Business Segments

6 Months Ended

Jun. 30, 2012

Business Segments [Abstract]

Segment Reporting Disclosure [Text Block]

Business Segments

The Company’s segment information is presented on the basis that the chief operating decision makers use in evaluating segment performance.  The Company’s chief operating decision makers evaluate the Company’s performance in various ways, including: (1) the results of our eleven individual homebuilding operating segments and the results of our financial services operations; (2) the results of our three homebuilding regions; and (3) our consolidated financial results.  We have determined our reportable segments as follows: Midwest homebuilding, Southern homebuilding, Mid-Atlantic homebuilding and financial services operations.  The homebuilding operating segments that are included within each reportable segment have similar operations and exhibit similar long-term economic characteristics.  Our homebuilding operations include the acquisition and development of land, the sale and construction of single-family attached and detached homes, and the occasional sale of lots to third parties.  The homebuilding operating segments that comprise each of our reportable segments are as follows:

Midwest	Southern	Mid-Atlantic
Columbus, Ohio	Tampa, Florida	Washington, D.C.
Cincinnati, Ohio	Orlando, Florida	Charlotte, North Carolina
Indianapolis, Indiana	Houston, Texas	Raleigh, North Carolina
Chicago, Illinois	San Antonio, Texas

In April 2012, we expanded our Houston, Texas operations by acquiring the assets of a privately-held homebuilder based in Houston, Texas. In connection with this acquisition, we recorded a $1.2 million bargain purchase gain in accordance with generally accepted accounting principles as the cash purchase price was less than the fair market value of the assets acquired.

Our financial services operations include the origination and sale of mortgage loans and title services primarily for purchasers of the Company's homes.

The following table shows, by segment, revenue, operating income (loss) and interest expense for the three and six months ended June 30, 2012 and 2011, as well as the Company’s loss before income taxes for such periods:

	Three Months Ended June 30,						Six Months Ended June 30,
(In thousands)	2012			2011			2012			2011
Revenue:
Midwest homebuilding	$	63,026		$	58,878		$	119,979		$	109,350
Southern homebuilding	43,499			31,900			72,572			48,836
Mid-Atlantic homebuilding	59,545			43,371			100,328			83,333
Financial services	4,924			3,295			9,240			6,495
Total revenue	$	170,994		$	137,444		$	302,119		$	248,014
Operating income (loss):
Midwest homebuilding (a)	$	3,961		$	(3,669	)	$	5,072		$	(8,289	)
Southern homebuilding (a)	2,808			(58		)	3,693			(6,692		)
Mid-Atlantic homebuilding (a)	3,248			1,857			3,709			3,050
Financial services	2,210			1,612			4,646			3,234
Less: Corporate selling, general and administrative expenses	(5,467		)	(5,306		)	(10,128		)	(9,798		)
Total operating income (loss)	$	6,760		$	(5,564	)	$	6,992		$	(18,495	)
Interest expense:
Midwest homebuilding	$	1,211		$	1,440		$	2,937		$	3,321
Southern homebuilding	743			661			1,545			1,197
Mid-Atlantic homebuilding	1,196			1,193			2,906			2,541
Financial services	311			171			679			441
Total interest expense	$	3,461		$	3,465		$	8,067		$	7,500
Income (loss) before income taxes	$	3,299		$	(9,029	)	$	(1,075	)	$	(25,995	)

(a) For the three months ended June 30, 2012 and 2011, the impact of charges relating to the impairment of inventory and investment in Unconsolidated LLCs and the write-off of abandoned land transaction costs was $0.7 million and $5.5 million, respectively. These charges reduced operating income by $0.5 million and $5.3 million in the Midwest region for the three months ended June 30, 2012 and 2011, respectively, and $0.1 million in the Southern region and less than $0.1 million in the Mid-Atlantic region for both the three months ended June 30, 2012 and 2011.

For the six months ended June 30, 2012 and 2011, the impact of charges relating to the impairment of inventory and investment in Unconsolidated LLCs and the write-off of abandoned land transaction costs was $0.8 million and $16.6 million, respectively. These charges reduced operating income by $0.6 million and $10.4 million in the Midwest region, $0.1 million and $6.0 million in the Southern region and $0.1 million and $0.3 million in the Mid-Atlantic region for the six months ended June 30, 2012 and 2011, respectively.

The following tables show total assets by segment:

	June 30, 2012
(In thousands)	Midwest		Southern		Mid-Atlantic		Corporate, Financial Services and Unallocated		Total
Deposits on real estate under option or contract	$	840	$	1,250	$	1,983	$	—	$	4,073
Inventory (a)	202,475		113,837		201,571		—		517,883
Investments in Unconsolidated LLCs	5,232		5,672		—		—		10,904
Other assets	6,972		4,531		9,267		117,130		137,900
Total assets	$	215,519	$	125,290	$	212,821	$	117,130	$	670,760

	December 31, 2011
(In thousands)	Midwest		Southern		Mid-Atlantic		Corporate, Financial Services and Unallocated		Total
Deposits on real estate under option or contract	$	252	$	1,516	$	907	$	—	$	2,675
Inventory (a)	200,760		89,586		173,751		—		464,097
Investments in Unconsolidated LLCs	5,157		5,200		—		—		10,357
Other assets	3,865		2,858		9,861		170,772		187,356
Total assets	$	210,034	$	99,160	$	184,519	$	170,772	$	664,485

(a) Inventory includes single-family lots, land and land development costs; land held for sale; homes under construction; model homes and furnishings; community development district infrastructure; and consolidated inventory not owned.