Current portion of securitized financings and other	5,742	6,262
Total current liabilities	127,397	125,089
Securitized financings and other	53,725	54,909
Deferred income taxes	20,678	20,611
Stockholders' equity:
Preferred stock, $.01 par value; 1,000,000 shares authorized; No shares issued or outstanding	0	0
Common stock, $.01 par value; 40,000,000 shares authorized; Outstanding 8,970,314 and 8,927,989 shares, respectively	90	89
Additional paid-in capital	241,690	241,662
Retained earnings	115,629	110,186
Accumulated other comprehensive income	1,234	1,289
Total stockholders' equity	358,643	353,226
Total liabilities and stockholders' equity	$ 560,443	$ 553,835

XML

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jul. 02, 2016	Apr. 02, 2016
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	40,000,000	20,000,000
Common stock, shares outstanding	8,970,314	8,927,989

XML

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Income Statement [Abstract]
Net revenue	$ 185,141	$ 161,668
Cost of sales	151,889	129,834
Gross profit	33,252	31,834
Selling, general and administrative expenses	24,687	22,659
Income from operations	8,565	9,175
Interest expense	(1,161)	(1,015)
Other income, net	1,026	472
Income before income taxes	8,430	8,632
Income tax expense	(2,987)	(3,247)
Net income	5,443	5,385
Net income attributable to Cavco common stockholders	5,443	5,385
Comprehensive income:
Net income	5,443	5,385
Unrealized loss on available-for-sale securities, net of tax	(55)	(409)
Comprehensive income	$ 5,388	$ 4,976
Net income per share attributable to Cavco common stockholders:
Basic (usd per share)	$ 0.61	$ 0.61
Diluted (usd per share)	$ 0.60	$ 0.60
Weighted average shares outstanding:
Basic (in shares)	8,937,265	8,863,648
Diluted (in shares)	9,085,042	9,020,261

XML

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
OPERATING ACTIVITIES
Net income	$ 5,443	$ 5,385
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	946	934
Provision for credit losses	85	232
Deferred income taxes	(91)	418
Stock-based compensation expense	370	331
Non-cash interest income, net	315	526
Excess Tax Benefit from Share-based Compensation, Operating Activities	(1,946)	(167)
Gain on sale of property, plant and equipment including assets held for sale, net	(22)	(16)
Gain (loss) on sales of loans and investments	2,171	1,536
Changes in operating assets and liabilities:
Restricted cash	(296)	320
Accounts receivable	791	4,162
Consumer loans receivable originated	(25,622)	(29,045)
Principal payments on consumer loans receivable	3,007	2,416
Proceeds from sales of consumer loans	25,800	28,491
Inventories	17	(6,008)
Prepaid expenses and other current assets	(1,176)	(2,513)
Commercial loans receivable	(1,572)	(4,503)
Accounts payable and accrued liabilities	4,953	5,568
Net cash provided by operating activities	8,201	3,943
INVESTING ACTIVITIES
Purchases of property, plant and equipment	(1,890)	(526)
Payments to Acquire Businesses, Gross	0	(27,120)
Proceeds from sale of property, plant and equipment including assets held for sale	25	26
Purchases of investments	(2,440)	(4,485)
Proceeds from sale of investments	3,093	2,914
Net cash used in investing activities	(1,212)	(29,191)
FINANCING ACTIVITIES
(Payments) Proceeds from exercise of stock options	(2,287)	70
Excess Tax Benefit from Share-based Compensation, Financing Activities	1,946	167
Proceeds from (Repayments of) Secured Debt	294	447
Payments on securitized financings	(2,214)	(1,817)
Net cash used in financing activities	(2,261)	(1,133)
Net increase (decrease) in cash and cash equivalents	4,728	(26,381)
Cash and cash equivalents at beginning of the period	97,766	96,597
Cash and cash equivalents at end of the period	102,494	70,216
Supplemental disclosures of cash flow information:
Cash paid during the year for income taxes	3,734	3,237
Cash paid during the year for interest	$ 904	$ 978

XML

Basis of Presentation

3 Months Ended

Jul. 02, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The accompanying unaudited Consolidated Financial Statements of Cavco Industries, Inc., and its subsidiaries (collectively, the "Company" or "Cavco"), have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") for Quarterly Reports on Form 10-Q and Article 10 of SEC Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP") have been condensed or omitted pursuant to such rules and regulations.

In the opinion of management, these statements include all of the normal recurring adjustments necessary to fairly state the Company's Consolidated Financial Statements. Certain prior period amounts have been reclassified to conform to current period classification. The Company has evaluated subsequent events after the balance sheet date through the date of the filing of this report with the SEC; there were no disclosable subsequent events. These Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the Notes to Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended April 2, 2016, filed with the SEC on June 21, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and the accompanying Notes. Actual results could differ from those estimates. The Consolidated Statements of Comprehensive Income and Consolidated Statements of Cash Flows for the interim periods are not necessarily indicative of the results or cash flows for the full year. The Company operates on a 52-53 week fiscal year ending on the Saturday nearest to March 31 of each year. Each fiscal quarter consists of 13 weeks, with an occasional fourth quarter extending to 14 weeks, if necessary, for the fiscal year to end on the Saturday nearest to March 31. The Company's current fiscal year will end on April 1, 2017.

The Company operates principally in two segments: (1) factory-built housing, which includes wholesale and retail systems-built housing operations, and (2) financial services, which includes manufactured housing consumer finance and insurance. The Company designs and builds a wide variety of affordable modular homes, manufactured homes and park model RVs in 19 factories located throughout the United States, which are sold to a network of independent retailers, through the Company's 45 Company-owned retail stores and to community owners and developers. Our financial services group is comprised of a mortgage subsidiary, CountryPlace Acceptance Corp. ("CountryPlace"), and an insurance subsidiary, Standard Casualty Co. ("Standard Casualty"). CountryPlace is an approved Federal National Mortgage Association ("FNMA" or "Fannie Mae") and Federal Home Loan Mortgage Corporation ("FHLMC" or "Freddie Mac") seller/servicer, and a Government National Mortgage Association ("GNMA" or "Ginnie Mae") mortgage backed securities issuer which offers conforming mortgages, non-conforming mortgages and chattel loans to purchasers of factory-built and site-built homes. Standard Casualty provides property and casualty insurance to owners of manufactured homes.

Recent Accounting Pronouncements. In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"), which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The standard requires entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance also includes a cohesive set of disclosure requirements intended to provide users of financial statements with comprehensive information about the nature, amount, timing and uncertainty of revenue and cash flows arising from a company's contracts with customers. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which deferred the effective date of the new revenue standard. Accordingly, the updated standard is effective for us beginning with the first quarter of the Company's fiscal year 2019, with early application permitted in fiscal year 2018. The standard allows for either "full retrospective" adoption, meaning the standard is applied to all of the periods presented, or "modified retrospective" adoption, meaning the standard is applied only to the most current period presented in the financial statements. The Company is currently evaluating the effect ASU 2014-09 will have on the Company's Consolidated Financial Statements and disclosures.

In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ("ASU 2015-17"). ASU 2015-17 will be effective beginning with the Company's fiscal year 2019 annual report and interim periods thereafter, with early adoption permitted. In this update, entities are required to present all deferred tax liabilities and assets as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. The standard can be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. As this standard impacts presentation only, the adoption of ASU 2015-17 is not expected to have an impact on the Company's financial condition, results of operations or cash flows.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2019. The amendments require certain equity investments to be measured at fair value, with changes in the fair value recognized through net income. The Company is currently evaluating the effect ASU 2016-01 will have on the Company's Consolidated Financial Statements and disclosures.

In February 2016, the FASB issued ASU 2016-02, Leases(Topic 842) ("ASU 2016-02"). ASU 2016-02 will be effective beginning with the first quarter of the Company's fiscal year 2020, with early adoption permitted. The amendments require the recognition of lease assets and lease liabilities on the balance sheet for most leases, but recognize expenses in the income statement in a manner similar to current accounting treatment. In addition, disclosures of key information about leasing arrangements are required. Upon adoption, leases will be recognized and measured at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently evaluating the effect ASU 2016-02 will have on the Company's Consolidated Financial Statements and disclosures.

In March 2016, the FASB issued ASU 2016-09, Compensation- Stock Compensation(Topic 718) ("ASU 2016-09"). ASU 2016-09 will be effective beginning with the first quarter of the Company's fiscal year 2018, with early adoption permitted. The amendment simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The Company is currently evaluating the effect ASU 2016-09 will have on the Company's Consolidated Financial Statements and disclosures.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 changes the impairment model for most financial assets and certain other instruments, which requires a new forward-looking impairment model based on expected losses rather than incurred losses. The guidance also requires increased disclosures. ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2021. The Company is currently evaluating the effect ASU 2016-13 will have on the Company's Consolidated Financial Statements and disclosures.

From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted by the Company as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's Consolidated Financial Statements upon adoption.

For a description of other significant accounting policies used by the Company in the preparation of its Consolidated Financial Statements, please refer to Note 1 of the Notes to Consolidated Financial Statements in the Form 10-K.

XML

Restricted Cash

3 Months Ended

Jul. 02, 2016

Cash and Cash Equivalents [Abstract]

Restricted Cash

Restricted Cash

Restricted cash consists of the following (in thousands):

	July 2, 2016		April 2, 2016
Cash related to CountryPlace customer payments to be remitted to third parties	$	8,651	$	8,419
Cash related to CountryPlace customer payments on securitized loans to be remitted to bondholders	1,381		1,747
Cash related to workers' compensation insurance held in trust	728		728
Other restricted cash	470		406
	$	11,230	$	11,300

Corresponding amounts are recorded in accounts payable and accrued liabilities for customer payments, deposits and other restricted cash.

XML

Investments

3 Months Ended

Jul. 02, 2016

Investments, Debt and Equity Securities [Abstract]

Investments

Investments

Investments consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Available-for-sale investment securities	$	23,763	$	24,247
Non-marketable equity investments	14,764		14,841
	$	38,527	$	39,088

The following tables summarize the Company's available-for-sale investment securities, gross unrealized gains and losses and fair value, aggregated by investment category (in thousands):

	July 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	650	$	1	$	—		$	651
Residential mortgage-backed securities	5,680		19		(49		)	5,650
State and political subdivision debt securities	7,914		291		(65		)	8,140
Corporate debt securities	911		8		(3		)	916
Marketable equity securities	5,619		2,138		(351		)	7,406
Certificates of deposit	1,000		—		—			1,000
	$	21,774	$	2,457	$	(468	)	$	23,763

	April 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	1,002	$	—	$	(3	)	$	999
Residential mortgage-backed securities	5,866		13		(60		)	5,819
State and political subdivision debt securities	7,231		239		(49		)	7,421
Corporate debt securities	1,166		4		(6		)	1,164
Marketable equity securities	5,882		2,374		(412		)	7,844
Certificates of deposit	1,000		—		—			1,000
	$	22,147	$	2,630	$	(530	)	$	24,247

The following tables show the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands):

	July 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	3,036	$	(18	)	$	493	$	(31	)	$	3,529	$	(49	)
State and political subdivision debt securities	1,852		(29		)	1,734		(36		)	3,586		(65		)
Corporate debt securities	—		—			249		(3		)	249		(3		)
Marketable equity securities	1,792		(247		)	184		(104		)	1,976		(351		)
	$	6,680	$	(294	)	$	2,660	$	(174	)	$	9,340	$	(468	)

	April 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
U.S. Treasury and government debt securities	$	—	$	—		$	699	$	(3	)	$	699	$	(3	)
Residential mortgage-backed securities	3,436		(27		)	898		(33		)	4,334		(60		)
State and political subdivision debt securities	1,865		(29		)	1,257		(20		)	3,122		(49		)
Corporate debt securities	763		(6		)	—		—			763		(6		)
Marketable equity securities	1,780		(324		)	152		(88		)	1,932		(412		)
	$	7,844	$	(386	)	$	3,006	$	(144	)	$	10,850	$	(530	)

Based on the Company's ability and intent to hold the investments for a reasonable period of time sufficient for a forecasted recovery of fair value, the Company does not consider any investments to be other-than-temporarily impaired at July 2, 2016.

As of July 2, 2016, the Company's investments in marketable equity securities consist of investments in common stock of industrial and other companies ($7.3 million of the total fair value and $348,000 of the total unrealized losses) and bank trust, insurance and public utility companies ($100,000 of the total fair value and $3,000 of the total unrealized losses).

As of April 2, 2016, the Company's investments in marketable equity securities consisted of investments in common stock of industrial and other companies ($7.7 million of the total fair value and $409,000 of the total unrealized losses) and bank trust, insurance and public utility companies ($100,000 of the total fair value and $3,000 of the total unrealized losses).

The amortized cost and fair value of the Company's investments in debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	July 2, 2016
	Amortized Cost		Fair Value
Due in less than one year	$	1,015	$	1,013
Due after one year through five years	3,199		3,216
Due after five years through ten years	3,680		3,628
Due after ten years	7,261		7,500
	$	15,155	$	15,357

Realized gains and losses from the sale of securities are determined using the specific identification method. Gross gains realized on the sales of investment securities for the three months ended July 2, 2016 were approximately $453,000. Gross losses realized were approximately $149,000 for the three months ended July 2, 2016. Gross gains realized on the sales of investment securities for the three months ended June 27, 2015 were approximately $180,000. Gross losses realized were approximately $46,000 for the three months ended June 27, 2015.

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Inventories

3 Months Ended

Jul. 02, 2016

Inventory Disclosure [Abstract]

Inventories

Inventories

Inventories consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Raw materials	$	29,403	$	28,764
Work in process	11,079		10,755
Finished goods and other	54,314		55,294
	$	94,796	$	94,813

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Consumer Loans Receivable

3 Months Ended

Jul. 02, 2016

Receivables [Abstract]

Consumer Loans Receivable

Consumer Loans Receivable

The Company acquired consumer loans receivable during the first quarter of fiscal 2012 as part of the Palm Harbor transaction. Acquired consumer loans receivable held for investment were acquired at fair value and subsequently are accounted for in accordance with Accounting Standards Codification ("ASC") 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality ("ASC 310-30"). Consumer loans receivable held for sale are carried at the lower of cost or market and construction advances are carried at the amount advanced less a valuation allowance. The following table summarizes consumer loans receivable (in thousands):

	July 2, 2016			April 2, 2016
Loans held for investment (acquired on Palm Harbor Acquisition Date)	$	66,968		$	68,951
Loans held for investment (originated after Palm Harbor Acquisition Date)	6,236			6,120
Loans held for sale	10,388			8,765
Construction advances	5,685			6,566
Consumer loans receivable	89,277			90,402
Deferred financing fees and other, net	(843		)	(844		)
Consumer loans receivable, net	$	88,434		$	89,558

As of the date of the Palm Harbor acquisition, management evaluated consumer loans receivable held for investment by CountryPlace to determine whether there was evidence of deterioration of credit quality and if it was probable that CountryPlace would be unable to collect all amounts due according to the loans' contractual terms. The Company also considered expected prepayments and estimated the amount and timing of undiscounted expected principal, interest and other cash flows. The Company determined the excess of the loan pool's scheduled contractual principal and contractual interest payments over all cash flows expected as of the date of the Palm Harbor transaction as an amount that cannot be accreted into interest income (the non-accretable difference). The cash flow expected to be collected in excess of the carrying value of the acquired loans is accreted into interest income over the remaining life of the loans (referred to as accretable yield). Interest income on consumer loans receivable is recognized as net revenue.

	July 2, 2016			April 2, 2016
	(in thousands)
Consumer loans receivable held for investment – contractual amount	$	161,570		$	166,793
Purchase discount
Accretable	(66,284		)	(69,053		)
Non-accretable	(27,987		)	(28,536		)
Less consumer loans receivable reclassified as other assets	(331		)	(253		)
Total acquired consumer loans receivable held for investment, net	$	66,968		$	68,951

Over the life of the acquired loans, the Company continues to estimate cash flows expected to be collected by CountryPlace. As of the balance sheet date, the Company evaluates whether the present value of expected cash flows, determined using the effective interest rate, has decreased from the value at acquisition and, if so, recognizes an allowance for loan loss. The present value of any subsequent increase in the loan pool's actual cash flows expected to be collected is used first to reverse any existing allowance for loan loss. Any remaining increase in cash flows expected to be collected adjusts the amount of accretable yield recognized on a prospective basis over the loan pool's remaining life. The weighted averages of assumptions used in the calculation of expected cash flows to be collected are as follows:

	July 2, 2016		April 2, 2016
Prepayment rate	13.0	%	13.0	%
Default rate	1.0	%	1.0	%

Assuming there was a 1% unfavorable variation from the expected level, for each key assumption, the expected cash flows for the life of the portfolio, as of July 2, 2016, would decrease by approximately $2.3 million and $5.8 million for the expected prepayment rate and expected default rate, respectively.

The changes in accretable yield on acquired consumer loans receivable held for investment were as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at the beginning of the period	$	69,053		$	73,202
Accretion	(2,515		)	(2,751		)
Reclassifications from non-accretable discount	(254		)	(190		)
Balance at the end of the period	$	66,284		$	70,261

The consumer loans held for investment have the following characteristics:

	July 2, 2016		April 2, 2016
Weighted average contractual interest rate	9.01	%	9.05	%
Weighted average effective interest rate	9.31	%	9.39	%
Weighted average months to maturity	168		170

The Company's consumer loans receivable balance consists of fixed-rate, fixed-term and fully-amortizing single-family home loans. These loans are either secured by a manufactured home, excluding the land upon which the home is located (chattel property loans and retail installment sale contracts), or by a combination of the home and the land upon which the home is located (real property mortgage loans). The real property mortgage loans are primarily for manufactured homes. Combined land and home loans are further disaggregated by the type of loan documentation: those conforming to the requirements of Government-Sponsored Enterprises ("GSEs"), and those that are non-conforming. In most instances, CountryPlace's loans are secured by a first-lien position and are provided for the consumer purchase of a home. In rare instances, CountryPlace may provide other types of loans in second-lien or unsecured positions. Accordingly, CountryPlace classifies its loans receivable as follows: chattel loans, conforming mortgages, non-conforming mortgages and other loans.

In measuring credit quality within each segment and class, CountryPlace uses commercially available credit scores (such as FICO®). At the time of each loan's origination, CountryPlace obtains credit scores from each of the three primary credit bureaus, if available. To evaluate credit quality of individual loans, CountryPlace uses the mid-point of the available credit scores or, if only two scores are available, the Company uses the lower of the two. CountryPlace does not update credit bureau scores after the time of origination.

