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Supplemental Financial Information
 3 Months Ended
Feb. 29, 2016
Supplemental Financial Information [Abstract]  
Supplemental Financial Information
Supplemental Financial Information
The indentures governing the Company’s 6.50% senior notes due 2016, 12.25% senior notes due 2017, 4.75% senior notes due 2017, 6.95% senior notes due 2018, 4.125% senior notes due 2018, 4.500% senior notes due 2019, 4.50% senior notes due 2019, 2.75% convertible senior notes due 2020, 3.25% convertible senior notes due 2021, 4.750% senior notes due 2022, 4.875% senior notes due 2023 and 4.750% senior notes due 2025 require that, if any of the Company’s 100% owned subsidiaries, other than its finance company subsidiaries and foreign subsidiaries, directly or indirectly guarantee at least $75 million principal amount of debt of Lennar Corporation, those subsidiaries must also guarantee Lennar Corporation’s obligations with regard to its senior notes. The entities referred to as “guarantors” in the following tables are subsidiaries that are not finance company subsidiaries or foreign subsidiaries and were guaranteeing the senior notes because at February 29, 2016 they were guaranteeing Lennar Corporation's letter of credit facilities and its Credit Facility, disclosed in Note 11. The guarantees are full, unconditional and joint and several and the guarantor subsidiaries are 100% directly or indirectly owned by Lennar Corporation. A subsidiary's guarantee will be suspended at any time when it is not directly or indirectly guaranteeing at least $75 million principal amount of debt of Lennar Corporation, and a subsidiary will be released from its guarantee and any other obligations it may have regarding the senior notes if all or substantially all its assets, or all of its capital stock, are sold or otherwise disposed of.
For purposes of the condensed consolidating statement of cash flows included in the following supplemental financial information, the Company's accounting policy is to treat cash received by Lennar Corporation (“the Parent”) from its subsidiaries, to the extent of net earnings from such subsidiaries as a dividend and accordingly a return on investment within cash flows from operating activities. Distributions of capital received by the Parent from its subsidiaries are reflected as cash flows from investing activities. The cash outflows associated with the return on investment dividends and distributions of capital received by the Parent are reflected by the Guarantor and Non-Guarantor subsidiaries in the Dividends line item within cash flows from financing activities. All other cash flows between the Parent and its subsidiaries represent the settlement of receivables and payables between such entities in conjunction with the Parent's centralized cash management arrangement with its subsidiaries, which operates with the characteristics of a revolving credit facility, and are accordingly reflected net in the Intercompany line item within cash flows from investing activities for the Parent and net in the Intercompany line item within cash flows from financing activities for the Guarantor and Non-Guarantor subsidiaries.
In 2015, certain subsidiaries that were Guarantor subsidiaries became Non-guarantor subsidiaries. For comparative purposes, the condensed consolidating statement of operations and comprehensive income (loss) and cash flows for the three months ended February 28, 2015 have been retrospectively adjusted to reflect the aforementioned activity. This activity did not affect the Company’s condensed consolidated financial statements.
Supplemental information for the subsidiaries that were guarantor subsidiaries at February 29, 2016 was as follows:

Condensed Consolidating Balance Sheet
February 29, 2016
(In thousands)
Lennar
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Total
ASSETS
 
 
 
 
 
 
 
 
 
Lennar Homebuilding:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents, restricted cash and receivables, net
$
304,277

 
251,492

 
19,593

 
—

 
575,362

Inventories
—

 
9,191,051

 
177,268

 
—

 
9,368,319

Investments in unconsolidated entities
—

 
723,644

 
47,757

 
—

 
771,401

Other assets
168,966

 
340,531

 
75,683

 
14,735

 
599,915

Investments in subsidiaries
3,938,687

 
156,222

 
—

 
(4,094,909
)
 
—

Intercompany
6,927,085

 
—

 
—

 
(6,927,085
)
 
—

 
11,339,015

 
10,662,940

 
320,301

 
(11,007,259
)
 
11,314,997

Rialto
—

 
—

 
1,272,004

 
—

 
1,272,004

Lennar Financial Services
—

 
83,133

 
1,079,027

 
(5,081
)
 
1,157,079

Lennar Multifamily
—

 
—

 
460,762

 
(9,654
)
 
