Valuation Adjustments and Write-offs

The Company assesses inventory for recoverability on a quarterly basis, by reviewing for impairment whenever events or changes in local or national economic conditions indicate that the carrying amount of an asset may not be recoverable.

A summary of the Company’s valuation adjustments and write-offs for the years ended December 31, 2013, 2012 and 2011 is as follows:



	Year Ended December 31,
(In thousands)	2013		2012		2011
Impairment of operating communities:
Midwest	$	481	$	285	$	5,493
Southern	—		—		2,608
Mid-Atlantic	—		—		1,833
Total impairment of operating communities (a)	$	481	$	285	$	9,934
Impairment of future communities:
Midwest	$	3,531	$	2,732	$	6,985
Southern	—		—		3,455
Mid-Atlantic	—		—		—
Total impairment of future communities (a)	$	3,531	$	2,732	$	10,440
Impairment of land held for sale:
Midwest	$	1,793	$	95	$	—
Southern	—		—		590
Mid-Atlantic	—		—		—
Total impairment of land held for sale (a)	$	1,793	$	95	$	590
Option deposits and pre-acquisition costs write-offs:
Midwest	$	—	$	36	$	441
Southern	—		110		89
Mid-Atlantic	—		110		444
Total option deposits and pre-acquisition costs write-offs (b)	$	—	$	256	$	974
Impairment of investments in Unconsolidated Joint Ventures:
Midwest	$	—	$	390	979
Southern	—		—		50
Mid-Atlantic	—		—		—
Total impairment of investments in Unconsolidated Joint Ventures (a)	$	—	$	390	$	1,029
Total impairments and write-offs of option deposits and pre-acquisition costs	$	5,805	$	3,758	$	22,967


(a)	Amounts are recorded within Impairment of inventory and investment in unconsolidated joint ventures in the Company's Consolidated Statements of Operations.


(b)	Amounts are recorded within General and administrative expenses in the Company's Consolidated Statements of Operations.