The following table disaggregates CountryPlace's gross consumer loans receivable for each class by portfolio segment and credit quality indicator as of the time of origination (in thousands):

July 2, 2016
	Consumer Loans Held for Investment
	Securitized 2005		Securitized 2007		Unsecuritized		Construction Advances		Consumer Loans Held For Sale		Total
Asset Class
Credit Quality Indicator (FICO® score)
Chattel loans
0-619	$	758	$	515	$	324	$	—	$	42	$	1,639
620-719	12,844		8,811		3,795		—		46		25,496
720+	14,135		9,055		2,304		—		754		26,248
Other	54		—		443		—		—		497
Subtotal	27,791		18,381		6,866		—		842		53,880
Conforming mortgages
0-619	—		—		163		135		294		592
620-719	—		—		1,530		3,781		6,438		11,749
720+	—		—		193		1,769		2,814		4,776
Subtotal	—		—		1,886		5,685		9,546		17,117
Non-conforming mortgages
0-619	87		578		1,373		—		—		2,038
620-719	1,350		5,242		3,635		—		—		10,227
720+	1,633		3,348		714		—		—		5,695
Other	—		—		307		—		—		307
Subtotal	3,070		9,168		6,029		—		—		18,267
Other loans
Subtotal	—		—		13		—		—		13
	$	30,861	$	27,549	$	14,794	$	5,685	$	10,388	$	89,277

	April 2, 2016
	Consumer Loans Held for Investment
	Securitized 2005		Securitized 2007		Unsecuritized		Construction Advances		Consumer Loans Held For Sale		Total
Asset Class
Credit Quality Indicator (FICO® score)
Chattel loans
0-619	$	776	$	543	$	336	$	—	$	—	$	1,655
620-719	13,139		9,100		3,683		—		96		26,018
720+	14,751		9,409		2,324		—		215		26,699
Other	55		—		447		—		—		502
Subtotal	28,721		19,052		6,790		—		311		54,874
Conforming mortgages
0-619	—		—		164		95		171		430
620-719	—		—		1,428		3,355		5,847		10,630
720+	—		—		320		3,116		2,436		5,872
Subtotal	—		—		1,912		6,566		8,454		16,932
Non-conforming mortgages
0-619	88		585		1,392		—		—		2,065
620-719	1,365		5,290		3,664		—		—		10,319
720+	1,684		3,382		826		—		—		5,892
Other	—		—		307		—		—		307
Subtotal	3,137		9,257		6,189		—		—		18,583
Other loans
Subtotal	—		—		13		—		—		13
	$	31,858	$	28,309	$	14,904	$	6,566	$	8,765	$	90,402

Loan contracts secured by collateral that is geographically concentrated could experience higher rates of delinquencies, default and foreclosure losses than loan contracts secured by collateral that is more geographically dispersed. Thirty-nine percent of the outstanding principal balance of consumer loans receivable portfolio is concentrated in Texas and 10% is concentrated in Florida. Other than Texas and Florida, no other state had concentrations in excess of 10% of the principal balance of the consumer loans receivable as of July 2, 2016.

Collateral for repossessed loans is acquired through foreclosure or similar proceedings and is recorded at the estimated fair value of the home, less the costs to sell. At repossession, the fair value of the collateral is computed based on the historical recovery rates of previously charged-off loans; the loan is charged off and the loss is charged to the allowance for loan losses. On a monthly basis, the fair value of the collateral is adjusted to the lower of the amount recorded at repossession or the estimated sales price less estimated costs to sell, based on current information. Repossessed homes totaled approximately $953,000 and $707,000 as of July 2, 2016 and April 2, 2016, respectively, and are included in prepaid and other assets in the consolidated balance sheet. Foreclosure or similar proceedings in progress totaled approximately $370,000 and $340,000 as of July 2, 2016 and April 2, 2016, respectively.

Revenue Recognition, Interest [Policy Text Block]

As of the date of the Palm Harbor acquisition, management evaluated consumer loans receivable held for investment by CountryPlace to determine whether there was evidence of deterioration of credit quality and if it was probable that CountryPlace would be unable to collect all amounts due according to the loans' contractual terms. The Company also considered expected prepayments and estimated the amount and timing of undiscounted expected principal, interest and other cash flows. The Company determined the excess of the loan pool's scheduled contractual principal and contractual interest payments over all cash flows expected as of the date of the Palm Harbor transaction as an amount that cannot be accreted into interest income (the non-accretable difference). The cash flow expected to be collected in excess of the carrying value of the acquired loans is accreted into interest income over the remaining life of the loans (referred to as accretable yield). Interest income on consumer loans receivable is recognized as net revenue.

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Commercial Loans Receivables and Allowance for Loan Loss

3 Months Ended

Jul. 02, 2016

Receivables [Abstract]

Inventory Finance Receivables and Allowance for Loan Loss

and Allowance for Loan Loss

The Company's commercial loans receivable balance consists of two classes: (i) direct financing arrangements for the home product needs of our independent retailers, communities and developers; and (ii) amounts loaned by the Company under participation financing programs.

Under the terms of the direct programs, the Company provides funds for the independent retailers, communities and developers' financed home purchases. The notes are secured by the home as collateral and, in some instances, other security depending on the circumstances. The other terms of direct arrangements vary depending on the needs of the borrower and the opportunity for the Company.

Under the terms of the participation programs, the Company provides loans to independent floor plan lenders, representing a significant portion of the funds that such financiers then lend to retailers to finance their inventory purchases. The participation commercial loan receivables are unsecured general obligations of the independent floor plan lenders.

Commercial loans receivables, net, consist of the following by class of financing notes receivable (in thousands):

	July 2, 2016			April 2, 2016
Direct loans receivable	$	26,085		$	24,392
Participation loans receivable	1,157			1,278
Allowance for loan loss	(135		)	(128		)
	$	27,107		$	25,542

The commercial loans receivable balance has the following characteristics:

	July 2, 2016		April 2, 2016
Weighted average contractual interest rate	6.8	%	6.9	%
Weighted average months to maturity	10		9

The Company evaluates the potential for loss from its participation loan programs based on the independent lender's overall financial stability, as well as historical experience, and has determined that an applicable allowance for loan loss was not needed at either July 2, 2016 or April 2, 2016.

With respect to direct programs with communities and developers, borrower activity is monitored on a regular basis and contractual arrangements are in place to provide adequate loss mitigation in the event of a default. For direct programs with independent retailers, the risk of loss is spread over numerous borrowers. Borrower activity is monitored in conjunction with third-party service providers, where applicable, to estimate the potential for loss on the related notes receivable, considering potential exposures, including repossession costs, remarketing expenses, impairment of value and the risk of collateral loss. The Company has historically been able to resell repossessed unused homes, thereby mitigating loss experience. If a default occurs and collateral is lost, the Company is exposed to loss of the full value of the home loan. If the Company determines that it is probable that a borrower will default, a specific reserve is determined and recorded within the estimated allowance for loan loss. The Company recorded an allowance for loan loss of $135,000 and $82,000 at July 2, 2016 and June 27, 2015, respectively.

The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan loss applicable to the direct programs (in thousands):

	Three Months Ended
	July 2, 2016		June 27, 2015
Balance at beginning of period	$	128	$	73
Provision for inventory finance credit losses	7		9
Loans charged off, net of recoveries	—		—
Balance at end of period	$	135	$	82

The following table disaggregates commercial loans receivable and the estimated allowance for loan loss for each class of financing receivable by evaluation methodology (in thousands):

	Direct Commercial Loans						Participation Commercial Loans
	July 2, 2016			April 2, 2016			July 2, 2016		April 2, 2016
Inventory finance notes receivable:
Collectively evaluated for impairment	$	13,485		$	12,761		$	—	$	—
Individually evaluated for impairment	12,600			11,631			1,157		1,278
	$	26,085		$	24,392		$	1,157	$	1,278
Allowance for loan loss:
Collectively evaluated for impairment	$	(135	)	$	(128	)	$	—	$	—
Individually evaluated for impairment	—			—			—		—
	$	(135	)	$	(128	)	$	—	$	—

Loans are subject to regular review and are given management's attention whenever a problem situation appears to be developing. Loans with indicators of potential performance problems are placed on watch list status and are subject to additional monitoring and scrutiny. Nonperforming status includes loans accounted for on a non-accrual basis and accruing loans with principal payments past due 90 days or more. The Company's policy is to place loans on nonaccrual status when interest is past due and remains unpaid 90 days or more or when there is a clear indication that the borrower has the inability or unwillingness to meet payments as they become due. The Company will resume accrual of interest once these factors have been remedied. At July 2, 2016, there are no commercial loans that are 90 days or more past due that are still accruing interest. Payments received on nonaccrual loans are recorded on a cash basis, first to interest and then to principal. At July 2, 2016, the Company was not aware of any potential problem loans that would have a material effect on the commercial receivables balance. Charge-offs occur when it becomes probable that outstanding amounts will not be recovered.

The following table disaggregates the Company's inventory finance receivables by class and credit quality indicator (in thousands):

	Direct Commercial Loans				Participation Commercial Loans
	July 2, 2016		April 2, 2016		July 2, 2016		April 2, 2016
Risk profile based on payment activity:
Performing	$	26,085	$	24,392	$	1,157	$	1,278
Watch list	—		—		—		—
Nonperforming	—		—		—		—
	$	26,085	$	24,392	$	1,157	$	1,278

The Company has concentrations of commercial loans receivable related to factory-built homes located in the following states, measured as a percentage of commercial loans receivables principal balance outstanding:

	July 2, 2016		April 2, 2016
Texas	30.3	%	33.2	%
Arizona	10.7	%	13.3	%

The risks created by these concentrations have been considered in the determination of the adequacy of the allowance for loan losses. The Company did not have concentrations in excess of 10% of the principal balance of the commercial loans receivables in any other states as of July 2, 2016 or April 2, 2016, respectively.

As of July 2, 2016 and April 2, 2016, the Company had concentrations of commercial loans receivable with one independent third-party and its affiliates that equaled 29.3% and 32.0% of the principal balance outstanding, respectively, all of which was secured.

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Property, Plant and Equipment

3 Months Ended

Jul. 02, 2016

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment, Policy [Policy Text Block]

Property, plant and equipment are carried at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of each asset. Estimated useful lives for significant classes of assets are as follows: (i) buildings and improvements, 10 to 39 years, and (ii) machinery and equipment, 3 to 25 years. Repairs and maintenance charges are expensed as incurred.

Property, Plant and Equipment

Property, Plant and Equipment

Property, plant and equipment are carried at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of each asset. Estimated useful lives for significant classes of assets are as follows: (i) buildings and improvements, 10 to 39 years, and (ii) machinery and equipment, 3 to 25 years. Repairs and maintenance charges are expensed as incurred. Property, plant and equipment consist of the following (in thousands):

	July 2, 2016			April 2, 2016
Property, plant and equipment, at cost:
Land	$	22,719		$	22,719
Buildings and improvements	33,187			32,230
Machinery and equipment	20,397			19,533
	76,303			74,482
Accumulated depreciation	(20,198		)	(19,410		)
Property, plant and equipment, net	$	56,105		$	55,072

Included in the amounts above are certain assets under a capital lease. See Note 8 for additional information.

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Capital Leases (Notes)

3 Months Ended

Jul. 02, 2016

Capital Leased Assets [Line Items]

Capital Leases in Financial Statements of Lessee Disclosure [Text Block]

On May 1, 2015, in connection with the purchase of Fairmont Homes, the Company entered into a five-year lease covering the manufacturing facilities and land in Montevideo, Minnesota, which is accounted for as a capital lease. At the end of the lease term, the landlord has the option to require the Company to purchase the leased premises at a specified price. If the landlord does not exercise this option, the Company may purchase the facilities at the termination of the lease for that price. The following amounts were recorded for the leased assets as of July 2, 2016 and April 2, 2016 (in thousands):

	July 2, 2016			April 2, 2016
Land	$	240		$	240
Buildings and improvements	2,960			2,960
	3,200			3,200
Accumulated amortization	(115		)	(90		)
Leased assets, net	$	3,085		$	3,110

The minimum payments in future fiscal years under the lease as of July 2, 2016 are as follows (in thousands):

2017	$	216
2018	277
2019	265
2020	253
2021	1,721
Total remaining lease payments	2,732
Less: Amount representing interest	(388		)
Present value of future minimum lease payments	$	2,344

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Goodwill and Other Intangibles

3 Months Ended

Jul. 02, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets, Policy [Policy Text Block]

Intangible assets principally consist of goodwill, trademarks and trade names, state insurance licenses, customer relationships, and other, which includes technology, insurance policies and renewal rights and other. Goodwill, trademarks and trade names and state insurance licenses are indefinite-lived intangible assets and are evaluated for impairment annually and whenever events or circumstances indicate that more likely than not impairment has occurred. During the three months ended July 2, 2016 and June 27, 2015, no impairment expense was recorded. Finite-lived intangibles are amortized over their estimated useful lives on a straight-line basis and are reviewed for possible impairment whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. The value of customer relationships is amortized over 4 to 15 years and other intangibles over 7 to 15 years.

Goodwill and Other Intangibles

Goodwill and Other Intangibles

Intangible assets principally consist of goodwill, trademarks and trade names, state insurance licenses, customer relationships, and other, which includes technology, insurance policies and renewal rights and other. Goodwill, trademarks and trade names and state insurance licenses are indefinite-lived intangible assets and are evaluated for impairment annually and whenever events or circumstances indicate that more likely than not impairment has occurred. During the three months ended July 2, 2016 and June 27, 2015, no impairment expense was recorded. Finite-lived intangibles are amortized over their estimated useful lives on a straight-line basis and are reviewed for possible impairment whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. The value of customer relationships is amortized over 4 to 15 years and other intangibles over 7 to 15 years.

Goodwill and other intangibles consist of the following (in thousands):

	July 2, 2016							April 2, 2016
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Indefinite lived:
Goodwill	$	69,753	$	—		$	69,753	$	69,753	$	—		$	69,753
Trademarks and trade names	7,000		—			7,000		7,000		—			7,000
State insurance licenses	1,100		—			1,100		1,100		—			1,100
Total indefinite-lived intangible assets	77,853		—			77,853		77,853		—			77,853
Finite lived:
Customer relationships	7,100		(5,383		)	1,717		7,100		(5,329		)	1,771
Other	1,384		(657		)	727		1,384		(619		)	765
Total goodwill and other intangible assets	$	86,337	$	(6,040	)	$	80,297	$	86,337	$	(5,948	)	$	80,389

Amortization expense recognized on intangible assets during the three months ended July 2, 2016 and June 27, 2015 was $92,000 and $189,000, respectively.

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Accrued Liabilities

3 Months Ended

Jul. 02, 2016

Payables and Accruals [Abstract]

Accrued Liabilities

Accrued Liabilities

Accrued liabilities consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Unearned insurance premiums	$	16,928	$	15,528
Customer deposits	15,736		14,039
Salaries, wages and benefits	15,702		20,675
Estimated warranties	13,718		13,371
Insurance loss reserves	7,429		5,990
Accrued volume rebates	5,302		4,647
Accrued insurance	3,765		3,969
Company repurchase option on certain loans sold	3,729		3,497
Deferred margin	3,180		2,823
Capital lease obligation	2,344		2,387
Reserve for repurchase commitments	1,741		1,660
Accrued taxes	1,052		1,282
Other	12,077		10,446
	$	102,703	$	100,314

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Warranties

3 Months Ended

Jul. 02, 2016

Product Warranties Disclosures [Abstract]

Extended Product Warranty, Policy [Policy Text Block]

Homes are generally warranted against manufacturing defects for a period of one year commencing at the time of sale to the retail customer. Estimated costs relating to home warranties are recorded at the date of sale. The Company has recorded a liability for estimated future warranty costs relating to homes sold based upon management's assessment of historical experience factors, an estimate of the amount of homes in the distribution channel and current industry trends.

Warranties

Warranties

Homes are generally warranted against manufacturing defects for a period of one year commencing at the time of sale to the retail customer. Estimated costs relating to home warranties are recorded at the date of sale. The Company has recorded a liability for estimated future warranty costs relating to homes sold based upon management's assessment of historical experience factors, an estimate of the amount of homes in the distribution channel and current industry trends. Activity in the liability for estimated warranties was as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at beginning of period	$	13,371		$	9,953
Purchase accounting additions	—			1,111
Charged to costs and expenses	6,136			4,265
Payments and deductions	(5,789		)	(4,272		)
Balance at end of period	$	13,718		$	11,057

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Debt Obligations

3 Months Ended

Jul. 02, 2016

Debt Disclosure [Abstract]

Debt, Policy [Policy Text Block]

The Company acquired CountryPlace's securitized financings during the first quarter of fiscal year 2012 as a part of the Palm Harbor acquisition. Acquired securitized financings were recorded at fair value at the time of acquisition, which resulted in a discount, and subsequently are accounted for in a manner similar to ASC 310-30 to accrete the discount.

The Company considers expected prepayments and estimates the amount and timing of undiscounted expected principal, interest and other cash flows for securitized consumer loans receivable held for investment to determine the expected cash flows on securitized financings and the contractual payments. The amount of contractual principal and contractual interest payments due on the securitized financings in excess of all cash flows expected as of the date of the Palm Harbor acquisition cannot be accreted into interest expense (the non-accretable difference). The remaining amount is accreted into interest expense over the remaining life of the obligation (referred to as accretable yield).

Debt Obligations

Debt Obligations

Debt obligations consist of amounts related to loans sold that did not qualify for loan sale accounting treatment. The following table summarizes debt obligations (in thousands):

	July 2, 2016		April 2, 2016
Acquired securitized financings (acquired as part of the Palm Harbor transaction)
Securitized financing 2005-1	$	26,545	$	27,481
Securitized financing 2007-1	27,957		28,859
Other secured financings	4,965		4,831
Total securitized financings and other, net	$	59,467	$	61,171

The Company acquired CountryPlace's securitized financings during the first quarter of fiscal year 2012 as a part of the Palm Harbor acquisition. Acquired securitized financings were recorded at fair value at the time of acquisition, which resulted in a discount, and subsequently are accounted for in a manner similar to ASC 310-30 to accrete the discount.

The Company considers expected prepayments and estimates the amount and timing of undiscounted expected principal, interest and other cash flows for securitized consumer loans receivable held for investment to determine the expected cash flows on securitized financings and the contractual payments. The amount of contractual principal and contractual interest payments due on the securitized financings in excess of all cash flows expected as of the date of the Palm Harbor acquisition cannot be accreted into interest expense (the non-accretable difference). The remaining amount is accreted into interest expense over the remaining life of the obligation (referred to as accretable yield). The following table summarizes acquired securitized financings (in thousands):

	July 2, 2016			April 2, 2016
Securitized financings – contractual amount	$	65,961		$	68,673
Purchase discount
Accretable	(11,459		)	(12,333		)
Non-accretable (1)	—			—
Total acquired securitized financings, net	$	54,502		$	56,340

(1) There is no non-accretable difference, as the contractual payments on acquired securitized financing are determined by the cash collections from the underlying loans.

Over the life of the loans, the Company continues to estimate cash flows expected to be paid on securitized financings. The Company evaluates at the balance sheet date whether the present value of its securitized financings, determined using the effective interest rate, has increased or decreased. The present value of any subsequent change in cash flows expected to be paid adjusts the amount of accretable yield recognized on a prospective basis over the securitized financing's remaining life.