451,108

Total assets
$
11,339,015

 
10,746,073

 
3,132,094

 
(11,021,994
)
 
14,195,188

LIABILITIES AND EQUITY
 
 
 
 
 
 
 
 
 
Lennar Homebuilding:
 
 
 
 
 
 
 
 
 
Accounts payable and other liabilities
$
431,632

 
675,799

 
84,612

 
—

 
1,192,043

Liabilities related to consolidated inventory not owned
—

 
19,854

 
—

 
—

 
19,854

Senior notes and other debts payable
5,087,269

 
235,862

 
10,850

 
—

 
5,333,981

Intercompany
—

 
6,160,287

 
766,798

 
(6,927,085
)
 
—

 
5,518,901

 
7,091,802

 
862,260

 
(6,927,085
)
 
6,545,878

Rialto
—

 
—

 
656,303

 
—

 
656,303

Lennar Financial Services
—

 
27,500

 
810,751

 
—

 
838,251

Lennar Multifamily
—

 
—

 
61,307

 
—

 
61,307

Total liabilities
5,518,901

 
7,119,302

 
2,390,621

 
(6,927,085
)
 
8,101,739

Stockholders’ equity
5,820,114

 
3,626,771

 
468,138

 
(4,094,909
)
 
5,820,114

Noncontrolling interests
—

 
—

 
273,335

 
—

 
273,335

Total equity
5,820,114

 
3,626,771

 
741,473

 
(4,094,909
)
 
6,093,449

Total liabilities and equity
$
11,339,015

 
10,746,073

 
3,132,094

 
(11,021,994
)
 
14,195,188

Condensed Consolidating Balance Sheet
November 30, 2015
(In thousands)
Lennar
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Total
ASSETS
 
 
 
 
 
 
 
 
 
Lennar Homebuilding:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents, restricted cash and receivables, net
$
595,921

 
372,146

 
13,384

 
—

 
981,451

Inventories
—

 
8,571,769

 
168,827

 
—

 
8,740,596

Investments in unconsolidated entities
—

 
692,879

 
48,672

 
—

 
741,551

Other assets
193,360

 
324,050

 
75,108

 
16,704

 
609,222

Investments in subsidiaries
3,958,687

 
176,660

 
—

 
(4,135,347
)
 
—

Intercompany
6,227,193

 
—

 
—

 
(6,227,193
)
 
—

 
10,975,161

 
10,137,504

 
305,991

 
(10,345,836
)
 
11,072,820

Rialto
—

 
—

 
1,505,500

 
—

 
1,505,500

Lennar Financial Services
—

 
89,532

 
1,341,565

 
(5,260
)
 
1,425,837

Lennar Multifamily
—

 
—

 
426,796

 
(11,444
)
 
415,352

Total assets
$
10,975,161

 
10,227,036

 
3,579,852

 
(10,362,540
)
 
14,419,509

LIABILITIES AND EQUITY
 
 
 
 
 
 
 
 
 
Lennar Homebuilding:
 
 
 
 
 
 
 
 
 
Accounts payable and other liabilities
$
579,468

 
710,460

 
85,796

 
—

 
1,375,724

Liabilities related to consolidated inventory not owned
—

 
51,431

 
—

 
—

 
51,431

Senior notes and other debts payable
4,746,749

 
267,531

 
10,850

 
—

 
5,025,130

Intercompany
—

 
5,514,610

 
712,583

 
(6,227,193
)
 
—

 
5,326,217

 
6,544,032

 
809,229

 
(6,227,193
)
 
6,452,285

Rialto
—

 
—

 
866,224

 
—

 
866,224

Lennar Financial Services
—

 
36,229

 
1,047,749

 
—

 
1,083,978

Lennar Multifamily
—

 
—

 
66,950

 
—

 
66,950

Total liabilities
5,326,217

 
6,580,261

 
2,790,152

 
(6,227,193
)
 
8,469,437

Stockholders’ equity
5,648,944

 
3,646,775

 
488,572

 
(4,135,347
)
 
5,648,944

Noncontrolling interests
—

 
—

 
301,128

 
—

 
301,128

Total equity
5,648,944

 
3,646,775

 
789,700

 
(4,135,347
)
 
5,950,072

Total liabilities and equity
$
10,975,161

 
10,227,036

 
3,579,852

 
(10,362,540
)
 
14,419,509

Condensed Consolidating Statement of Operations and Comprehensive Income
Three Months Ended February 29, 2016
(In thousands)
Lennar
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Total
Revenues:
 
 
 
 
 
 
 
 
 
Lennar Homebuilding
$
—

 
1,786,481

 
—

 
—

 
1,786,481

Lennar Financial Services
—

 
40,610

 
88,342

 
(4,996
)
 
123,956

Rialto
—

 
—

 
43,711

 
—

 
43,711

Lennar Multifamily
—

 
—

 
39,529

 
(13
)
 
39,516

Total revenues
—

 
1,827,091

 
171,582

 
(5,009
)
 
1,993,664

Cost and expenses:
 
 
 
 
 
 
 
 
 
Lennar Homebuilding
—

 
1,556,166

 
14,863

 
(2,824
)
 
1,568,205

Lennar Financial Services
—

 
41,812

 
70,069

 
(2,856
)
 
109,025

Rialto
—

 
—

 
43,217

 
(310
)
 
42,907

Lennar Multifamily
—

 
—

 
47,020

 
—

 
47,020

Corporate general and administrative
46,148

 
255

 
—

 
1,265

 
47,668

Total costs and expenses
46,148

 
1,598,233

 
175,169

 
(4,725
)
 
1,814,825

Lennar Homebuilding equity in earnings (loss) from unconsolidated entities
—

 
3,849

 
(849
)
 
—

 
3,000

Lennar Homebuilding other income (expense), net
1,170

 
(8,516
)
 
9,025

 
(1,160
)
 
519

Other interest expense
(1,444
)
 
(1,157
)
 
—

 
1,444

 
(1,157
)
Rialto equity in earnings from unconsolidated entities
—

 
—

 
1,497

 
—

 
1,497

Rialto other expense, net
—

 
—

 
(691
)
 
—

 
(691
)
Lennar Multifamily equity in earnings from unconsolidated entities
—

 
—

 
19,686

 
—

 
19,686

Earnings (loss) before income taxes
(46,422
)
 
223,034

 
25,081

 
—

 
201,693

Benefit (provision) for income taxes
13,035

 
(61,710
)
 
(7,566
)
 
—

 
(56,241
)
Equity in earnings from subsidiaries
177,467

 
4,538

 
—

 
(182,005
)
 
—

Net earnings (including net earnings attributable to noncontrolling interests)
144,080

 
165,862

 
17,515

 
(182,005
)
 
145,452

Less: Net earnings attributable to noncontrolling interests
—

 
—

 
1,372

 
—

 
1,372

Net earnings attributable to Lennar
$
144,080

 
165,862

 
16,143

 
(182,005
)
 
144,080

Other comprehensive income, net of tax:
 
 
 
 
 
 
 
 
 
Net unrealized loss on securities available-for-sale


 


 
(437
)
 


 
(437
)
Other comprehensive income attributable to Lennar
$
144,080

 
165,862

 
15,706

 
(182,005
)
 
143,643

Other comprehensive income attributable to noncontrolling interests
$
—

 
—

 
1,372

 
—

 
1,372

Condensed Consolidating Statement of Operations and Comprehensive Income
Three Months Ended February 28, 2015
(In thousands)
Lennar
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Total
Revenues:
 
 
 
 
 
 
 
 
 
Lennar Homebuilding
$
—

 
1,441,658

 
—

 
—

 
1,441,658

Lennar Financial Services
—

 
38,149

 
91,659

 
(4,981
)
 
124,827

Rialto
—

 
—

 
41,197

 
—

 
41,197

Lennar Multifamily
—

 
—

 
36,457

 
—

 
36,457

Total revenues
—

 
1,479,807

 
169,313

 
(4,981
)
 
1,644,139

Cost and expenses:
 
 
 
 
 
 
 
 
 
Lennar Homebuilding
—

 
1,264,789

 
5,223

 
(4,837
)
 
1,265,175

Lennar Financial Services
—

 
38,226

 
71,276

 
(202
)
 