The changes in accretable yield on securitized financings were as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at the beginning of the period	$	12,333		$	12,128
Accretion	(968		)	(812		)
Adjustment to cash flows	94			(575		)
Balance at the end of the period	$	11,459		$	10,741

On July 12, 2005, prior to the Company's acquisition of Palm Harbor and CountryPlace, CountryPlace completed its initial securitization (2005-1) for approximately $141.0 million of loans, which was funded by issuing bonds totaling approximately $118.4 million. The bonds were issued in four different classes: Class A-1 totaling $36.3 million with a coupon rate of 4.23%; Class A-2 totaling $27.4 million with a coupon rate of 4.42%; Class A-3 totaling $27.3 million with a coupon rate of 4.80%; and Class A-4 totaling $27.4 million with a coupon rate of 5.20%. The bonds mature at varying dates and at issuance had an expected weighted average maturity of 4.66 years. For accounting purposes, this transaction was structured as a securitized borrowing. As of July 2, 2016, the Class A-1 and Class A-2 bonds have been retired.

On March 22, 2007, prior to the Company's acquisition of Palm Harbor and CountryPlace, CountryPlace completed its second securitization (2007-1) for approximately $116.5 million of loans, which was funded by issuing bonds totaling approximately $101.9 million. The bonds were issued in four classes: Class A-1 totaling $28.9 million with a coupon rate of 5.484%; Class A-2 totaling $23.4 million with a coupon rate of 5.232%; Class A-3 totaling $24.5 million with a coupon rate of 5.593%; and Class A-4 totaling $25.1 million with a coupon rate of 5.846%. The bonds mature at varying dates and at issuance had an expected weighted average maturity of 4.86 years. For accounting purposes, this transaction was also structured as a securitized borrowing. As of July 2, 2016, the Class A-1 and Class A-2 bonds have been retired.

CountryPlace's securitized debt is subject to provisions that require certain levels of overcollateralization. Overcollateralization is equal to CountryPlace's equity in the bonds. Failure to satisfy these provisions could cause cash, which would normally be distributed to CountryPlace, to be used for repayment of the principal of the related Class A bonds until the required overcollateralization level is reached. During periods when the overcollateralization is below the specified level, cash collections from the securitized loans in excess of servicing fees payable to CountryPlace and amounts owed to the Class A bondholders, trustee and surety, are applied to reduce the Class A debt until such time the overcollateralization level reaches the specified level. Therefore, failure to meet the overcollateralization requirement could adversely affect the timing of cash flows received by CountryPlace. However, principal payments of the securitized debt, including accelerated amounts, is payable only from cash collections from the securitized loans and no additional sources of repayment are required or permitted. As of July 2, 2016, the 2005-1 and 2007-1 securitized portfolios were within the required overcollateralization level.

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Reinsurance

3 Months Ended

Jul. 02, 2016

Insurance [Abstract]

Reinsurance

Reinsurance

Standard Casualty is primarily a specialty writer of manufactured home physical damage insurance. Certain of Standard Casualty's premiums and benefits are assumed from and ceded to other insurance companies under various reinsurance agreements. The ceded reinsurance agreements provide Standard Casualty with increased capacity to write larger risks and maintain its exposure to loss within its capital resources. Standard Casualty remains obligated for amounts ceded in the event that the reinsurers do not meet their obligations. Substantially all of Standard Casualty's assumed reinsurance is with one entity.

The effects of reinsurance on premiums written and earned are as follows (in thousands):

	Three Months Ended
	July 2, 2016						June 27, 2015
	Written			Earned			Written			Earned
Direct premiums	$	4,386		$	3,926		$	4,111		$	3,593
Assumed premiums—nonaffiliate	6,947			5,632			5,789			5,083
Ceded premiums—nonaffiliate	(3,220		)	(3,220		)	(2,714		)	(2,714		)
Net premiums	$	8,113		$	6,338		$	7,186		$	5,962

Typical insurance policies written or assumed by Standard Casualty have a maximum coverage of $300,000 per claim, of which Standard cedes $200,000 of the risk of loss per reinsurance. Therefore, Standard Casualty maintains risk of loss limited to $100,000 per claim on typical policies. Amounts are recoverable by Standard Casualty through reinsurance for catastrophic losses in excess of $1.0 million per occurrence up to a maximum of $44.0 million in the aggregate.

Purchasing reinsurance contracts protects Standard Casualty from frequency and/or severity of losses incurred on insurance policies issued, such as in the case of a catastrophe that generates a large number of serious claims on multiple policies at the same time.

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Income Taxes

3 Months Ended

Jul. 02, 2016

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The Company's deferred tax assets primarily result from financial statement accruals not currently deductible for tax purposes and differences in the acquired basis of certain assets, and its deferred tax liabilities primarily result from tax amortization of goodwill and other intangible assets.

The Company complies with the provisions of ASC 740, Income Taxes ("ASC 740"), which clarifies the accounting for income taxes by prescribing a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. ASC 740 also provides guidance on derecognizing, measurement, classification, interest and penalties, accounting in interim periods, disclosure and transition. The amount of unrecognized tax benefits recorded by the Company is insignificant and the impact on the effective tax rate if all unrecognized tax benefits were recognized would be insignificant. The Company classifies interest and penalties related to unrecognized tax benefits in tax expense.

Income tax returns are filed in the U.S. federal jurisdiction and in several state jurisdictions. The Company is no longer subject to examination by the IRS for years before fiscal year 2013. In general, the Company is no longer subject to state and local income tax examinations by tax authorities for years before fiscal year 2012. The Company believes that its income tax filing positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material change to the Company's financial position. The total amount of unrecognized tax benefit related to any particular tax position is not anticipated to change significantly within the next 12 months. The provision for income taxes generally represents income taxes paid or payable for the current year plus the change in deferred taxes during the year.

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Commitments and Contingencies

3 Months Ended

Jul. 02, 2016

Commitments and Contingencies Disclosure [Abstract]

Derivatives, Reporting of Derivative Activity [Policy Text Block]

Interest Rate Lock Commitments. In originating loans for sale, CountryPlace issues interest rate lock commitments ("IRLCs") to prospective borrowers and third-party originators. These IRLCs represent an agreement to extend credit to a loan applicant, or an agreement to purchase a loan from a third-party originator, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind CountryPlace to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The loan commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, CountryPlace is subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs unless the commitment is successfully paired with another loan that may mitigate losses from fallout.

As of July 2, 2016, CountryPlace had outstanding IRLCs with a notional amount of $5.8 million and are recorded at fair value in accordance with ASC 815, Derivatives and Hedging ("ASC 815"). ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair values of IRLCs are recorded in other assets in the consolidated balance sheets. The fair value of IRLCs is based on the value of the underlying mortgage loan adjusted for: (i) estimated cost to complete and originate the loan and (ii) the estimated percentage of IRLCs that will result in closed mortgage loans. The initial and subsequent changes in the value of IRLCs are a component of gain (loss) on mortgage loans held for sale. During the three months ended July 2, 2016, CountryPlace recognized gains of $28,000 on the outstanding IRLCs. During the three months ended June 27, 2015, CountryPlace recognized losses of $18,000 on the outstanding IRLCs.

Forward Sales Commitments. CountryPlace manages the risk profiles of a portion of its outstanding IRLCs and mortgage loans held for sale by entering into forward sales of mortgage backed securities ("MBS") and whole loan sale commitments. As of July 2, 2016, CountryPlace had $23.9 million in outstanding notional forward sales of MBSs and forward sales commitments. Commitments to forward sales of whole loans are typically in an amount proportionate with the amount of IRLCs expected to close in particular time frames, assuming no change in mortgage interest rates, for the respective loan products intended for whole loan sale.

The estimated fair values of forward sales of MBS and forward sale commitments are based on quoted market values and are recorded within other current assets in the consolidated balance sheets.

Commitments and Contingencies, Policy [Policy Text Block]

Repurchase Contingencies. The Company is contingently liable under terms of repurchase agreements with financial institutions providing inventory financing for independent retailers of its products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to retailers in the event of default by the retailer. The risk of loss under these agreements is spread over numerous retailers. The price the Company is obligated to pay generally declines over the period of the agreement (generally 18 to 36 months, calculated from the date of sale to the retailer) and the risk of loss is further reduced by the resale value of the repurchased homes.

Representations and Warranties of Mortgages Sold [Policy Text Block]

Representations and Warranties of Mortgages Sold. CountryPlace sells loans to GSEs and whole-loan purchasers. In connection with these activities, CountryPlace provides to the GSEs and whole-loan purchasers representations and warranties related to the loans sold. These representations and warranties generally relate to the ownership of the loan, the validity of the lien securing the loan, the loan's compliance with the criteria for inclusion in the sale transactions, including compliance with underwriting standards or loan criteria established by the buyer, and CountryPlace's ability to deliver documentation in compliance with applicable laws. Generally, representations and warranties may be enforced at any time over the life of the loan. Upon a breach of a representation, CountryPlace may be required to repurchase the loan or to indemnify a party for incurred losses. Repurchase demands and claims for indemnification payments are reviewed on a loan-by-loan basis to validate if there has been a breach requiring repurchase. CountryPlace manages the risk of repurchase through underwriting and quality assurance practices and by servicing the mortgage loans to investor standards. CountryPlace maintains a reserve for these contingent repurchase and indemnification obligations. This reserve of $816,000 and $785,000 as of July 2, 2016 and April 2, 2016, respectively, included in accrued liabilities, reflects management's estimate of probable loss. CountryPlace considers a variety of assumptions, including borrower performance (both actual and estimated future defaults), historical repurchase demands and loan defect rates to estimate the liability for loan repurchases and indemnifications.

Commitments and Contingencies

Commitments and Contingencies

Repurchase Contingencies. The Company is contingently liable under terms of repurchase agreements with financial institutions providing inventory financing for independent retailers of its products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to retailers in the event of default by the retailer. The risk of loss under these agreements is spread over numerous retailers. The price the Company is obligated to pay generally declines over the period of the agreement (generally 18 to 36 months, calculated from the date of sale to the retailer) and the risk of loss is further reduced by the resale value of the repurchased homes. The maximum amount for which the Company was contingently liable under such agreements approximated $49.1 million at July 2, 2016, without reduction for the resale value of the homes. The Company applies ASC 460, Guarantees ("ASC 460"), and ASC 450-20, Loss Contingencies ("ASC 450-20"), to account for its liability for repurchase commitments. Under the provisions of ASC 460, the Company records the greater of the estimated value of the non-contingent obligation or a contingent liability for each repurchase arrangement under the provisions of ASC 450-20. The Company recorded an estimated liability of $1.7 millionat both July 2, 2016 and April 2, 2016, related to the commitments pertaining to these agreements.

Letters of Credit. To secure certain reinsurance contracts, Standard Casualty maintains an irrevocable letter of credit of $7.0 million to provide assurance that Standard Casualty will fulfill its reinsurance obligations. This letter of credit is secured by certain of the Company's investments.

Construction-Period Mortgages. CountryPlace funds construction-period mortgages through periodic advances during the period of home construction. At the time of initial funding, CountryPlace commits to fully fund the loan contract in accordance with a predetermined schedule. Subsequent advances are contingent upon the performance of contractual obligations by the seller of the home and the borrower. Cumulative advances on construction-period mortgages are carried in the consolidated balance sheet at the amount advanced less a valuation allowance, which are included in consumer loans receivable. The total loan contract amount, less cumulative advances, represents an off-balance sheet contingent commitment of CountryPlace to fund future advances.

Loan contracts with off-balance sheet commitments are summarized below (in thousands):

	July 2, 2016			April 2, 2016
Construction loan contract amount	$	15,688		$	15,109
Cumulative advances	(5,685		)	(6,566		)
Remaining construction contingent commitment	$	10,003		$	8,543

Representations and Warranties of Mortgages Sold. CountryPlace sells loans to GSEs and whole-loan purchasers. In connection with these activities, CountryPlace provides to the GSEs and whole-loan purchasers representations and warranties related to the loans sold. These representations and warranties generally relate to the ownership of the loan, the validity of the lien securing the loan, the loan's compliance with the criteria for inclusion in the sale transactions, including compliance with underwriting standards or loan criteria established by the buyer, and CountryPlace's ability to deliver documentation in compliance with applicable laws. Generally, representations and warranties may be enforced at any time over the life of the loan. Upon a breach of a representation, CountryPlace may be required to repurchase the loan or to indemnify a party for incurred losses. Repurchase demands and claims for indemnification payments are reviewed on a loan-by-loan basis to validate if there has been a breach requiring repurchase. CountryPlace manages the risk of repurchase through underwriting and quality assurance practices and by servicing the mortgage loans to investor standards. CountryPlace maintains a reserve for these contingent repurchase and indemnification obligations. This reserve of $816,000 and $785,000 as of July 2, 2016 and April 2, 2016, respectively, included in accrued liabilities, reflects management's estimate of probable loss. CountryPlace considers a variety of assumptions, including borrower performance (both actual and estimated future defaults), historical repurchase demands and loan defect rates to estimate the liability for loan repurchases and indemnifications.

Interest Rate Lock Commitments. In originating loans for sale, CountryPlace issues interest rate lock commitments ("IRLCs") to prospective borrowers and third-party originators. These IRLCs represent an agreement to extend credit to a loan applicant, or an agreement to purchase a loan from a third-party originator, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind CountryPlace to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The loan commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, CountryPlace is subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs unless the commitment is successfully paired with another loan that may mitigate losses from fallout.

As of July 2, 2016, CountryPlace had outstanding IRLCs with a notional amount of $5.8 million and are recorded at fair value in accordance with ASC 815, Derivatives and Hedging ("ASC 815"). ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair values of IRLCs are recorded in other assets in the consolidated balance sheets. The fair value of IRLCs is based on the value of the underlying mortgage loan adjusted for: (i) estimated cost to complete and originate the loan and (ii) the estimated percentage of IRLCs that will result in closed mortgage loans. The initial and subsequent changes in the value of IRLCs are a component of gain (loss) on mortgage loans held for sale. During the three months ended July 2, 2016, CountryPlace recognized gains of $28,000 on the outstanding IRLCs. During the three months ended June 27, 2015, CountryPlace recognized losses of $18,000 on the outstanding IRLCs.

Forward Sales Commitments. CountryPlace manages the risk profiles of a portion of its outstanding IRLCs and mortgage loans held for sale by entering into forward sales of mortgage backed securities ("MBS") and whole loan sale commitments. As of July 2, 2016, CountryPlace had $23.9 million in outstanding notional forward sales of MBSs and forward sales commitments. Commitments to forward sales of whole loans are typically in an amount proportionate with the amount of IRLCs expected to close in particular time frames, assuming no change in mortgage interest rates, for the respective loan products intended for whole loan sale.

The estimated fair values of forward sales of MBS and forward sale commitments are based on quoted market values and are recorded within other current assets in the consolidated balance sheets. During the three months ended July 2, 2016 and June 27, 2015, CountryPlace recognized losses of $44,000 and gains of $66,000, respectively, on forward sales and whole loan sale commitments.

Legal Matters. The Company is party to certain legal proceedings that arise in the ordinary course and are incidental to its business. Certain of the claims pending against the Company in these proceedings allege, among other things, breach of contract and warranty, product liability and personal injury. Although litigation is inherently uncertain, based on past experience and the information currently available, management does not believe that the currently pending and threatened litigation or claims will have a material adverse effect on the Company's consolidated financial position, liquidity or results of operations. However, future events or circumstances currently unknown to management will determine whether the resolution of pending or threatened litigation or claims will ultimately have a material effect on the Company's consolidated financial position, liquidity or results of operations in any future reporting periods.

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Stockholders' Equity

3 Months Ended

Jul. 02, 2016

Stockholders' Equity Note [Abstract]

Stockholders' Equity

Stockholders' Equity

The following table represents changes in stockholders' equity for the three months ended July 2, 2016 (dollars in thousands):

				Additional paid-in capital			Retained earnings		Accumulated other comprehensive income			Total
	Common Stock
	Shares	Amount
Balance, April 2, 2016	8,927,989	$	89	$	241,662		$	110,186	$	1,289		$	353,226
Stock option exercises, including incremental tax benefits	42,325	1		(342		)	—		—			(341		)
Share-based compensation	—	—		370			—		—			370
Net income	—	—		—			5,443		—			5,443
Unrealized loss on Available-for-sale securities	—	—		—			—		(55		)	(55		)
Balance, July 2, 2016	8,970,314	$	90	$	241,690		$	115,629	$	1,234		$	358,643

(1) Other comprehensive income is comprised of unrealized gains and losses on available-for-sale investments. Unrealized losses before tax effect on available-for-sale securities were $112,000 for the three months ended July 2, 2016.

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Stock-Based Compensation

3 Months Ended

Jul. 02, 2016

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]

The Company maintains stock incentive plans whereby stock option grants or awards of restricted stock may be made to certain officers, directors and key employees. As of July 2, 2016, the plans, which are shareholder approved, permit the award of up to 1,650,000 shares of the Company's common stock, of which 435,706 shares were still available for grant. When options are exercised, new shares of the Company's common stock are issued. Stock options may not be granted below 100% of the fair market value of the Company's common stock at the date of grant and generally expire seven years from the date of grant. Stock options and awards of restricted stock typically vest over a one to five year period as determined by the plan administrator (the Compensation Committee of the Board of Directors, which consists of independent directors). The stock incentive plans provide for accelerated vesting of stock options upon a change in control (as defined in the plans).

Stock-Based Compensation

Stock-Based Compensation

The Company maintains stock incentive plans whereby stock option grants or awards of restricted stock may be made to certain officers, directors and key employees. As of July 2, 2016, the plans, which are shareholder approved, permit the award of up to 1,650,000 shares of the Company's common stock, of which 435,706 shares were still available for grant. When options are exercised, new shares of the Company's common stock are issued. Stock options may not be granted below 100% of the fair market value of the Company's common stock at the date of grant and generally expire seven years from the date of grant. Stock options and awards of restricted stock typically vest over a one to five year period as determined by the plan administrator (the Compensation Committee of the Board of Directors, which consists of independent directors). The stock incentive plans provide for accelerated vesting of stock options upon a change in control (as defined in the plans).

Stock-based compensation cost charged against income for the three months ended July 2, 2016 and June 27, 2015 was $370,000 and $331,000, respectively.

As of July 2, 2016, total unrecognized compensation cost related to stock options was approximately $2.0 million and the related weighted-average period over which it is expected to be recognized is approximately 2.53 years.

The following table summarizes the option activity within the Company's stock-based compensation plans for the three months ended July 2, 2016:

	Number of Shares
Outstanding at April 2, 2016	491,980
Granted	4,000
Exercised	(92,400	)
Canceled or expired	(3,500	)
Outstanding at July 2, 2016	400,080
Exercisable at July 2, 2016	240,125

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Earnings Per Share

3 Months Ended

Jul. 02, 2016

Earnings Per Share [Abstract]

Earnings Per Share, Policy [Policy Text Block]

Basic earnings per common share is computed based on the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per common share is computed based on the combination of dilutive common share equivalents, comprised of shares issuable under the Company's stock-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. Dilutive common share equivalents include the dilutive effect of in-the-money options to purchase shares, which is calculated based on the average share price for each period using the treasury stock method.