109,300

Rialto
—

 
—

 
40,781

 
—

 
40,781

Lennar Multifamily
—

 
—

 
41,961

 
—

 
41,961

Corporate general and administrative
42,389

 
—

 
—

 
1,265

 
43,654

Total costs and expenses
42,389

 
1,303,015

 
159,241

 
(3,774
)
 
1,500,871

Lennar Homebuilding equity in earnings from unconsolidated entities
—

 
22,374

 
6,525

 
—

 
28,899

Lennar Homebuilding other income, net
231

 
5,774

 
550

 
(222
)
 
6,333

Other interest expense
(1,429
)
 
(4,071
)
 
—

 
1,429

 
(4,071
)
Rialto equity in earnings from unconsolidated entities
—

 
—

 
2,664

 
—

 
2,664

Rialto other expense, net
—

 
—

 
(272
)
 
—

 
(272
)
Lennar Multifamily equity in loss from unconsolidated entities
—

 
—

 
(178
)
 
—

 
(178
)
Earnings (loss) before income taxes
(43,587
)
 
200,869

 
19,361

 
—

 
176,643

Benefit (provision) for income taxes
14,902

 
(67,471
)
 
(7,157
)
 
—

 
(59,726
)
Equity in earnings from subsidiaries
143,648

 
8,825

 
—

 
(152,473
)
 
—

Net earnings (including net earnings attributable to noncontrolling interests)
114,963

 
142,223

 
12,204

 
(152,473
)
 
116,917

Less: Net earnings attributable to noncontrolling interests
—

 
—

 
1,954

 
—

 
1,954

Net earnings attributable to Lennar
$
114,963

 
142,223


10,250

 
(152,473
)
 
114,963

Other comprehensive income, net of tax:
 
 
 
 
 
 
 
 
 
Net unrealized gain on securities available-for-sale
$
—

 
—

 
200

 
—

 
200

Other comprehensive income attributable to Lennar
$
114,963

 
142,223

 
10,450

 
(152,473
)
 
115,163

Other comprehensive earnings attributable to noncontrolling interests
$
—

 
—

 
1,954

 
—

 
1,954

Condensed Consolidating Statement of Cash Flows
Three Months Ended February 29, 2016
(In thousands)
Lennar
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Total
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
Net earnings (including net earnings attributable to noncontrolling interests)
$
144,080

 
165,862

 
17,515

 
(182,005
)
 
145,452

Distributions of earnings from guarantor and non-guarantor subsidiaries
177,467

 
4,538

 
—

 
(182,005
)
 
—

Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by (used in) operating activities
(254,499
)
 
(660,587
)
 
371,742

 
182,005

 
(361,339
)
Net cash provided by (used in) operating activities
67,048

 
(490,187
)
 
389,257

 
(182,005
)
 
(215,887
)
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Investments in and contributions to unconsolidated entities, net of distributions of capital
—

 
(32,149
)
 
(2,466
)
 
—

 
(34,615
)
Proceeds from sales of real estate owned
—

 
—

 
20,256

 
—

 
20,256

Originations of loans receivable
—

 
—

 
(10,046
)
 
—

 
(10,046
)
Purchases of commercial mortgage-backed securities bonds
—

 
—

 
(23,078
)
 
—

 
(23,078
)
Other
(3,400
)
 
(14,297
)
 
(1,406
)
 
—

 
(19,103
)
Distributions of capital from guarantor and non-guarantor subsidiaries
20,000

 
20,000

 
—

 
(40,000
)
 
—

Intercompany
(699,551
)
 
—

 
—

 
699,551

 
—

Net cash used in investing activities
(682,951
)
 
(26,446
)
 
(16,740
)
 
659,551

 
(66,586
)
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Net borrowings under unsecured revolving credit facility
500,000

 
—

 
—

 
—

 
500,000

Net repayments under warehouse facilities
—

 
—

 
(395,233
)
 
—

 
(395,233
)
Debt issuance costs
—

 
—

 
(684
)
 
—

 
(684
)
Conversions and exchanges of convertible senior notes
(162,852
)
 
—

 
—

 
—

 
(162,852
)
Principal payments on Rialto notes payable
—

 
—

 
(669
)
 