Earnings Per Share

Earnings Per Share

Basic earnings per common share is computed based on the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per common share is computed based on the combination of dilutive common share equivalents, comprised of shares issuable under the Company's stock-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. Dilutive common share equivalents include the dilutive effect of in-the-money options to purchase shares, which is calculated based on the average share price for each period using the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share (dollars in thousands, except per share amounts):

	Three Months Ended
	July 2, 2016		June 27, 2015
Net income	$	5,443	$	5,385
Weighted average shares outstanding:
Basic	8,937,265		8,863,648
Common stock equivalents—treasury stock method	147,777		156,613
Diluted	9,085,042		9,020,261
Net income per share:
Basic	$	0.61	$	0.61
Diluted	$	0.60	$	0.60

There were 2,147 and 14,711 anti-dilutive common stock equivalents excluded from the computation of diluted earnings per share for the three months ended July 2, 2016 and June 27, 2015, respectively.

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Fair Value Measurements

3 Months Ended

Jul. 02, 2016

Fair Value Disclosures [Abstract]

Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]

The Company records impairment losses on long-lived assets held for sale when the fair value of such long-lived assets is below their carrying values. The Company records impairment charges on long-lived assets used in operations when events and circumstances indicate that long-lived assets might be impaired and the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts. No impairment charges were recorded during the three months ended July 2, 2016.

Fair Value Measurements

Fair Value Measurements

The book value and estimated fair value of the Company's financial instruments are as follows (in thousands):

	July 2, 2016						April 2, 2016
	Book Value			Estimated Fair Value			Book Value			Estimated Fair Value
Available-for-sale securities (1)	$	23,763		$	23,763		$	24,247		$	24,247
Non-marketable equity investments (2)	14,764			14,764			14,841			14,841
Consumer loans receivable (3)	88,434			125,344			89,558			126,077
Interest rate lock commitment derivatives (4)	36			36			8			8
Forward loan sale commitment derivatives (4)	(75		)	(75		)	(31		)	(31		)
Commercial loans receivable (5)	27,107			27,238			25,542			25,688
Securitized financings (6)	(59,467		)	(58,576		)	(61,171		)	(60,220		)
Mortgage servicing rights (7)	865			865			803			803

(1) The fair value is based on quoted market prices.

(2) The fair value approximates book value based on the non-marketable nature of the investments.

(3) Includes consumer loans receivable held for investment, held for sale and construction advances. The fair value of the loans held for investment is based on the discounted value of the remaining principal and interest cash flows. The fair value of the loans held for sale are estimated based on recent GSE mortgage backed bond prices. The fair value of the construction advances approximates book value and the sales price of these loans is estimated based on construction completed.

(4) The fair values are based on changes in GSE mortgage backed bond prices and, additionally for IRLCs, pull through rates.

(5) The fair value is estimated using market interest rates of comparable loans.

(6) The fair value is estimated using recent public transactions of similar asset-backed securities.

(7) The fair value of the mortgage servicing rights is based on the present value of expected net cash flows related to servicing these loans.

In accordance with ASC 820, Fair Value Measurements and Disclosures ("ASC 820"), fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

Level 1 –	Quoted prices in active markets for identical assets or liabilities.
Level 2 –	Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
Level 3 –	Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities.

When the Company uses observable market prices for identical securities that are traded in less active markets, it classifies such securities as Level 2. When observable market prices for identical securities are not available, the Company prices its marketable debt instruments using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. Non-binding market consensus prices are based on the proprietary valuation models of pricing providers or brokers. These valuation models incorporate a number of inputs, including non-binding and binding broker quotes; observable market prices for identical or similar securities; and the internal assumptions of pricing providers or brokers that use observable market inputs and, to a lesser degree, unobservable market inputs.

Financial instruments measured at fair value on a recurring basis are summarized below (in thousands):

	July 2, 2016
	Total			Level 1		Level 2		Level 3
Securities issued by the U.S Treasury and Government (1)	$	651		$	—	$	651	$	—
Mortgage-backed securities (1)	5,650			—		5,650		—
Securities issued by states and political subdivisions (1)	8,140			—		8,140		—
Corporate debt securities (1)	916			—		916		—
Marketable equity securities (1)	7,406			7,406		—		—
Interest rate lock commitment derivatives (2)	36			—		—		36
Forward loan sale commitment derivatives (2)	(75		)	—		—		(75		)
Mortgage servicing rights (3)	865			—		—		865

(1) Unrealized gains or losses on investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

(2) Gains or losses on derivatives are recognized in current period earnings through cost of sales.

(3) Changes in the fair value of mortgage servicing rights are recognized in the current period earnings through net revenue.

No transfers between Level 1, Level 2 or Level 3 occurred during the three months ended July 2, 2016. The Company's policy regarding the recording of transfers between levels is to record any such transfers at the end of the reporting period.

Financial instruments for which fair value is disclosed but not required to be recognized in the balance sheet on a recurring basis are summarized below (in thousands):

	July 2, 2016
	Total			Level 1		Level 2			Level 3
Loans held for investment	$	108,650		$	—	$	—		$	108,650
Loans held for sale	11,009			—		11,009			—
Loans held—construction advances	5,685			—		—			5,685
Commercial loans receivable	27,238			—		—			27,238
Securitized financings	(58,576		)	—		(58,576		)	—
Non-marketable equity investments	14,764			—		—			14,764

Financial instruments measured on a nonrecurring basis also include impaired loans (nonaccrual loans) and loans held for sale. No recent sales have been executed in an orderly market of manufactured home loan portfolios with comparable product features, credit characteristics or performance. Impaired loans are measured using Level 3 inputs that are calculated using estimated discounted future cash flows with discount rates considered to reflect current market conditions. Loans held for sale are measured at the lower of cost or fair value using Level 2 inputs that consist of commitments on hand from investors. These loans are held for relatively short periods, typically no more than 45 days. As a result, changes in loan-specific credit risk are not a significant component of the change in fair value. The cost of loans held for sale is lower than the fair value as of July 2, 2016.

ASC 825, Financial Instruments ("ASC 825"), requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate fair value. Fair value estimates are made as of a specific point in time based on the characteristics of the financial instruments and the relevant market information. Where available, quoted market prices are used. In other cases, fair values are based on estimates using other valuation techniques. These techniques involve uncertainties and are significantly affected by the assumptions used and the judgments made regarding risk characteristics of various financial instruments, discount rates, estimates of future cash flows, future expected loss experience and other factors. Changes in assumptions could significantly affect these estimates and the resulting fair values. Derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in an immediate sale of the instrument. Also, because of differences in methodologies and assumptions used to estimate fair values, the Company's fair values should not be compared to those of other companies.

Under ASC 825, fair value estimates are based on existing financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Accordingly, the aggregate fair value amounts presented do not represent the underlying market value of the Company.

The Company records impairment losses on long-lived assets held for sale when the fair value of such long-lived assets is below their carrying values. The Company records impairment charges on long-lived assets used in operations when events and circumstances indicate that long-lived assets might be impaired and the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts. No impairment charges were recorded during the three months ended July 2, 2016.

Mortgage Servicing. Mortgage Servicing Rights ("MSRs") are the rights to receive a portion of the interest coupon and fees collected from the mortgagors for performing specified mortgage servicing activities, which consist of collecting loan payments, remitting principal and interest payments to investors, managing escrow accounts, performing loss mitigation activities on behalf of investors and otherwise administering the loan servicing portfolio. MSRs are initially recorded at fair value. Changes in fair value subsequent to the initial capitalization are recorded in the Company's results of operations. The Company recognizes MSRs on all loans sold to investors that meet the requirements for sale accounting and for which servicing rights are retained.

The Company applies fair value accounting to MSRs, with all changes in fair value recorded to net revenue in accordance with ASC 860-50, Servicing Assets and Liabilities. The fair value of MSRs is based on the present value of the expected future cash flows related to servicing these loans. The revenue components of the cash flows are servicing fees, interest earned on custodial accounts and other ancillary income. The expense components include operating costs related to servicing the loans (including delinquency and foreclosure costs) and interest expenses on servicer advances that the Company believes are consistent with the assumptions major market participants use in valuing MSRs. The expected cash flows are primarily impacted by prepayment estimates, delinquencies and market discounts. Generally, the value of MSRs is expected to increase when interest rates rise and decrease when interest rates decline, due to the effect those changes in interest rates have on prepayment estimates. Other factors noted above as well as the overall market demand for MSRs may also affect the valuation.

	July 2, 2016			April 2, 2016
Number of loans serviced with MSRs	3,822			3,728
Weighted average servicing fee (basis points)	30.56			30.43
Capitalized servicing multiple	64.14		%	61.65		%
Capitalized servicing rate (basis points)	19.60			18.76
Serviced portfolio with MSRs (in thousands)	$	441,480		$	428,324
Mortgage servicing rights (in thousands)	$	865		$	803

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Business Segment Information

3 Months Ended

Jul. 02, 2016

Segment Reporting [Abstract]

Business Segment Information

Business Segment Information

The Company operates principally in two segments: (1) factory-built housing, which includes wholesale and retail systems-built housing operations and (2) financial services, which includes manufactured housing consumer finance and insurance. The following table details net revenue and income before income taxes by segment (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Net revenue:
Factory-built housing	$	172,486		$	147,546
Financial services	12,655			14,122
	$	185,141		$	161,668
Income before income taxes:
Factory-built housing	$	10,738		$	8,004
Financial services	(2,308		)	628
	$	8,430		$	8,632

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Basis of Presentation (Policies)

3 Months Ended

Jul. 02, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Principles of Consolidation

The accompanying unaudited Consolidated Financial Statements of Cavco Industries, Inc., and its subsidiaries (collectively, the "Company" or "Cavco"), have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") for Quarterly Reports on Form 10-Q and Article 10 of SEC Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP") have been condensed or omitted pursuant to such rules and regulations.

In the opinion of management, these statements include all of the normal recurring adjustments necessary to fairly state the Company's Consolidated Financial Statements. Certain prior period amounts have been reclassified to conform to current period classification. The Company has evaluated subsequent events after the balance sheet date through the date of the filing of this report with the SEC; there were no disclosable subsequent events. These Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the Notes to Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended April 2, 2016, filed with the SEC on June 21, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and the accompanying Notes. Actual results could differ from those estimates. The Consolidated Statements of Comprehensive Income and Consolidated Statements of Cash Flows for the interim periods are not necessarily indicative of the results or cash flows for the full year. The Company operates on a 52-53 week fiscal year ending on the Saturday nearest to March 31 of each year. Each fiscal quarter consists of 13 weeks, with an occasional fourth quarter extending to 14 weeks, if necessary, for the fiscal year to end on the Saturday nearest to March 31. The Company's current fiscal year will end on April 1, 2017.

The Company operates principally in two segments: (1) factory-built housing, which includes wholesale and retail systems-built housing operations, and (2) financial services, which includes manufactured housing consumer finance and insurance. The Company designs and builds a wide variety of affordable modular homes, manufactured homes and park model RVs in 19 factories located throughout the United States, which are sold to a network of independent retailers, through the Company's 45 Company-owned retail stores and to community owners and developers. Our financial services group is comprised of a mortgage subsidiary, CountryPlace Acceptance Corp. ("CountryPlace"), and an insurance subsidiary, Standard Casualty Co. ("Standard Casualty"). CountryPlace is an approved Federal National Mortgage Association ("FNMA" or "Fannie Mae") and Federal Home Loan Mortgage Corporation ("FHLMC" or "Freddie Mac") seller/servicer, and a Government National Mortgage Association ("GNMA" or "Ginnie Mae") mortgage backed securities issuer which offers conforming mortgages, non-conforming mortgages and chattel loans to purchasers of factory-built and site-built homes. Standard Casualty provides property and casualty insurance to owners of manufactured homes.

Basis of Presentation

Basis of Presentation

The accompanying unaudited Consolidated Financial Statements of Cavco Industries, Inc., and its subsidiaries (collectively, the "Company" or "Cavco"), have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") for Quarterly Reports on Form 10-Q and Article 10 of SEC Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP") have been condensed or omitted pursuant to such rules and regulations.

In the opinion of management, these statements include all of the normal recurring adjustments necessary to fairly state the Company's Consolidated Financial Statements. Certain prior period amounts have been reclassified to conform to current period classification. The Company has evaluated subsequent events after the balance sheet date through the date of the filing of this report with the SEC; there were no disclosable subsequent events. These Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the Notes to Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended April 2, 2016, filed with the SEC on June 21, 2016.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and the accompanying Notes. Actual results could differ from those estimates. The Consolidated Statements of Comprehensive Income and Consolidated Statements of Cash Flows for the interim periods are not necessarily indicative of the results or cash flows for the full year. The Company operates on a 52-53 week fiscal year ending on the Saturday nearest to March 31 of each year. Each fiscal quarter consists of 13 weeks, with an occasional fourth quarter extending to 14 weeks, if necessary, for the fiscal year to end on the Saturday nearest to March 31. The Company's current fiscal year will end on April 1, 2017.

The Company operates principally in two segments: (1) factory-built housing, which includes wholesale and retail systems-built housing operations, and (2) financial services, which includes manufactured housing consumer finance and insurance. The Company designs and builds a wide variety of affordable modular homes, manufactured homes and park model RVs in 19 factories located throughout the United States, which are sold to a network of independent retailers, through the Company's 45 Company-owned retail stores and to community owners and developers. Our financial services group is comprised of a mortgage subsidiary, CountryPlace Acceptance Corp. ("CountryPlace"), and an insurance subsidiary, Standard Casualty Co. ("Standard Casualty"). CountryPlace is an approved Federal National Mortgage Association ("FNMA" or "Fannie Mae") and Federal Home Loan Mortgage Corporation ("FHLMC" or "Freddie Mac") seller/servicer, and a Government National Mortgage Association ("GNMA" or "Ginnie Mae") mortgage backed securities issuer which offers conforming mortgages, non-conforming mortgages and chattel loans to purchasers of factory-built and site-built homes. Standard Casualty provides property and casualty insurance to owners of manufactured homes.

Recent Accounting Pronouncements. In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"), which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The standard requires entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance also includes a cohesive set of disclosure requirements intended to provide users of financial statements with comprehensive information about the nature, amount, timing and uncertainty of revenue and cash flows arising from a company's contracts with customers. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which deferred the effective date of the new revenue standard. Accordingly, the updated standard is effective for us beginning with the first quarter of the Company's fiscal year 2019, with early application permitted in fiscal year 2018. The standard allows for either "full retrospective" adoption, meaning the standard is applied to all of the periods presented, or "modified retrospective" adoption, meaning the standard is applied only to the most current period presented in the financial statements. The Company is currently evaluating the effect ASU 2014-09 will have on the Company's Consolidated Financial Statements and disclosures.

In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ("ASU 2015-17"). ASU 2015-17 will be effective beginning with the Company's fiscal year 2019 annual report and interim periods thereafter, with early adoption permitted. In this update, entities are required to present all deferred tax liabilities and assets as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. The standard can be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. As this standard impacts presentation only, the adoption of ASU 2015-17 is not expected to have an impact on the Company's financial condition, results of operations or cash flows.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2019. The amendments require certain equity investments to be measured at fair value, with changes in the fair value recognized through net income. The Company is currently evaluating the effect ASU 2016-01 will have on the Company's Consolidated Financial Statements and disclosures.

In February 2016, the FASB issued ASU 2016-02, Leases(Topic 842) ("ASU 2016-02"). ASU 2016-02 will be effective beginning with the first quarter of the Company's fiscal year 2020, with early adoption permitted. The amendments require the recognition of lease assets and lease liabilities on the balance sheet for most leases, but recognize expenses in the income statement in a manner similar to current accounting treatment. In addition, disclosures of key information about leasing arrangements are required. Upon adoption, leases will be recognized and measured at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently evaluating the effect ASU 2016-02 will have on the Company's Consolidated Financial Statements and disclosures.

In March 2016, the FASB issued ASU 2016-09, Compensation- Stock Compensation(Topic 718) ("ASU 2016-09"). ASU 2016-09 will be effective beginning with the first quarter of the Company's fiscal year 2018, with early adoption permitted. The amendment simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The Company is currently evaluating the effect ASU 2016-09 will have on the Company's Consolidated Financial Statements and disclosures.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 changes the impairment model for most financial assets and certain other instruments, which requires a new forward-looking impairment model based on expected losses rather than incurred losses. The guidance also requires increased disclosures. ASU 2016-01 will be effective beginning with the first quarter of the Company's fiscal year 2021. The Company is currently evaluating the effect ASU 2016-13 will have on the Company's Consolidated Financial Statements and disclosures.

From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted by the Company as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's Consolidated Financial Statements upon adoption.

For a description of other significant accounting policies used by the Company in the preparation of its Consolidated Financial Statements, please refer to Note 1 of the Notes to Consolidated Financial Statements in the Form 10-K.

Fair Value of Financial Instruments

ASC 825, Financial Instruments ("ASC 825"), requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate fair value. Fair value estimates are made as of a specific point in time based on the characteristics of the financial instruments and the relevant market information. Where available, quoted market prices are used. In other cases, fair values are based on estimates using other valuation techniques. These techniques involve uncertainties and are significantly affected by the assumptions used and the judgments made regarding risk characteristics of various financial instruments, discount rates, estimates of future cash flows, future expected loss experience and other factors. Changes in assumptions could significantly affect these estimates and the resulting fair values. Derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in an immediate sale of the instrument. Also, because of differences in methodologies and assumptions used to estimate fair values, the Company's fair values should not be compared to those of other companies.

Under ASC 825, fair value estimates are based on existing financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Accordingly, the aggregate fair value amounts presented do not represent the underlying market value of the Company.

Revenue Recognition, Interest [Policy Text Block]

As of the date of the Palm Harbor acquisition, management evaluated consumer loans receivable held for investment by CountryPlace to determine whether there was evidence of deterioration of credit quality and if it was probable that CountryPlace would be unable to collect all amounts due according to the loans' contractual terms. The Company also considered expected prepayments and estimated the amount and timing of undiscounted expected principal, interest and other cash flows. The Company determined the excess of the loan pool's scheduled contractual principal and contractual interest payments over all cash flows expected as of the date of the Palm Harbor transaction as an amount that cannot be accreted into interest income (the non-accretable difference). The cash flow expected to be collected in excess of the carrying value of the acquired loans is accreted into interest income over the remaining life of the loans (referred to as accretable yield). Interest income on consumer loans receivable is recognized as net revenue.

Asset Impairment

The Company records impairment losses on long-lived assets held for sale when the fair value of such long-lived assets is below their carrying values. The Company records impairment charges on long-lived assets used in operations when events and circumstances indicate that long-lived assets might be impaired and the undiscounted cash flows estimated to be generated by those assets are less than their carrying amounts. No impairment charges were recorded during the three months ended July 2, 2016.

Property, Plant and Equipment, Policy [Policy Text Block]

Property, plant and equipment are carried at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of each asset. Estimated useful lives for significant classes of assets are as follows: (i) buildings and improvements, 10 to 39 years, and (ii) machinery and equipment, 3 to 25 years. Repairs and maintenance charges are expensed as incurred.

Goodwill and Other Intangibles

Intangible assets principally consist of goodwill, trademarks and trade names, state insurance licenses, customer relationships, and other, which includes technology, insurance policies and renewal rights and other. Goodwill, trademarks and trade names and state insurance licenses are indefinite-lived intangible assets and are evaluated for impairment annually and whenever events or circumstances indicate that more likely than not impairment has occurred. During the three months ended July 2, 2016 and June 27, 2015, no impairment expense was recorded. Finite-lived intangibles are amortized over their estimated useful lives on a straight-line basis and are reviewed for possible impairment whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. The value of customer relationships is amortized over 4 to 15 years and other intangibles over 7 to 15 years.

Extended Product Warranty, Policy [Policy Text Block]

Homes are generally warranted against manufacturing defects for a period of one year commencing at the time of sale to the retail customer. Estimated costs relating to home warranties are recorded at the date of sale. The Company has recorded a liability for estimated future warranty costs relating to homes sold based upon management's assessment of historical experience factors, an estimate of the amount of homes in the distribution channel and current industry trends.

Net Income Per Share

Basic earnings per common share is computed based on the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per common share is computed based on the combination of dilutive common share equivalents, comprised of shares issuable under the Company's stock-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. Dilutive common share equivalents include the dilutive effect of in-the-money options to purchase shares, which is calculated based on the average share price for each period using the treasury stock method.

Debt, Policy [Policy Text Block]

The Company acquired CountryPlace's securitized financings during the first quarter of fiscal year 2012 as a part of the Palm Harbor acquisition. Acquired securitized financings were recorded at fair value at the time of acquisition, which resulted in a discount, and subsequently are accounted for in a manner similar to ASC 310-30 to accrete the discount.

The Company considers expected prepayments and estimates the amount and timing of undiscounted expected principal, interest and other cash flows for securitized consumer loans receivable held for investment to determine the expected cash flows on securitized financings and the contractual payments. The amount of contractual principal and contractual interest payments due on the securitized financings in excess of all cash flows expected as of the date of the Palm Harbor acquisition cannot be accreted into interest expense (the non-accretable difference). The remaining amount is accreted into interest expense over the remaining life of the obligation (referred to as accretable yield).

Commitments and Contingencies, Policy [Policy Text Block]

Repurchase Contingencies. The Company is contingently liable under terms of repurchase agreements with financial institutions providing inventory financing for independent retailers of its products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to retailers in the event of default by the retailer. The risk of loss under these agreements is spread over numerous retailers. The price the Company is obligated to pay generally declines over the period of the agreement (generally 18 to 36 months, calculated from the date of sale to the retailer) and the risk of loss is further reduced by the resale value of the repurchased homes.

Representations and Warranties of Mortgages Sold [Policy Text Block]

Representations and Warranties of Mortgages Sold. CountryPlace sells loans to GSEs and whole-loan purchasers. In connection with these activities, CountryPlace provides to the GSEs and whole-loan purchasers representations and warranties related to the loans sold. These representations and warranties generally relate to the ownership of the loan, the validity of the lien securing the loan, the loan's compliance with the criteria for inclusion in the sale transactions, including compliance with underwriting standards or loan criteria established by the buyer, and CountryPlace's ability to deliver documentation in compliance with applicable laws. Generally, representations and warranties may be enforced at any time over the life of the loan. Upon a breach of a representation, CountryPlace may be required to repurchase the loan or to indemnify a party for incurred losses. Repurchase demands and claims for indemnification payments are reviewed on a loan-by-loan basis to validate if there has been a breach requiring repurchase. CountryPlace manages the risk of repurchase through underwriting and quality assurance practices and by servicing the mortgage loans to investor standards. CountryPlace maintains a reserve for these contingent repurchase and indemnification obligations. This reserve of $816,000 and $785,000 as of July 2, 2016 and April 2, 2016, respectively, included in accrued liabilities, reflects management's estimate of probable loss. CountryPlace considers a variety of assumptions, including borrower performance (both actual and estimated future defaults), historical repurchase demands and loan defect rates to estimate the liability for loan repurchases and indemnifications.

Derivatives

Interest Rate Lock Commitments. In originating loans for sale, CountryPlace issues interest rate lock commitments ("IRLCs") to prospective borrowers and third-party originators. These IRLCs represent an agreement to extend credit to a loan applicant, or an agreement to purchase a loan from a third-party originator, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind CountryPlace to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The loan commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, CountryPlace is subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs unless the commitment is successfully paired with another loan that may mitigate losses from fallout.

As of July 2, 2016, CountryPlace had outstanding IRLCs with a notional amount of $5.8 million and are recorded at fair value in accordance with ASC 815, Derivatives and Hedging ("ASC 815"). ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair values of IRLCs are recorded in other assets in the consolidated balance sheets. The fair value of IRLCs is based on the value of the underlying mortgage loan adjusted for: (i) estimated cost to complete and originate the loan and (ii) the estimated percentage of IRLCs that will result in closed mortgage loans. The initial and subsequent changes in the value of IRLCs are a component of gain (loss) on mortgage loans held for sale. During the three months ended July 2, 2016, CountryPlace recognized gains of $28,000 on the outstanding IRLCs. During the three months ended June 27, 2015, CountryPlace recognized losses of $18,000 on the outstanding IRLCs.

Forward Sales Commitments. CountryPlace manages the risk profiles of a portion of its outstanding IRLCs and mortgage loans held for sale by entering into forward sales of mortgage backed securities ("MBS") and whole loan sale commitments. As of July 2, 2016, CountryPlace had $23.9 million in outstanding notional forward sales of MBSs and forward sales commitments. Commitments to forward sales of whole loans are typically in an amount proportionate with the amount of IRLCs expected to close in particular time frames, assuming no change in mortgage interest rates, for the respective loan products intended for whole loan sale.

The estimated fair values of forward sales of MBS and forward sale commitments are based on quoted market values and are recorded within other current assets in the consolidated balance sheets.

Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]

The Company maintains stock incentive plans whereby stock option grants or awards of restricted stock may be made to certain officers, directors and key employees. As of July 2, 2016, the plans, which are shareholder approved, permit the award of up to 1,650,000 shares of the Company's common stock, of which 435,706 shares were still available for grant. When options are exercised, new shares of the Company's common stock are issued. Stock options may not be granted below 100% of the fair market value of the Company's common stock at the date of grant and generally expire seven years from the date of grant. Stock options and awards of restricted stock typically vest over a one to five year period as determined by the plan administrator (the Compensation Committee of the Board of Directors, which consists of independent directors). The stock incentive plans provide for accelerated vesting of stock options upon a change in control (as defined in the plans).

Fair Value Measurement

In accordance with ASC 820, Fair Value Measurements and Disclosures ("ASC 820"), fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

Level 1 –	Quoted prices in active markets for identical assets or liabilities.
Level 2 –	Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
Level 3 –	Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities.

When the Company uses observable market prices for identical securities that are traded in less active markets, it classifies such securities as Level 2. When observable market prices for identical securities are not available, the Company prices its marketable debt instruments using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. Non-binding market consensus prices are based on the proprietary valuation models of pricing providers or brokers. These valuation models incorporate a number of inputs, including non-binding and binding broker quotes; observable market prices for identical or similar securities; and the internal assumptions of pricing providers or brokers that use observable market inputs and, to a lesser degree, unobservable market inputs.

Fair Value Transfer

The Company's policy regarding the recording of transfers between levels is to record any such transfers at the end of the reporting period.

Transfers and Servicing of Financial Assets, Transfers of Financial Assets, Servicing of Financial Assets

Mortgage Servicing. Mortgage Servicing Rights ("MSRs") are the rights to receive a portion of the interest coupon and fees collected from the mortgagors for performing specified mortgage servicing activities, which consist of collecting loan payments, remitting principal and interest payments to investors, managing escrow accounts, performing loss mitigation activities on behalf of investors and otherwise administering the loan servicing portfolio. MSRs are initially recorded at fair value. Changes in fair value subsequent to the initial capitalization are recorded in the Company's results of operations. The Company recognizes MSRs on all loans sold to investors that meet the requirements for sale accounting and for which servicing rights are retained.

The Company applies fair value accounting to MSRs, with all changes in fair value recorded to net revenue in accordance with ASC 860-50, Servicing Assets and Liabilities. The fair value of MSRs is based on the present value of the expected future cash flows related to servicing these loans. The revenue components of the cash flows are servicing fees, interest earned on custodial accounts and other ancillary income. The expense components include operating costs related to servicing the loans (including delinquency and foreclosure costs) and interest expenses on servicer advances that the Company believes are consistent with the assumptions major market participants use in valuing MSRs. The expected cash flows are primarily impacted by prepayment estimates, delinquencies and market discounts. Generally, the value of MSRs is expected to increase when interest rates rise and decrease when interest rates decline, due to the effect those changes in interest rates have on prepayment estimates.

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Capital Leases (Policies)

3 Months Ended

Jul. 02, 2016

Capital Leased Assets [Line Items]

Lease, Policy [Policy Text Block]

On May 1, 2015, in connection with the purchase of Fairmont Homes, the Company entered into a five-year lease covering the manufacturing facilities and land in Montevideo, Minnesota, which is accounted for as a capital lease. At the end of the lease term, the landlord has the option to require the Company to purchase the leased premises at a specified price. If the landlord does not exercise this option, the Company may purchase the facilities at the termination of the lease for that price.

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Restricted Cash (Tables)

3 Months Ended

Jul. 02, 2016

Cash and Cash Equivalents [Abstract]

Summary of restricted cash

Restricted cash consists of the following (in thousands):

	July 2, 2016		April 2, 2016
Cash related to CountryPlace customer payments to be remitted to third parties	$	8,651	$	8,419
Cash related to CountryPlace customer payments on securitized loans to be remitted to bondholders	1,381		1,747
Cash related to workers' compensation insurance held in trust	728		728
Other restricted cash	470		406
	$	11,230	$	11,300

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Investments (Tables)

3 Months Ended

Jul. 02, 2016

Investments, Debt and Equity Securities [Abstract]

Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]

Investments

Investments consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Available-for-sale investment securities	$	23,763	$	24,247
Non-marketable equity investments	14,764		14,841
	$	38,527	$	39,088

The following tables summarize the Company's available-for-sale investment securities, gross unrealized gains and losses and fair value, aggregated by investment category (in thousands):

	July 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	650	$	1	$	—		$	651
Residential mortgage-backed securities	5,680		19		(49		)	5,650
State and political subdivision debt securities	7,914		291		(65		)	8,140
Corporate debt securities	911		8		(3		)	916
Marketable equity securities	5,619		2,138		(351		)	7,406
Certificates of deposit	1,000		—		—			1,000
	$	21,774	$	2,457	$	(468	)	$	23,763

	April 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	1,002	$	—	$	(3	)	$	999
Residential mortgage-backed securities	5,866		13		(60		)	5,819
State and political subdivision debt securities	7,231		239		(49		)	7,421
Corporate debt securities	1,166		4		(6		)	1,164
Marketable equity securities	5,882		2,374		(412		)	7,844
Certificates of deposit	1,000		—		—			1,000
	$	22,147	$	2,630	$	(530	)	$	24,247

The following tables show the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands):

	July 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	3,036	$	(18	)	$	493	$	(31	)	$	3,529	$	(49	)
State and political subdivision debt securities	1,852		(29		)	1,734		(36		)	3,586		(65		)
Corporate debt securities	—		—			249		(3		)	249		(3		)
Marketable equity securities	1,792		(247		)	184		(104		)	1,976		(351		)
	$	6,680	$	(294	)	$	2,660	$	(174	)	$	9,340	$	(468	)

	April 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
U.S. Treasury and government debt securities	$	—	$	—		$	699	$	(3	)	$	699	$	(3	)
Residential mortgage-backed securities	3,436		(27		)	898		(33		)	4,334		(60		)
State and political subdivision debt securities	1,865		(29		)	1,257		(20		)	3,122		(49		)
Corporate debt securities	763		(6		)	—		—			763		(6		)
Marketable equity securities	1,780		(324		)	152		(88		)	1,932		(412		)
	$	7,844	$	(386	)	$	3,006	$	(144	)	$	10,850	$	(530	)

Based on the Company's ability and intent to hold the investments for a reasonable period of time sufficient for a forecasted recovery of fair value, the Company does not consider any investments to be other-than-temporarily impaired at July 2, 2016.

As of July 2, 2016, the Company's investments in marketable equity securities consist of investments in common stock of industrial and other companies ($7.3 million of the total fair value and $348,000 of the total unrealized losses) and bank trust, insurance and public utility companies ($100,000 of the total fair value and $3,000 of the total unrealized losses).

As of April 2, 2016, the Company's investments in marketable equity securities consisted of investments in common stock of industrial and other companies ($7.7 million of the total fair value and $409,000 of the total unrealized losses) and bank trust, insurance and public utility companies ($100,000 of the total fair value and $3,000 of the total unrealized losses).

The amortized cost and fair value of the Company's investments in debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	July 2, 2016
	Amortized Cost		Fair Value
Due in less than one year	$	1,015	$	1,013
Due after one year through five years	3,199		3,216
Due after five years through ten years	3,680		3,628
Due after ten years	7,261		7,500
	$	15,155	$	15,357

Realized gains and losses from the sale of securities are determined using the specific identification method. Gross gains realized on the sales of investment securities for the three months ended July 2, 2016 were approximately $453,000. Gross losses realized were approximately $149,000 for the three months ended July 2, 2016. Gross gains realized on the sales of investment securities for the three months ended June 27, 2015 were approximately $180,000. Gross losses realized were approximately $46,000 for the three months ended June 27, 2015.

Schedule of Investments [Table Text Block]

Investments consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Available-for-sale investment securities	$	23,763	$	24,247
Non-marketable equity investments	14,764		14,841
	$	38,527	$	39,088

Available-for-Sale Securities by Investment Category

The following tables summarize the Company's available-for-sale investment securities, gross unrealized gains and losses and fair value, aggregated by investment category (in thousands):

	July 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	650	$	1	$	—		$	651
Residential mortgage-backed securities	5,680		19		(49		)	5,650
State and political subdivision debt securities	7,914		291		(65		)	8,140
Corporate debt securities	911		8		(3		)	916
Marketable equity securities	5,619		2,138		(351		)	7,406
Certificates of deposit	1,000		—		—			1,000
	$	21,774	$	2,457	$	(468	)	$	23,763

	April 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury and government debt securities	$	1,002	$	—	$	(3	)	$	999
Residential mortgage-backed securities	5,866		13		(60		)	5,819
State and political subdivision debt securities	7,231		239		(49		)	7,421
Corporate debt securities	1,166		4		(6		)	1,164
Marketable equity securities	5,882		2,374		(412		)	7,844
Certificates of deposit	1,000		—		—			1,000
	$	22,147	$	2,630	$	(530	)	$	24,247

Investment Securities in a Continuous Unrealized Loss Position

The following tables show the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands):

	July 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	3,036	$	(18	)	$	493	$	(31	)	$	3,529	$	(49	)
State and political subdivision debt securities	1,852		(29		)	1,734		(36		)	3,586		(65		)
Corporate debt securities	—		—			249		(3		)	249		(3		)
Marketable equity securities	1,792		(247		)	184		(104		)	1,976		(351		)
	$	6,680	$	(294	)	$	2,660	$	(174	)	$	9,340	$	(468	)

	April 2, 2016
	Less than 12 Months					12 Months or Longer					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
U.S. Treasury and government debt securities	$	—	$	—		$	699	$	(3	)	$	699	$	(3	)
Residential mortgage-backed securities	3,436		(27		)	898		(33		)	4,334		(60		)
State and political subdivision debt securities	1,865		(29		)	1,257		(20		)	3,122		(49		)
Corporate debt securities	763		(6		)	—		—			763		(6		)
Marketable equity securities	1,780		(324		)	152		(88		)	1,932		(412		)
	$	7,844	$	(386	)	$	3,006	$	(144	)	$	10,850	$	(530	)

Contractual Maturity of Investment Securities

The amortized cost and fair value of the Company's investments in debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	July 2, 2016
	Amortized Cost		Fair Value
Due in less than one year	$	1,015	$	1,013
Due after one year through five years	3,199		3,216
Due after five years through ten years	3,680		3,628
Due after ten years	7,261		7,500
	$	15,155	$	15,357

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Inventories (Tables)

3 Months Ended

Jul. 02, 2016

Inventory Disclosure [Abstract]

Summary of inventories

Inventories consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Raw materials	$	29,403	$	28,764
Work in process	11,079		10,755
Finished goods and other	54,314		55,294
	$	94,796	$	94,813

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Consumer Loans Receivable (Tables)

3 Months Ended

Jul. 02, 2016

Apr. 02, 2016

Receivables [Abstract]

Consumer Loans Receivable

The following table summarizes consumer loans receivable (in thousands):

	July 2, 2016			April 2, 2016
Loans held for investment (acquired on Palm Harbor Acquisition Date)	$	66,968		$	68,951
Loans held for investment (originated after Palm Harbor Acquisition Date)	6,236			6,120
Loans held for sale	10,388			8,765
Construction advances	5,685			6,566
Consumer loans receivable	89,277			90,402
Deferred financing fees and other, net	(843		)	(844		)
Consumer loans receivable, net	$	88,434		$	89,558

Acquired Consumer Loans Receivable Held for Investment

	July 2, 2016			April 2, 2016
	(in thousands)
Consumer loans receivable held for investment – contractual amount	$	161,570		$	166,793
Purchase discount
Accretable	(66,284		)	(69,053		)
Non-accretable	(27,987		)	(28,536		)
Less consumer loans receivable reclassified as other assets	(331		)	(253		)
Total acquired consumer loans receivable held for investment, net	$	66,968		$	68,951

Accretable Yield Movement on Acquired Consumer Loans Receivable

The changes in accretable yield on acquired consumer loans receivable held for investment were as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at the beginning of the period	$	69,053		$	73,202
Accretion	(2,515		)	(2,751		)
Reclassifications from non-accretable discount	(254		)	(190		)
Balance at the end of the period	$	66,284		$	70,261

Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score

The following table disaggregates CountryPlace's gross consumer loans receivable for each class by portfolio segment and credit quality indicator as of the time of origination (in thousands):