—

 
(669
)
Net repayments on other borrowings
—

 
(52,383
)
 
—

 
—

 
(52,383
)
Net payments related to noncontrolling interests
—

 
—

 
(41,950
)
 
—

 
(41,950
)
Excess tax benefits from share-based awards
7,029

 
—

 
—

 
—

 
7,029

Common stock:
 
 
 
 
 
 
 
 

Repurchases
(219
)
 
—

 
—

 
—

 
(219
)
Dividends
(8,552
)
 
(185,862
)
 
(36,143
)
 
222,005

 
(8,552
)
Intercompany
—

 
646,727

 
52,824

 
(699,551
)
 
—

Net cash provided by (used in) financing activities
335,406

 
408,482

 
(421,855
)
 
(477,546
)
 
(155,513
)
Net decrease in cash and cash equivalents
(280,497
)
 
(108,151
)
 
(49,338
)
 
—

 
(437,986
)
Cash and cash equivalents at beginning of period
575,821

 
336,048

 
246,576

 
—

 
1,158,445

Cash and cash equivalents at end of period
$
295,324

 
227,897

 
197,238

 
—

 
720,459

Condensed Consolidating Statement of Cash Flows
Three Months Ended February 28, 2015
(In thousands)
Lennar
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Total
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
Net earnings (including net earnings attributable to noncontrolling interests)
$
114,963

 
142,223

 
12,204

 
(152,473
)
 
116,917

Distributions of earnings from guarantor and non-guarantor subsidiaries
143,648

 
8,825

 
—

 
(152,473
)
 
—

Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by (used in) operating activities
(195,594
)
 
(678,406
)
 
(125,654
)
 
152,473

 
(847,181
)
Net cash provided by (used in) operating activities
63,017

 
(527,358
)
 
(113,450
)
 
(152,473
)
 
(730,264
)
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Investments in and contributions to unconsolidated entities, net of distributions of capital
—

 
(10,668
)
 
(6,614
)
 
—

 
(17,282
)
Proceeds from sales of real estate owned
—

 
—

 
28,055

 
—

 
28,055

Receipts of principal payments on loans receivable
—

 
—

 
3,519

 
—

 
3,519

Other
(114
)
 
(52,518
)
 
(28,854
)
 
—

 
(81,486
)
Distribution of capital from guarantor and non-guarantor subsidiaries
10,000

 
10,000

 
—

 
(20,000
)
 
—

Intercompany
(845,940
)
 
—

 
—

 
845,940

 
—

Net cash used in investing activities
(836,054
)
 
(53,186
)
 
(3,894
)
 
825,940

 
(67,194
)
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Net borrowings under unsecured revolving credit facility
250,000

 
—

 
—

 
—

 
250,000

Net repayments under warehouse facilities
—

 
—

 
(29,681
)
 
—

 
(29,681
)
Proceeds from senior notes and debt issuance costs
249,425

 
—

 
(294
)
 
—

 
249,131

Principal repayments on Rialto notes payable including structured notes
—

 
—

 
(17,499
)
 
—

 
(17,499
)
Net proceeds (repayments) on other borrowings
—

 
(61,337
)
 
(81
)
 
—

 
(61,418
)
Net payments related to noncontrolling interests
—

 
—

 
(56,327
)
 
—

 
(56,327
)
Excess tax benefit from share-based awards
35

 
—

 
—

 
—

 
35

Common stock:
 
 
 
 
 
 
 
 

Issuances
8,227

 
—

 
—

 
—

 
8,227

Repurchases
(186
)
 
—

 
—

 
—

 
(186
)
Dividends
(8,208
)
 
(152,223
)
 
(20,250
)
 
172,473

 
(8,208
)
Intercompany
—

 
763,183

 
82,757

 
(845,940
)
 
—

Net cash provided by (used in) financing activities
499,293

 
549,623

 
(41,375
)
 
(673,467
)
 
334,074

Net decrease in cash and cash equivalents
(273,744
)
 
(30,921
)
 
(158,719
)
 
—

 
(463,384
)
Cash and cash equivalents at beginning of period
633,318

 
252,914

 
395,582

 
—

 
1,281,814

Cash and cash equivalents at end of period
$
359,574

 
221,993

 
236,863

 
—

 
818,430