July 2, 2016
	Consumer Loans Held for Investment
	Securitized 2005		Securitized 2007		Unsecuritized		Construction Advances		Consumer Loans Held For Sale		Total
Asset Class
Credit Quality Indicator (FICO® score)
Chattel loans
0-619	$	758	$	515	$	324	$	—	$	42	$	1,639
620-719	12,844		8,811		3,795		—		46		25,496
720+	14,135		9,055		2,304		—		754		26,248
Other	54		—		443		—		—		497
Subtotal	27,791		18,381		6,866		—		842		53,880
Conforming mortgages
0-619	—		—		163		135		294		592
620-719	—		—		1,530		3,781		6,438		11,749
720+	—		—		193		1,769		2,814		4,776
Subtotal	—		—		1,886		5,685		9,546		17,117
Non-conforming mortgages
0-619	87		578		1,373		—		—		2,038
620-719	1,350		5,242		3,635		—		—		10,227
720+	1,633		3,348		714		—		—		5,695
Other	—		—		307		—		—		307
Subtotal	3,070		9,168		6,029		—		—		18,267
Other loans
Subtotal	—		—		13		—		—		13
	$	30,861	$	27,549	$	14,794	$	5,685	$	10,388	$	89,277

	April 2, 2016
	Consumer Loans Held for Investment
	Securitized 2005		Securitized 2007		Unsecuritized		Construction Advances		Consumer Loans Held For Sale		Total
Asset Class
Credit Quality Indicator (FICO® score)
Chattel loans
0-619	$	776	$	543	$	336	$	—	$	—	$	1,655
620-719	13,139		9,100		3,683		—		96		26,018
720+	14,751		9,409		2,324		—		215		26,699
Other	55		—		447		—		—		502
Subtotal	28,721		19,052		6,790		—		311		54,874
Conforming mortgages
0-619	—		—		164		95		171		430
620-719	—		—		1,428		3,355		5,847		10,630
720+	—		—		320		3,116		2,436		5,872
Subtotal	—		—		1,912		6,566		8,454		16,932
Non-conforming mortgages
0-619	88		585		1,392		—		—		2,065
620-719	1,365		5,290		3,664		—		—		10,319
720+	1,684		3,382		826		—		—		5,892
Other	—		—		307		—		—		307
Subtotal	3,137		9,257		6,189		—		—		18,583
Other loans
Subtotal	—		—		13		—		—		13
	$	31,858	$	28,309	$	14,904	$	6,566	$	8,765	$	90,402

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Commercial Loans Receivables and Allowance for Loan Loss (Tables)

3 Months Ended

Jul. 02, 2016

Receivables [Abstract]

Inventory Finance Receivables

receivables, net, consist of the following by class of financing notes receivable (in thousands):

	July 2, 2016			April 2, 2016
Direct loans receivable	$	26,085		$	24,392
Participation loans receivable	1,157			1,278
Allowance for loan loss	(135		)	(128		)
	$	27,107		$	25,542

Changes in the Allowance for Loan Losses on Inventory Finance Receivables

he following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan loss applicable to the direct programs (in thousands):

	Three Months Ended
	July 2, 2016		June 27, 2015
Balance at beginning of period	$	128	$	73
Provision for inventory finance credit losses	7		9
Loans charged off, net of recoveries	—		—
Balance at end of period	$	135	$	82

Allowance for Loan Losses and Inventory Finance Receivables By Class Individually and Collectively Evaluated for Impairment

The following table disaggregates commercial loans receivable and the estimated allowance for loan loss for each class of financing receivable by evaluation methodology (in thousands):

	Direct Commercial Loans						Participation Commercial Loans
	July 2, 2016			April 2, 2016			July 2, 2016		April 2, 2016
Inventory finance notes receivable:
Collectively evaluated for impairment	$	13,485		$	12,761		$	—	$	—
Individually evaluated for impairment	12,600			11,631			1,157		1,278
	$	26,085		$	24,392		$	1,157	$	1,278
Allowance for loan loss:
Collectively evaluated for impairment	$	(135	)	$	(128	)	$	—	$	—
Individually evaluated for impairment	—			—			—		—
	$	(135	)	$	(128	)	$	—	$	—

Inventory Finance Receivables by Class and Internal Credit Quality Indicator

The following table disaggregates the Company's inventory finance receivables by class and credit quality indicator (in thousands):

	Direct Commercial Loans				Participation Commercial Loans
	July 2, 2016		April 2, 2016		July 2, 2016		April 2, 2016
Risk profile based on payment activity:
Performing	$	26,085	$	24,392	$	1,157	$	1,278
Watch list	—		—		—		—
Nonperforming	—		—		—		—
	$	26,085	$	24,392	$	1,157	$	1,278

Geographic Concentration of Inventory Finance Receivables in Key States

The Company has concentrations of commercial loans receivable related to factory-built homes located in the following states, measured as a percentage of commercial loans receivables principal balance outstanding:

	July 2, 2016		April 2, 2016
Texas	30.3	%	33.2	%
Arizona	10.7	%	13.3	%

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Property, Plant and Equipment (Tables)

3 Months Ended

Jul. 02, 2016

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

Property, plant and equipment consist of the following (in thousands):

	July 2, 2016			April 2, 2016
Property, plant and equipment, at cost:
Land	$	22,719		$	22,719
Buildings and improvements	33,187			32,230
Machinery and equipment	20,397			19,533
	76,303			74,482
Accumulated depreciation	(20,198		)	(19,410		)
Property, plant and equipment, net	$	56,105		$	55,072

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Accrued Liabilities (Tables)

3 Months Ended

Jul. 02, 2016

Payables and Accruals [Abstract]

Accrued Liabilities

Accrued liabilities consist of the following (in thousands):

	July 2, 2016		April 2, 2016
Unearned insurance premiums	$	16,928	$	15,528
Customer deposits	15,736		14,039
Salaries, wages and benefits	15,702		20,675
Estimated warranties	13,718		13,371
Insurance loss reserves	7,429		5,990
Accrued volume rebates	5,302		4,647
Accrued insurance	3,765		3,969
Company repurchase option on certain loans sold	3,729		3,497
Deferred margin	3,180		2,823
Capital lease obligation	2,344		2,387
Reserve for repurchase commitments	1,741		1,660
Accrued taxes	1,052		1,282
Other	12,077		10,446
	$	102,703	$	100,314

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Warranties (Tables)

3 Months Ended

Jul. 02, 2016

Product Warranties Disclosures [Abstract]

Activity in the liability for estimated warranties

Activity in the liability for estimated warranties was as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at beginning of period	$	13,371		$	9,953
Purchase accounting additions	—			1,111
Charged to costs and expenses	6,136			4,265
Payments and deductions	(5,789		)	(4,272		)
Balance at end of period	$	13,718		$	11,057

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Debt Obligations (Tables)

3 Months Ended

Jul. 02, 2016

Debt Disclosure [Abstract]

Debt Obligations

Debt obligations consist of amounts related to loans sold that did not qualify for loan sale accounting treatment. The following table summarizes debt obligations (in thousands):

	July 2, 2016		April 2, 2016
Acquired securitized financings (acquired as part of the Palm Harbor transaction)
Securitized financing 2005-1	$	26,545	$	27,481
Securitized financing 2007-1	27,957		28,859
Other secured financings	4,965		4,831
Total securitized financings and other, net	$	59,467	$	61,171

Acquired Securitized Financings

The following table summarizes acquired securitized financings (in thousands):

	July 2, 2016			April 2, 2016
Securitized financings – contractual amount	$	65,961		$	68,673
Purchase discount
Accretable	(11,459		)	(12,333		)
Non-accretable (1)	—			—
Total acquired securitized financings, net	$	54,502		$	56,340

(1) There is no non-accretable difference, as the contractual payments on acquired securitized financing are determined by the cash collections from the underlying loans.

Accretable Yield Movement on Acquired Securitized Financings

The changes in accretable yield on securitized financings were as follows (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Balance at the beginning of the period	$	12,333		$	12,128
Accretion	(968		)	(812		)
Adjustment to cash flows	94			(575		)
Balance at the end of the period	$	11,459		$	10,741

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Reinsurance (Tables)

3 Months Ended

Jul. 02, 2016

Insurance [Abstract]

Reinsurance Effect on Premiums Written and Earned

The effects of reinsurance on premiums written and earned are as follows (in thousands):

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Commitments and Contingencies (Tables)

3 Months Ended

Jul. 02, 2016

Repurchase Contingencies [Roll Forward]

Loan Contracts with Off-Balance Sheet Commitments

Loan contracts with off-balance sheet commitments are summarized below (in thousands):

	July 2, 2016			April 2, 2016
Construction loan contract amount	$	15,688		$	15,109
Cumulative advances	(5,685		)	(6,566		)
Remaining construction contingent commitment	$	10,003		$	8,543

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Stockholders' Equity (Tables)

3 Months Ended

Jul. 02, 2016

Stockholders' Equity Note [Abstract]

Schedule of Stockholders Equity

The following table represents changes in stockholders' equity for the three months ended July 2, 2016 (dollars in thousands):

				Additional paid-in capital			Retained earnings		Accumulated other comprehensive income			Total
	Common Stock
	Shares	Amount
Balance, April 2, 2016	8,927,989	$	89	$	241,662		$	110,186	$	1,289		$	353,226
Stock option exercises, including incremental tax benefits	42,325	1		(342		)	—		—			(341		)
Share-based compensation	—	—		370			—		—			370
Net income	—	—		—			5,443		—			5,443
Unrealized loss on Available-for-sale securities	—	—		—			—		(55		)	(55		)
Balance, July 2, 2016	8,970,314	$	90	$	241,690		$	115,629	$	1,234		$	358,643

(1) Other comprehensive income is comprised of unrealized gains and losses on available-for-sale investments. Unrealized losses before tax effect on available-for-sale securities were $112,000 for the three months ended July 2, 2016.

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Stock-Based Compensation (Tables)

3 Months Ended

Jul. 02, 2016

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock Options Activity

The following table summarizes the option activity within the Company's stock-based compensation plans for the three months ended July 2, 2016:

	Number of Shares
Outstanding at April 2, 2016	491,980
Granted	4,000
Exercised	(92,400	)
Canceled or expired	(3,500	)
Outstanding at July 2, 2016	400,080
Exercisable at July 2, 2016	240,125

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Earnings Per Share (Tables)

3 Months Ended

Jul. 02, 2016

Earnings Per Share [Abstract]

Earnings Per Share Computation

The following table sets forth the computation of basic and diluted earnings per share (dollars in thousands, except per share amounts):

	Three Months Ended
	July 2, 2016		June 27, 2015
Net income	$	5,443	$	5,385
Weighted average shares outstanding:
Basic	8,937,265		8,863,648
Common stock equivalents—treasury stock method	147,777		156,613
Diluted	9,085,042		9,020,261
Net income per share:
Basic	$	0.61	$	0.61
Diluted	$	0.60	$	0.60

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Fair Value Measurements (Tables)

3 Months Ended

Jul. 02, 2016

Fair Value Disclosures [Abstract]

Summary of the Fair Value and Carrying Value of Financial Instruments

The book value and estimated fair value of the Company's financial instruments are as follows (in thousands):

	July 2, 2016						April 2, 2016
	Book Value			Estimated Fair Value			Book Value			Estimated Fair Value
Available-for-sale securities (1)	$	23,763		$	23,763		$	24,247		$	24,247
Non-marketable equity investments (2)	14,764			14,764			14,841			14,841
Consumer loans receivable (3)	88,434			125,344			89,558			126,077
Interest rate lock commitment derivatives (4)	36			36			8			8
Forward loan sale commitment derivatives (4)	(75		)	(75		)	(31		)	(31		)
Commercial loans receivable (5)	27,107			27,238			25,542			25,688
Securitized financings (6)	(59,467		)	(58,576		)	(61,171		)	(60,220		)
Mortgage servicing rights (7)	865			865			803			803

Summary of Assets Measured at Fair Value on a Recurring Basis

Financial instruments measured at fair value on a recurring basis are summarized below (in thousands):

	July 2, 2016
	Total			Level 1		Level 2		Level 3
Securities issued by the U.S Treasury and Government (1)	$	651		$	—	$	651	$	—
Mortgage-backed securities (1)	5,650			—		5,650		—
Securities issued by states and political subdivisions (1)	8,140			—		8,140		—
Corporate debt securities (1)	916			—		916		—
Marketable equity securities (1)	7,406			7,406		—		—
Interest rate lock commitment derivatives (2)	36			—		—		36
Forward loan sale commitment derivatives (2)	(75		)	—		—		(75		)
Mortgage servicing rights (3)	865			—		—		865

(1) Unrealized gains or losses on investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

(2) Gains or losses on derivatives are recognized in current period earnings through cost of sales.

(3) Changes in the fair value of mortgage servicing rights are recognized in the current period earnings through net revenue.

Summary of Assets and Liabilities Measured at Fair Value for Disclosure

Financial instruments for which fair value is disclosed but not required to be recognized in the balance sheet on a recurring basis are summarized below (in thousands):

	July 2, 2016
	Total			Level 1		Level 2			Level 3
Loans held for investment	$	108,650		$	—	$	—		$	108,650
Loans held for sale	11,009			—		11,009			—
Loans held—construction advances	5,685			—		—			5,685
Commercial loans receivable	27,238			—		—			27,238
Securitized financings	(58,576		)	—		(58,576		)	—
Non-marketable equity investments	14,764			—		—			14,764

Assumptions for Mortgage Servicing Rights

	July 2, 2016			April 2, 2016
Number of loans serviced with MSRs	3,822			3,728
Weighted average servicing fee (basis points)	30.56			30.43
Capitalized servicing multiple	64.14		%	61.65		%
Capitalized servicing rate (basis points)	19.60			18.76
Serviced portfolio with MSRs (in thousands)	$	441,480		$	428,324
Mortgage servicing rights (in thousands)	$	865		$	803

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Business Segment Information (Tables)

3 Months Ended

Jul. 02, 2016

Segment Reporting [Abstract]

Business Segment Information

The following table details net revenue and income before income taxes by segment (in thousands):

	Three Months Ended
	July 2, 2016			June 27, 2015
Net revenue:
Factory-built housing	$	172,486		$	147,546
Financial services	12,655			14,122
	$	185,141		$	161,668
Income before income taxes:
Factory-built housing	$	10,738		$	8,004
Financial services	(2,308		)	628
	$	8,430		$	8,632

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Basis of Presentation (Principles of Consolidation) (Details)	3 Months Ended
	Jul. 02, 2016 store factories Segment
Business Acquisition [Line Items]
Number of operating segments | Segment	2
Number of operating manufacturing facilities | factories	19
Number of Stores | store	45

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Restricted Cash (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Summary of restricted cash
Restricted cash	$ 10,133	$ 10,218
Restricted cash, Noncurrent	1,097	1,082
Total restricted cash	11,230	11,300
Cash related to CountryPlace customer payments to be remitted to third parties [Member]
Summary of restricted cash
Restricted cash	8,651	8,419
Cash related to CountryPlace customers' principal and interest payments on securitized loans to be remitted to bondholders [Member]
Summary of restricted cash
Restricted cash	1,381	1,747
Cash related to workers' compensation insurance held in trust [Member]
Summary of restricted cash
Restricted cash, Noncurrent	728	728
Other restricted cash [Member]
Summary of restricted cash
Restricted cash, Noncurrent	$ 470	$ 406

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Investments (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Investments, Debt and Equity Securities [Abstract]
Available-for-sale Securities	$ 23,763	$ 24,247
Equity Method Investments	14,764	14,841
Investments	$ 38,527	$ 39,088

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Investments (Details 1) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Available-for-Sale Securities by Investment Category
Amortized Cost - Available-for sale Debt Securities	$ 15,155
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	2,457	$ 2,630
Available-for-sale Securities, Amortized Cost Basis	21,774	22,147
Total Amortized Cost - Available-for-sale Securities	21,774	22,147
Gross Unrealized Losses	468	530
Total Fair Value - Available-for-sale Debt Securities	15,357
Total Fair Value - Available-for-sale Securities	23,763	24,247
Equity Method Investments	14,764	14,841
U.S. Treasury and Government Agencies [Member]
Available-for-Sale Securities by Investment Category
Amortized Cost - Available-for sale Debt Securities	650	1,002
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	1	0
Gross Unrealized Losses	0	3
Total Fair Value - Available-for-sale Debt Securities	651	999
Mortgage-backed securities [Member]
Available-for-Sale Securities by Investment Category
Amortized Cost - Available-for sale Debt Securities	5,680	5,866
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	19	13
Gross Unrealized Losses	49	60
Total Fair Value - Available-for-sale Debt Securities	5,650	5,819
States and political subdivisions [Member]
Available-for-Sale Securities by Investment Category
Amortized Cost - Available-for sale Debt Securities	7,914	7,231
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	291	239
Gross Unrealized Losses	65	49
Total Fair Value - Available-for-sale Debt Securities	8,140	7,421
Corporate debt securities [Member]
Available-for-Sale Securities by Investment Category
Amortized Cost - Available-for sale Debt Securities	911	1,166
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	8	4
Gross Unrealized Losses	3	6
Total Fair Value - Available-for-sale Debt Securities	916	1,164
Marketable equity securities [Member]
Available-for-Sale Securities by Investment Category
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	2,138	2,374
Amortized Cost - Available-for-sale Equity Securities	5,619	5,882
Gross Unrealized Losses	351	412
Total Fair Value - Available-for-sale Equity Securities	7,406	7,844
Certificates of Deposit [Member]
Available-for-Sale Securities by Investment Category
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	0	0
Available-for-sale Securities, Amortized Cost Basis	1,000	1,000
Total Amortized Cost - Available-for-sale Securities	1,000	1,000
Gross Unrealized Losses	0	0
Total Fair Value - Available-for-sale Securities	$ 1,000	$ 1,000

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Investments (Details 2) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	$ 2,457	$ 2,630
Investment Securities in a Continuous Unrealized Loss Position
Less than 12 Months, Fair Value	6,680	7,844
12 Months or Longer, Fair Value	2,660	3,006
Total Fair Value	9,340	10,850
Less than 12 Months, Unrealized Losses	294	386
12 Months or Longer, Unrealized Losses	174	144
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(468)	(530)
U.S. Treasury and Government Agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	1	0
Investment Securities in a Continuous Unrealized Loss Position
Less than 12 Months, Fair Value		0
12 Months or Longer, Fair Value		699
Total Fair Value		699
Less than 12 Months, Unrealized Losses		0
12 Months or Longer, Unrealized Losses		3
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	0	(3)
Mortgage-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	19	13
Investment Securities in a Continuous Unrealized Loss Position
Less than 12 Months, Fair Value	3,036	3,436
12 Months or Longer, Fair Value	493	898
Total Fair Value	3,529	4,334
Less than 12 Months, Unrealized Losses	18	27
12 Months or Longer, Unrealized Losses	31	33
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(49)	(60)
States and political subdivisions [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	291	239
Investment Securities in a Continuous Unrealized Loss Position
Less than 12 Months, Fair Value	1,852	1,865
12 Months or Longer, Fair Value	1,734	1,257
Total Fair Value	3,586	3,122
Less than 12 Months, Unrealized Losses	29	29
12 Months or Longer, Unrealized Losses	36	20
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(65)	(49)
Corporate Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	8	4
Investment Securities in a Continuous Unrealized Loss Position
Less than 12 Months, Fair Value	0	763
12 Months or Longer, Fair Value	249	0
Total Fair Value	249	763
Less than 12 Months, Unrealized Losses	0	6
12 Months or Longer, Unrealized Losses	3	0
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(3)	(6)
Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	2,138	2,374
Investment Securities in a Continuous Unrealized Loss Position
Less than 12 Months, Fair Value	1,792	1,780
12 Months or Longer, Fair Value	184	152
Total Fair Value	1,976	1,932
Less than 12 Months, Unrealized Losses	247	324
12 Months or Longer, Unrealized Losses	104	88
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	$ (351)	$ (412)

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Investments (Details 3) $ in Thousands	Jul. 02, 2016 USD ($)
Contractual Maturity of Investment Securities
Due in less than one year, Amortized Cost	$ 1,015
Due after one year through five years, Amortized Cost	3,199
Due after five years through ten years, Amortized Cost	3,680
Due after ten years, Amortized Cost	7,261
Total Amortized Cost	15,155
Due in less than one year, Fair Value	1,013
Due after one year through five years, Fair Value	3,216
Due after five years through ten years, Fair Value	3,628
Due after ten years, Fair Value	7,500
Total Fair Value - Available-for-sale Debt Securities	$ 15,357

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Investments (Details Textual) - USD ($)	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015	Apr. 02, 2016
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	$ (2,457,000)		$ (2,630,000)
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	468,000		530,000
Investments (Textual) [Abstract]
Value of investments to be other-than-temporarily impaired	0
Gross gains realized	453,000	$ 180,000
Gross losses realized	(149,000)	$ 46,000
US Treasury and Government [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax	(1,000)		0
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	0		3,000
Common stock of industrial and other companies [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value	7,306,000		7,744,000
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	(348,000)		(409,000)
Common stock of bank trust, insurance, and public utility companies [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value	100,000		100,000
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	$ (3,000)		$ (3,000)

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Inventories (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Summary of inventories
Raw materials	$ 29,403	$ 28,764
Work in process	11,079	10,755
Finished goods and other	54,314	55,294
Total Inventories	$ 94,796	$ 94,813

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Consumer Loans Receivable (Summary of Consumer Loans Receivable) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Apr. 02, 2016	Jun. 27, 2015
Consumer Loans Receivable
Loans held for investment (acquired on Palm Harbor Acquisition Date)	$ 66,968	$ 68,951
Loans held for investment (originated after Palm Harbor Acquisition Date)	6,236	6,120
Loans held for sale	10,388	8,765
Loans and Leases Receivable, Gross, Consumer, Construction	5,685	6,566
Consumer loans receivable	89,277	90,402
Deferred financing fees and other, net	(843)	(844)
Consumer loans receivable, net	$ 88,434	$ 89,558
Fair Value Inputs, Prepayment Rate	13.00%	13.00%
Weighted average contractual interest rate	9.00%		9.10%
Fair Value Inputs, Probability of Default	1.00%	1.00%
Weighted average effective interest rate	9.30%		9.40%
Weighted average months to maturity	168 months		170 months
Sensitivity Analysis, Change in Default Rate	$ 5,800

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Consumer Loans Receivable (Summary of Acquired Loans Receivable) (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016	Jun. 27, 2015	Mar. 28, 2015
Acquired Consumer Loans Receivable Held for Investment
Consumer loans receivable held for investment - contractual amount	$ 161,570	$ 166,793
Purchase discount, accretable	66,284	69,053	$ 70,261	$ 73,202
Purchase discount, non-accretable	27,987	28,536
Less consumer loans receivable reclassified as other assets	331	253
Total acquired consumer loans receivable held for investment, net	$ 66,968	$ 68,951

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Consumer Loans Receivable (Changes in Accretable Yield on Acquired Loans Receivable) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Accretable Yield Movement on Acquired Consumer Loans Receivable
Balance at the beginning of the period	$ 69,053	$ 73,202
Accretion	(2,515)	(2,751)
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference	(254)	(190)
Balance at the end of the period	$ 66,284	$ 70,261

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Consumer Loans Receivable (Narrative) (Details) $ in Thousands	3 Months Ended
	Jul. 02, 2016 USD ($) Score	Apr. 02, 2016 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	$ 89,277	$ 90,402
Mortgage Loans on Real Estate, Foreclosures	$ 370	340
Credit scores at time of loan origination | Score	3
Percentage concentration of consumer loans receivable	10.00%
Real Estate Acquired Through Foreclosure	$ 953	707
Other states with concentrations greater than minimum	0
TEXAS
Accounts, Notes, Loans and Financing Receivable [Line Items]
Consumer Loans Receivable Geographical Concentration Percentage	39.00%
Consumer Loans Held for Investment, Unsecuritized [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Fair Value Measurements, Sensitivity Analysis, Description	0.01
Chattel Loans Range Four [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	$ 497	502
Consumer, Loans Held for Sale [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	$ 10,388	$ 8,765

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Consumer Loans Receivable (Consumer Loan Receivables by Segment and Credit Quality Indicator) (Details) $ in Thousands	3 Months Ended
	Jul. 02, 2016 USD ($) Credit_Quality_Indicator	Jun. 27, 2015 USD ($)	Apr. 02, 2016 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Sensitivity Analysis, Change in Prepayment Rate	$ 2,300
Sensitivity Analysis, Change in Default Rate	5,800
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference	(254)	$ (190)
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 89,277		$ 90,402
Loans and Leases Receivable, Geographic Territories of Business	0
Chattel Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 53,880		54,874
Chattel Loans Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 1,639		1,655
Chattel Loans Range One [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	0
Chattel Loans Range One [Member] | Maximum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	619
Chattel Loans Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 25,496		26,018
Chattel Loans Range Two [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	620
Chattel Loans Range Two [Member] | Maximum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	719
Chattel Loans Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 26,248		26,699
Chattel Loans Range Three [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	720
Chattel Loans Range Four [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 497		502
Conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	17,117		16,932
Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 592		430
Conforming Mortgages Range One [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	0
Conforming Mortgages Range One [Member] | Maximum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	619
Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 11,749		10,630
Conforming Mortgages Range Two [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	620
Conforming Mortgages Range Two [Member] | Maximum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	719
Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 4,776		5,872
Conforming Mortgages Range Three [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	720
Non-conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 18,267		18,583
Non Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 2,038		2,065
Non Conforming Mortgages Range One [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	0
Non Conforming Mortgages Range One [Member] | Maximum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	619
Non Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 10,227		10,319
Non Conforming Mortgages Range Two [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	620
Non Conforming Mortgages Range Two [Member] | Maximum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	719
Non Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 5,695		5,892
Non Conforming Mortgages Range Three [Member] | Minimum [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Asset class credit quality indicator | Credit_Quality_Indicator	720
Non Conforming Mortgages Range Four [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 307		307
Other Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	13		13
Loans Securitized 2005 [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	30,861		31,858
Loans Securitized 2005 [Member] | Chattel Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	27,791		28,721
Loans Securitized 2005 [Member] | Chattel Loans Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	758		776
Loans Securitized 2005 [Member] | Chattel Loans Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	12,844		13,139
Loans Securitized 2005 [Member] | Chattel Loans Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	14,135		14,751
Loans Securitized 2005 [Member] | Chattel Loans Range Four [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	54		55
Loans Securitized 2005 [Member] | Conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2005 [Member] | Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2005 [Member] | Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2005 [Member] | Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2005 [Member] | Non-conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	3,070		3,137
Loans Securitized 2005 [Member] | Non Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	87		88
Loans Securitized 2005 [Member] | Non Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	1,350		1,365
Loans Securitized 2005 [Member] | Non Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	1,633		1,684
Loans Securitized 2005 [Member] | Other Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2007 [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	27,549		28,309
Loans Securitized 2007 [Member] | Chattel Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	18,381		19,052
Loans Securitized 2007 [Member] | Chattel Loans Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	515		543
Loans Securitized 2007 [Member] | Chattel Loans Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	8,811		9,100
Loans Securitized 2007 [Member] | Chattel Loans Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	9,055		9,409
Loans Securitized 2007 [Member] | Conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2007 [Member] | Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2007 [Member] | Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2007 [Member] | Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Securitized 2007 [Member] | Non-conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	9,168		9,257
Loans Securitized 2007 [Member] | Non Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	578		585
Loans Securitized 2007 [Member] | Non Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	5,242		5,290
Loans Securitized 2007 [Member] | Non Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	3,348		3,382
Loans Securitized 2007 [Member] | Other Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Loans Unsecuritized [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	14,794		14,904
Loans Unsecuritized [Member] | Chattel Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	6,866		6,790
Loans Unsecuritized [Member] | Chattel Loans Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	324		336
Loans Unsecuritized [Member] | Chattel Loans Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	3,795		3,683
Loans Unsecuritized [Member] | Chattel Loans Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	2,304		2,324
Loans Unsecuritized [Member] | Chattel Loans Range Four [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	443		447
Loans Unsecuritized [Member] | Conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	1,886		1,912
Loans Unsecuritized [Member] | Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	163		164
Loans Unsecuritized [Member] | Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	1,530		1,428
Loans Unsecuritized [Member] | Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	193		320
Loans Unsecuritized [Member] | Non-conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	6,029		6,189
Loans Unsecuritized [Member] | Non Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	1,373		1,392
Loans Unsecuritized [Member] | Non Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	3,635		3,664
Loans Unsecuritized [Member] | Non Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	714		826
Loans Unsecuritized [Member] | Non Conforming Mortgages Range Four [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	307		307
Loans Unsecuritized [Member] | Other Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	13		13
Construction Advances [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	5,685		6,566
Construction Advances [Member] | Chattel Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Chattel Loans Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Chattel Loans Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Chattel Loans Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	5,685		6,566
Construction Advances [Member] | Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	135		95
Construction Advances [Member] | Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	3,781		3,355
Construction Advances [Member] | Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	1,769		3,116
Construction Advances [Member] | Non-conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Non Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Non Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Non Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Construction Advances [Member] | Other Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Consumer Loans Held For Sale [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	10,388		8,765
Consumer Loans Held For Sale [Member] | Chattel Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	842		311
Consumer Loans Held For Sale [Member] | Chattel Loans Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	42		0
Consumer Loans Held For Sale [Member] | Chattel Loans Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	46		96
Consumer Loans Held For Sale [Member] | Chattel Loans Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	754		215
Consumer Loans Held For Sale [Member] | Conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	9,546		8,454
Consumer Loans Held For Sale [Member] | Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	294		171
Consumer Loans Held For Sale [Member] | Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	6,438		5,847
Consumer Loans Held For Sale [Member] | Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	2,814		2,436
Consumer Loans Held For Sale [Member] | Non-conforming Mortgages [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Consumer Loans Held For Sale [Member] | Non Conforming Mortgages Range One [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Consumer Loans Held For Sale [Member] | Non Conforming Mortgages Range Two [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Consumer Loans Held For Sale [Member] | Non Conforming Mortgages Range Three [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	0		0
Consumer Loans Held For Sale [Member] | Other Loans [Member]
Gross Consumer Loans Receivable by Portfolio Segment and Credit Risk Score
Consumer loans receivable	$ 0		$ 0

XML

Commercial Loans Receivables and Allowance for Loan Loss (Inventory Finance Notes Receivables, Net) (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016	Jun. 27, 2015	Mar. 28, 2015
Inventory Finance Receivables
Allowance for loan loss	$ (135)	$ (128)	$ (82)	$ (73)
Financing Receivable, Net	27,107	25,542
Direct inventory finance receivables [Member]
Inventory Finance Receivables
Financing Receivable, Gross	26,085	24,392
Allowance for loan loss	(135)	(128)
Participation inventory finance receivables [Member]
Inventory Finance Receivables
Financing Receivable, Gross	1,157	1,278
Allowance for loan loss	$ 0	$ 0

XML

Commercial Loans Receivables and Allowance for Loan Loss (Changes in the Estimated Allowance for Loan Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Changes in the Allowance for Loan Losses on Inventory Finance Receivables
Balance at beginning of period	$ 128	$ 73
Provision for inventory finance credit losses	7	9
Loans charged off, net of recoveries	0	0
Balance at end of period	$ 135	$ 82

XML

Commercial Loans Receivables and Allowance for Loan Loss (Finance Receivables by Evaluation Methodology) (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016	Jun. 27, 2015	Mar. 28, 2015
Allowance for loan losses and inventory finance receivables by class individually and collectively evaluated for impairment
Allowance for loan loss	$ (135)	$ (128)	$ (82)	$ (73)
Direct Inventory Finance [Member]
Allowance for loan losses and inventory finance receivables by class individually and collectively evaluated for impairment
Financing Receivable, Collectively Evaluated for Impairment	13,485	12,761
Financing Receivable, Individually Evaluated for Impairment	12,600	11,631
Financing Receivable, Gross	26,085	24,392
Allowance for loan loss: collectively evaluated for impairment	(135)	(128)
Allowance for loan loss: individually evaluated for impairment	0	0
Allowance for loan loss	(135)	(128)
Participation Inventory Finance [Member]
Allowance for loan losses and inventory finance receivables by class individually and collectively evaluated for impairment
Financing Receivable, Collectively Evaluated for Impairment	0	0
Financing Receivable, Individually Evaluated for Impairment	1,157	1,278
Financing Receivable, Gross	1,157	1,278
Allowance for loan loss: collectively evaluated for impairment	0	0
Allowance for loan loss: individually evaluated for impairment	0	0
Allowance for loan loss	$ 0	$ 0

XML

Commercial Loans Receivables and Allowance for Loan Loss (Inventory Finance Receivables by Class and Credit Quality Indicator) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Apr. 02, 2016
Financing Receivable Recorded Investment [Line Items]
Weighted average contractual interest rate, commercial	6.80%	6.90%
Weighted average months to maturity, commercial	10 months	9 months
Direct Inventory Finance [Member]
Risk profile based on payment activity
Financing Receivable, Gross	$ 26,085	$ 24,392
Direct Inventory Finance [Member] | Performing [Member]
Risk profile based on payment activity
Financing Receivable, Gross	26,085	24,392
Direct Inventory Finance [Member] | Watch list [Member]
Risk profile based on payment activity
Financing Receivable, Gross	0	0
Direct Inventory Finance [Member] | Nonperforming [Member]
Risk profile based on payment activity
Financing Receivable, Gross	0	0
Participation Inventory Finance [Member]
Risk profile based on payment activity
Financing Receivable, Gross	1,157	1,278
Participation Inventory Finance [Member] | Performing [Member]
Risk profile based on payment activity
Financing Receivable, Gross	1,157	1,278
Participation Inventory Finance [Member] | Watch list [Member]
Risk profile based on payment activity
Financing Receivable, Gross	0	0
Participation Inventory Finance [Member] | Nonperforming [Member]
Risk profile based on payment activity
Financing Receivable, Gross	$ 0	$ 0

XML

Commercial Loans Receivables and Allowance for Loan Loss (Concentrations of Inventory Finance Receivables) (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Commercial Loans Receivable Principal Balance Concentration	29.30%	32.00%
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	$ 89,277	$ 90,402
Texas [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Inventory Finance Receivables Geographic Concentration Percentage	30.30%	33.20%
ARIZONA
Accounts, Notes, Loans and Financing Receivable [Line Items]
Inventory Finance Receivables Geographic Concentration Percentage	10.70%	13.30%
Consumer Loans Held for Investment, Unsecuritized [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	$ 14,794	$ 14,904
Non Conforming Mortgages Range Four [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	307	307
Non Conforming Mortgages Range Four [Member] | Consumer Loans Held for Investment, Unsecuritized [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and Leases Receivable, Gross, Carrying Amount, Consumer	$ 307	$ 307

XML

Commercial Loans Receivables and Allowance for Loan Loss (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Apr. 02, 2016	Jun. 27, 2015	Mar. 28, 2015
Receivables [Abstract]
Allowance for loan loss	$ 135	$ 128	$ 82	$ 73
Due days for loans accounted for on a non-accrual basis and accruing loans with principal payments past	90 days or more
Due days for loans on nonaccrual status when interest is past due and remains unpaid	90 days or more
Percentage concentration of inventory finance receivables	10.00%	10.00%

XML

Property, Plant and Equipment (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Property, plant and equipment, at cost:
Property, plant and equipment, at cost	$ 76,303	$ 74,482
Accumulated depreciation	(20,198)	(19,410)
Property, plant and equipment, net	56,105	55,072
Land [Member]
Property, plant and equipment, at cost:
Property, plant and equipment, at cost	22,719	22,719
Buildings and improvements [Member]
Property, plant and equipment, at cost:
Property, plant and equipment, at cost	33,187	32,230
Machinery and equipment [Member]
Property, plant and equipment, at cost:
Property, plant and equipment, at cost	$ 20,397	$ 19,533

XML

Property, Plant and Equipment (Narrative) (Details)	3 Months Ended
	Jul. 02, 2016
Buildings and improvements [Member] | Minimum [Member]
Property, Plant and Equipment (Textual) [Abstract]
Useful lives	10 years
Buildings and improvements [Member] | Maximum [Member]
Property, Plant and Equipment (Textual) [Abstract]
Useful lives	39 years
Machinery and equipment [Member] | Minimum [Member]
Property, Plant and Equipment (Textual) [Abstract]
Useful lives	3 years
Machinery and equipment [Member] | Maximum [Member]
Property, Plant and Equipment (Textual) [Abstract]
Useful lives	25 years

XML

Capital Leases (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Capital Leased Assets [Line Items]
Capital Leased Assets, Gross	$ 3,200	$ 3,200
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation	(115)	(90)
Capital Leases, Balance Sheet, Assets by Major Class, Net	3,085	3,110
Capital Leases, Future Minimum Payments, Remainder of Fiscal Year	216
Capital Leases, Future Minimum Payments Due, Next Twelve Months	277
Capital Leases, Future Minimum Payments Due in Two Years	265
Capital Leases, Future Minimum Payments Due in Three Years	253
Capital Leases, Future Minimum Payments Due in Four Years	1,721
Capital Leases, Future Minimum Payments Due	2,732
Capital Leases, Future Minimum Payments, Interest Included in Payments	(388)
Capital Lease Obligations	2,344	2,387
Land [Member]
Capital Leased Assets [Line Items]
Capital Leased Assets, Gross	240	240
Building and Building Improvements [Member]
Capital Leased Assets [Line Items]
Capital Leased Assets, Gross	$ 2,960	$ 2,960

XML

Goodwill and Other Intangibles (Summary of Goodwill and Other Intangibles) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015	Apr. 02, 2016
Acquired Finite and Indefinite Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	$ 92	$ 189
Indefinite lived:
Gross Carrying Amount	77,853		$ 77,853
Net Carrying Amount	77,853		77,853
Finite lived:
Accumulated Amortization	(6,040)		(5,948)
Gross Carrying Amount	86,337		86,337
Net Carrying Amount	80,297		80,389
Customer relationships [Member]
Finite lived:
Gross Carrying Amount	7,100		7,100
Accumulated Amortization	(5,383)		(5,329)
Net Carrying Amount	1,717		1,771
Other Intangible Assets [Member]
Finite lived:
Gross Carrying Amount	1,384		1,384
Accumulated Amortization	(657)		(619)
Net Carrying Amount	727		765
Goodwill [Member]
Acquired Finite and Indefinite Lived Intangible Assets [Line Items]
Goodwill	69,753		69,753
Trademarks and trade names [Member]
Acquired Finite and Indefinite Lived Intangible Assets [Line Items]
Indefinite lived intangible assets including goodwill.	7,000		7,000
State insurance licenses [Member]
Acquired Finite and Indefinite Lived Intangible Assets [Line Items]
Indefinite lived intangible assets including goodwill.	$ 1,100		$ 1,100

XML

Goodwill and Other Intangibles (Narrative) (Details) - USD ($)	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Goodwill and Other Intangibles (Textual) [Abstract]
Impairment expense	$ 0
Amortization expense on intangible assets	$ 92,000	$ 189,000
Minimum [Member] | Customer relationships [Member]
Goodwill and Other Intangibles (Textual) [Abstract]
Finite-lived intangibles, estimated useful life	4 years
Minimum [Member] | Technology [Member]
Goodwill and Other Intangibles (Textual) [Abstract]
Finite-lived intangibles, estimated useful life	7 years
Maximum [Member] | Customer relationships [Member]
Goodwill and Other Intangibles (Textual) [Abstract]
Finite-lived intangibles, estimated useful life	15 years

XML

Accrued Liabilities (Details) - USD ($)	Jul. 02, 2016	Apr. 02, 2016
Accrued liabilities
Salaries, wages and benefits	$ 15,702,000	$ 20,675,000
Unearned insurance premiums	16,928,000	15,528,000
Customer deposits	15,736,000	14,039,000
Estimated warranties	13,718,000	13,371,000
Accrued Volume Rebates	5,302,000	4,647,000
Liability for Unpaid Claims and Claims Adjustment Expense, Reported and Incurred but Not Reported (IBNR) Claims	7,429,000	5,990,000
Liabilities Related To Consumer Loans Sold	3,729,000	3,497,000
Accrued taxes	3,765,000	3,969,000
Accrued volume rebates	3,180,000	2,823,000
Capital Lease Obligations	2,344,000	2,387,000
Assets Sold under Agreements to Repurchase, Repurchase Liability	1,741,000	1,660,000
Accrued Income Taxes	1,052,000	1,282,000
Other	12,077,000	10,446,000
Total accrued liabilities	$ 102,703,000	$ 100,314,000

XML

Warranties (Activity for Estimated Warranty Liability) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Product Warranties Disclosures [Abstract]
Product Warranty Accrual, Additions from Business Acquisition	$ 0	$ 1,111
Accrual for estimated warranties
Balance at beginning of period	13,371	9,953
Charged to costs and expenses	6,136	4,265
Payments and deductions	(5,789)	(4,272)
Balance at end of period	$ 13,718	$ 11,057

XML

Warranties (Narrative) (Details)	3 Months Ended
	Jul. 02, 2016
Product Warranties Disclosures [Abstract]
Warranties against manufacturing defects	1 year

XML

Debt Obligations (Summary of Debt Obligations) (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Debt Obligations
Securitized financing 2005-1	$ 26,545	$ 27,481
Securitized financing 2007-1	27,957	28,859
Other Secured Financings	4,965	4,831
Total debt obligations	$ 59,467	$ 61,171

XML

Debt Obligations (Summarizes Securitized Financings) (Details) - USD ($) $ in Thousands		Jul. 02, 2016	Apr. 02, 2016	Jun. 27, 2015	Mar. 28, 2015
Acquired Securitized Financings
Securitized financings - contractual amount		$ 65,961	$ 68,673
Purchase Discount
Accretable yield		(11,459)	(12,333)	$ (10,741)	$ (12,128)
Non-accretable difference	[1]	0	0
Total securitized financings, net		$ 54,502	$ 56,340

[1] There is no non-accretable difference, as the contractual payments on acquired securitized financing are determined by the cash collections from the underlying loans.

XML

Debt Obligations (Changes in Accretable Yield on Securitized Financings) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Accretable Yield Movement on Acquired Securitized Financings
Balance at the beginning of the period	$ 12,333	$ 12,128
Accretion	(968)	(812)
Adjustment to cash flows	94	(575)
Balance at the end of the period	$ 11,459	$ 10,741

XML

Debt Obligations (Narrative) (Details) - USD ($) $ in Millions	1 Months Ended
	Mar. 31, 2007	Jul. 31, 2005	Mar. 22, 2007	Jul. 12, 2005
Debt Instrument [Line Items]
Issuance Dates	Mar. 22, 2007	Jul. 12, 2005
Total amount of loans included in initial securitization			$ 116.5	$ 141.0
Total amount of bonds issued to fund initial securitization			101.9	118.4
Class A-1 [Member]
Debt Instrument [Line Items]
Amount of bonds			$ 28.9	$ 36.3
Coupon rate			5.484%	4.23%
Class A-2 [Member]
Debt Instrument [Line Items]
Amount of bonds			$ 23.4	$ 27.4
Coupon rate			5.232%	4.42%
Class A-3 [Member]
Debt Instrument [Line Items]
Amount of bonds			$ 24.5	$ 27.3
Coupon rate			5.593%	4.80%
Class A-4 [Member]
Debt Instrument [Line Items]
Amount of bonds			$ 25.1	$ 27.4
Coupon rate			5.846%	5.20%
Securitized Financing 2005-1 [Member]
Debt Instrument [Line Items]
Expected weighted average maturity		4 years 7 months 28 days
Securitized Financing 2007-1 [Member]
Debt Instrument [Line Items]
Expected weighted average maturity	4 years 10 months 10 days

XML

Reinsurance (Details) - USD ($)
$ in Thousands

3 Months Ended

Jul. 02, 2016

Jun. 27, 2015

Insurance [Abstract]

Supplemental Schedule of Reinsurance Premiums for Insurance Companies [Text Block]

The effects of reinsurance on premiums written and earned are as follows (in thousands):

Reinsurance Effect on Premiums Written and Earned

Direct premiums Written

$ 4,386

$ 4,111

Assumed premiums - nonaffiliate Written

6,947

5,789

Ceded premiums - nonaffiliate Written

(3,220)

(2,714)

Net premiums Written

8,113

7,186

Direct premiums Earned

3,926

3,593

Assumed premiums - nonaffiliate Earned

5,632

5,083

Ceded premiums - nonaffiliate Earned

(3,220)

(2,714)

Net premiums Earned

$ 6,338

$ 5,962

XML

Reinsurance (Details Textual)	3 Months Ended
	Jul. 02, 2016 USD ($)
Insurance [Abstract]
Insurance policies maximum coverage per claim	$ 300,000
Insurance policies coverage per claim ceded to reinsurers	200,000
Insurance policy risk of loss maintained per claim	100,000
Catastrophic losses recoverable in excess of amount	1,000,000
Aggregate catastrophic losses recoverable in excess of amount	$ 44,000,000

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Commitments and Contingencies (Details Textual) - USD ($)	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015	Apr. 02, 2016
Loss Contingencies [Line Items]
Repurchase agreements period, minimum	18 months
Repurchase agreements period, maximum	36 months
Repurchase agreements maximum amount contingently liable	$ 49,100,000
Reserve for repurchase commitments	(1,741,000)		$ (1,660,000)
Reserve for contingent repurchase and indemnification obligations	$ 816,000		$ 785,000
IRLC Loan Commitment Range Minimum	30 days
IRLC Loan Commitment Range Maximum	180 days
CountryPlace [Member]
Loss Contingencies [Line Items]
IRLCs recorded at fair value	$ 5,800,000
Recognized gain on outstanding IRLCs	28,000	$ (18,000)
Forward Commitments Recorded at Fair Value	23,900,000
Recognized gain (loss) on the forward sales and whole loan commitments	(44,000)	$ 66,000
Reinsurance Obligations [Member] | Letter of Credit [Member]
Loss Contingencies [Line Items]
Letter of Credit	$ 7,000,000

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Commitments and Contingencies (Loan Contracts with Off-Balance Sheet Commitments) (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Loan Contracts with Off-Balance Sheet Commitments
Construction loan contract amount	$ 15,688	$ 15,109
Cumulative advances	(5,685)	(6,566)
Remaining construction contingent commitment	$ 10,003	$ 8,543

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Stockholders' Equity (Details) - USD ($)		3 Months Ended
		Jul. 02, 2016	Jun. 27, 2015
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance, common stock, shares		8,927,989
Beginning balance		$ 353,226,000
Stock option exercises, amount		(341,000)
Stock-based compensation		370,000
Net income		5,443,000	$ 5,385,000
Other comprehensive loss	[1]	$ (55,000)
Ending balance, common stock, shares		8,970,314
Ending balance		$ 358,643,000
Pre-tax unrealized loss on available-for-sale investments		$ (112,000)
Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance, common stock, shares		8,927,989
Beginning balance		$ 89,000
Stock option exercises, shares		42,325
Stock option exercises, amount		$ 1,000
Stock-based compensation		0
Net income		0
Other comprehensive loss		$ 0
Ending balance, common stock, shares		8,970,314
Ending balance		$ 90,000
Additional paid-in capital
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance		241,662,000
Stock option exercises, amount		(342,000)
Stock-based compensation		370,000
Net income		0
Other comprehensive loss		0
Ending balance		241,690,000
Retained earnings
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance		110,186,000
Stock option exercises, amount		0
Stock-based compensation		0
Net income		5,443,000
Other comprehensive loss		0
Ending balance		115,629,000
Accumulated other comprehensive income
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance		1,289,000
Stock option exercises, amount		0
Stock-based compensation		0
Net income		0
Other comprehensive loss	[1]	(55,000)
Ending balance		$ 1,234,000

[1] Other comprehensive income is comprised of unrealized gains and losses on available-for-sale investments. Unrealized losses before tax effect on available-for-sale securities were $112,000 for the three months ended July 2, 2016.

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Stock-Based Compensation (Details Textual) - USD ($)	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares of Cavco common stock authorized for grant under stock incentive plans	1,650,000
Number of shares of Cavco common stock available for grant under stock incentive plans	435,706
Stock option exercise price as a percent of fair value of common stock	100.00%
Stock option expiration period	7 years
Typical vesting period of stock options and restricted stock awards	5 years
Stock-based compensation cost charged against income	$ 370,000	$ 331,000
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to stock options	$ 2,000,000
Weighted-average period over stock options expected to be recognized	2 years 6 months 10 days

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Stock-Based Compensation (Stock Option Activity) (Details) - Stock Options [Member]	3 Months Ended
	Jul. 02, 2016 shares
Stock Option Activity, Number of Shares [Roll Forward]
Beginning balance, shares outstanding	491,980
Granted	4,000
Exercised	(92,400)
Canceled or forfeited	(3,500)
Ending balance, shares outstanding	400,080
Shares exercisable	240,125

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Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Jul. 02, 2016	Jun. 27, 2015
Earnings Per Share Computation
Net income attributable to Cavco common stockholders	$ 5,443	$ 5,385
Weighted average shares outstanding:
Basic (in shares)	8,937,265	8,863,648
Common stock equivalents - treasury stock method (in shares)	147,777	156,613
Diluted (in shares)	9,085,042	9,020,261
Net income per share attributable to Cavco common stockholders:
Basic (usd per share)	$ 0.61	$ 0.61
Diluted (usd per share)	$ 0.60	$ 0.60
Anti-dilutive stock equivalents excluded from computation	2,147	14,711

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Fair Value Measurements (Book Value and Estimated Fair Value) (Details) - USD ($) $ in Thousands		Jul. 02, 2016	Apr. 02, 2016
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Servicing Asset at Fair Value, Amount		$ 865	$ 803
Reported Value Measurement [Member]
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Investments, Fair Value Disclosure	[1]	23,763	24,247
Non-marketable equity investments, Fair Value Disclosure	[2]	14,764	14,841
Notes Receivable, Fair Value Disclosure	[3]	88,434	89,558
Interest Rate Lock Commitments Fair Value Disclosure	[4]	36	8
Forward Commitments Fair Value Disclosure	[4]	(75)	(31)
Inventory Finance Receivable	[5]	27,107	25,542
Securitized Financings	[6]	(59,467)	(61,171)
Servicing Asset at Fair Value, Amount	[7]	865	803
Estimate of Fair Value Measurement [Member]
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Investments, Fair Value Disclosure	[1]	23,763	24,247
Non-marketable equity investments, Fair Value Disclosure	[2]	14,764	14,841
Notes Receivable, Fair Value Disclosure	[3]	125,344	126,077
Interest Rate Lock Commitments Fair Value Disclosure	[4]	36	8
Forward Commitments Fair Value Disclosure	[4]	(75)	(31)
Inventory Finance Receivable	[5]	27,238	25,688
Securitized Financings	[6]	(58,576)	(60,220)
Servicing Asset at Fair Value, Amount	[7]	865	$ 803
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member]
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Inventory Finance Receivable		0
Securitized Financings		0
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member]
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Inventory Finance Receivable		0
Securitized Financings		(58,576)
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member]
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Inventory Finance Receivable		27,238
Securitized Financings		0
Estimate of Fair Value Measurement [Member] | Fair Value, Measurements, Nonrecurring [Member]
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Inventory Finance Receivable		27,238
Securitized Financings		$ (58,576)

[1] The fair value is based on quoted market prices.

[2] The fair value approximates book value based on the non-marketable nature of the investments.

[3] Includes consumer loans receivable held for investment, held for sale and construction advances. The fair value of the loans held for investment is based on the discounted value of the remaining principal and interest cash flows. The fair value of the loans held for sale are estimated based on recent GSE mortgage backed bond prices. The fair value of the construction advances approximates book value and the sales price of these loans is estimated based on construction completed.

[4] The fair values are based on changes in GSE mortgage backed bond prices and, additionally for IRLCs, pull through rates.

[5] The fair value is estimated using market interest rates of comparable loans.

[6] The fair value is estimated using recent public transactions of similar asset-backed securities.

[7] The fair value of the mortgage servicing rights is based on the present value of expected net cash flows related to servicing these loans.

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Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands		Jul. 02, 2016	Apr. 02, 2016
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Servicing Asset at Fair Value, Amount		$ 865	$ 803
Estimate of Fair Value Measurement [Member] | Recurring [Member] | US Treasury and Government [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	651
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Mortgage-backed securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	5,650
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Securities issued by states and political subdivisions [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	8,140
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Corporate debt securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	916
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Marketable equity securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	7,406
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Interest rate lock commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	36
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Forward loan sale commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	(75)
Estimate of Fair Value Measurement [Member] | Recurring [Member] | Mortgage servicing rights [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[3]	865
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | US Treasury and Government [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Mortgage-backed securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Securities issued by states and political subdivisions [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Corporate debt securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Marketable equity securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	7,406
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Interest rate lock commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	0
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Forward loan sale commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	0
Fair Value, Inputs, Level 1 [Member] | Recurring [Member] | Mortgage servicing rights [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[3]	0
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | US Treasury and Government [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	651
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Mortgage-backed securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	5,650
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Securities issued by states and political subdivisions [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	8,140
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Corporate debt securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	916
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Marketable equity securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Interest rate lock commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	0
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Forward loan sale commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	0
Fair Value, Inputs, Level 2 [Member] | Recurring [Member] | Mortgage servicing rights [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[3]	0
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | US Treasury and Government [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Mortgage-backed securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Securities issued by states and political subdivisions [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Corporate debt securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Marketable equity securities [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[1]	0
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Interest rate lock commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	36
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Forward loan sale commitments [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[2]	(75)
Fair Value, Inputs, Level 3 [Member] | Recurring [Member] | Mortgage servicing rights [Member]
Summary of Assets Measured at Fair Value on a Recurring Basis
Assets fair value	[3]	$ 865

[1] Unrealized gains or losses on investments are recorded in accumulated other comprehensive income (loss) at each measurement date

[2] Gains or losses on derivatives are recognized in current period earnings through cost of sales.

[3] Changes in the fair value of mortgage servicing rights are recognized in the current period earnings through net revenue.

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Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Thousands	Jul. 02, 2016	Apr. 02, 2016
Summary of Assets and Liabilities Measured at Fair Value for Disclosure
Equity Method Investments	$ 14,764	$ 14,841
Total of Fair Value Measurement [Member] | Non Recurring [Member]
Summary of Assets and Liabilities Measured at Fair Value for Disclosure
Loans held for investment	108,650
Loans held for sale	11,009
Loans Held-Construction Advances	5,685
Inventory Finance Receivable	27,238
Securitized Financings	(58,576)
Level 1 [Member] | Non Recurring [Member]
Summary of Assets and Liabilities Measured at Fair Value for Disclosure
Loans held for investment	0
Loans held for sale	0
Loans Held-Construction Advances	0
Inventory Finance Receivable	0
Securitized Financings	0
Equity Method Investments	0
Level 2 [Member] | Non Recurring [Member]
Summary of Assets and Liabilities Measured at Fair Value for Disclosure
Loans held for investment	0
Loans held for sale	11,009
Loans Held-Construction Advances	0
Inventory Finance Receivable	0
Securitized Financings	(58,576)
Equity Method Investments	0
Level 3 [Member] | Non Recurring [Member]
Summary of Assets and Liabilities Measured at Fair Value for Disclosure
Loans held for investment	108,650
Loans held for sale	0
Loans Held-Construction Advances	5,685
Inventory Finance Receivable	27,238
Securitized Financings	0
Equity Method Investments	$ 14,764

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Fair Value Measurements (Assumptions for Mortgage Servicing Rights) (Details) $ in Thousands	Jul. 02, 2016 USD ($) Loans	Apr. 02, 2016 USD ($) Loans
Fair Value Disclosures [Abstract]
Number of loans serviced with MSRs | Loans	3,822	3,728
Weighted average servicing fee (basis points)	0.3056%	0.3043%
Capitalized servicing multiple	64.14%	61.65%
Capitalized servicing rate (basis points)	0.196%	0.1876%
Serviced portfolio with MSRs	$ 441,480	$ 428,324
Mortgage servicing rights	$ 865	$ 803

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Fair Value Measurements (Narrative) (Details)	3 Months Ended
	Jul. 02, 2016 USD ($)
Fair Value Measurements (Textual) [Abstract]
Fair Value, Assets, Level 1, Level 2, or Level 3 Transfers, Amount	$ 0
Impairment charges on assets held for sale or held and used	$ 0
Typical period a loan is held for sale	45 days

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Business Segment Information (Details) $ in Thousands	3 Months Ended
	Jul. 02, 2016 USD ($) Segment	Jun. 27, 2015 USD ($)
Business Segment Information
Number of operating segments | Segment	2
Net revenue	$ 185,141	$ 161,668
Income before income taxes	8,430	8,632
Factory-built housing [Member]
Business Segment Information
Net revenue	172,486	147,546
Income before income taxes	10,738	8,004
Financial services [Member]
Business Segment Information
Net revenue	12,655	14,122
Income before income taxes	$ (2,308)	$ 628