Supplemental Financial Information

9 Months Ended

Aug. 31, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Supplemental Financial Information

Supplemental Financial Information

The indentures governing the Company’s 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, 3.25% convertible senior notes due 2021, 4.750% 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 August 31, 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.Supplemental information for the subsidiaries that were guarantor subsidiaries at August 31, 2016 was as follows:

Condensed Consolidating Balance Sheet

August 31, 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	$	365,177	270,020	16,949	—		652,146
Inventories	—		9,378,652	277,094	—		9,655,746
Investments in unconsolidated entities	—		778,532	17,967	—		796,499
Other assets	211,279		334,483	80,635	11,149		637,546
Investments in subsidiaries	3,918,687		126,787	—	(4,045,474	)	—
Intercompany	7,187,710		—	—	(7,187,710	)	—
	11,682,853		10,888,474	392,645	(11,222,035	)	11,741,937
Rialto	—		—	1,196,653	—		1,196,653
Lennar Financial Services	—		98,716	1,432,641	(3,801	)	1,527,556
Lennar Multifamily	—		—	549,148	(16,574	)	532,574
Total assets	$	11,682,853	10,987,190	3,571,087	(11,242,410	)	14,998,720
LIABILITIES AND EQUITY
Lennar Homebuilding:
Accounts payable and other liabilities	$	487,415	769,239	79,122	(9,226	)	1,326,550
Liabilities related to consolidated inventory not owned	—		12,019	96,424	—		108,443
Senior notes and other debts payable	4,649,903		260,095	10,850	—		4,920,848
Intercompany	—		6,303,367	884,343	(7,187,710	)	—
	5,137,318		7,344,720	1,070,739	(7,196,936	)	6,355,841
Rialto	—		—	632,562	—		632,562
Lennar Financial Services	—		35,732	1,104,483	—		1,140,215
Lennar Multifamily	—		—	107,196	—		107,196
Total liabilities	5,137,318		7,380,452	2,914,980	(7,196,936	)	8,235,814
Stockholders’ equity	6,545,535		3,606,738	438,736	(4,045,474	)	6,545,535
Noncontrolling interests	—		—	217,371	—		217,371
Total equity	6,545,535		3,606,738	656,107	(4,045,474	)	6,762,906
Total liabilities and equity	$	11,682,853	10,987,190	3,571,087	(11,242,410	)	14,998,720

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 August 31, 2016

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		2,492,189		4,780		—		2,496,969
Lennar Financial Services	—			60,518		135,939		(5,013	)	191,444
Rialto	—			—		63,885		—		63,885
Lennar Multifamily	—			—		81,620		(24	)	81,596
Total revenues	—			2,552,707		286,224		(5,037	)	2,833,894
Cost and expenses:
Lennar Homebuilding	—			2,157,506		7,309		(788	)	2,164,027
Lennar Financial Services	—			50,602		92,431		(4,837	)	138,196
Rialto	—			—		62,721		(415	)	62,306
Lennar Multifamily	—			—		84,007		—		84,007
Corporate general and administrative	59,644			255		—		1,265		61,164
Total costs and expenses	59,644			2,208,363		246,468		(4,775	)	2,509,700
Lennar Homebuilding equity in earnings (loss) from unconsolidated entities	—			(18,127	)	93		—		(18,034	)
Lennar Homebuilding other income, net	1,209			29,823		1,113		(1,198	)	30,947
Other interest expense	(1,460		)	(973	)	—		1,460		(973	)
Rialto equity in earnings from unconsolidated entities	—			—		5,976		—		5,976
Rialto other expense, net	—			—		(7,612	)	—		(7,612	)
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		5,060		—		5,060
Earnings (loss) before income taxes	(59,895		)	355,067		44,386		—		339,558
Benefit (provision) for income taxes	18,646			(106,867	)	(18,206	)	—		(106,427	)
Equity in earnings from subsidiaries	277,091			22,301		—		(299,392	)	—
Net earnings (including net loss attributable to noncontrolling interests)	235,842			270,501		26,180		(299,392	)	233,131
Less: Net loss attributable to noncontrolling interests	—			—		(2,711	)	—		(2,711	)
Net earnings attributable to Lennar	$	235,842		270,501		28,891		(299,392	)	235,842
Other comprehensive income, net of tax:
Net unrealized gain on securities available-for-sale	$	—		—		639		—		639
Reclassification adjustments for gains included in earnings, net of tax	—			—		(31	)	—		(31	)
Other comprehensive income attributable to Lennar	$	235,842		270,501		29,499		(299,392	)	236,450
Other comprehensive loss attributable to noncontrolling interests	$	—		—		(2,711	)	—		(2,711	)

Condensed Consolidating Statement of Operations and Comprehensive Income

Three Months Ended August 31, 2015

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		2,232,318		—		—		2,232,318
Lennar Financial Services	—			54,415		119,345		(5,012	)	168,748
Rialto	—			—		51,554		—		51,554
Lennar Multifamily	—			—		39,091		(13	)	39,078
Total revenues	—			2,286,733		209,990		(5,025	)	2,491,698
Cost and expenses:
Lennar Homebuilding	—			1,897,755		21,080		(5,552	)	1,913,283
Lennar Financial Services	—			47,514		81,762		35		129,311
Rialto	—			—		53,732		(409	)	53,323
Lennar Multifamily	—			—		47,072		—		47,072
Corporate general and administrative	55,229			—		—		1,265		56,494
Total costs and expenses	55,229			1,945,269		203,646		(4,661	)	2,199,483
Lennar Homebuilding equity in earnings from unconsolidated entities	—			8,633		4,667		—		13,300
Lennar Homebuilding other income (expense), net	1,674			(12,495	)	16,106		(1,096	)	4,189
Other interest expense	(1,460		)	(2,812	)	—		1,460		(2,812	)
Rialto equity in earnings from unconsolidated entities	—			—		7,590		—		7,590
Rialto other income, net	—			—		1,172		—		1,172
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		5,004		—		5,004
Earnings (loss) before income taxes	(55,015		)	334,790		40,883		—		320,658
Benefit (provision) for income taxes	16,215			(96,069	)	(15,767	)	—		(95,621	)
Equity in earnings from subsidiaries	262,112			17,947		—		(280,059	)	—
Net earnings (including net earnings attributable to noncontrolling interests)	223,312			256,668		25,116		(280,059	)	225,037
Less: Net earnings attributable to noncontrolling interests	—			—		1,725		—		1,725
Net earnings attributable to Lennar	$	223,312		256,668		23,391		(280,059	)	223,312
Other comprehensive income, net of tax:
Net unrealized loss on securities available-for-sale	$	—		—		(400	)	—		(400	)
Other comprehensive income attributable to Lennar	$	223,312		256,668		22,991		(280,059	)	222,912
Other comprehensive earnings attributable to noncontrolling interests	$	—		—		1,725		—		1,725

Condensed Consolidating Statement of Operations and Comprehensive Income

Nine Months Ended August 31, 2016

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		6,729,555		4,780		—		6,734,335
Lennar Financial Services	—			154,438		351,923		(15,021	)	491,340
Rialto	—			—		152,434		—		152,434
Lennar Multifamily	—			—		195,320		(56	)	195,264
Total revenues	—			6,883,993		704,457		(15,077	)	7,573,373
Cost and expenses:
Lennar Homebuilding	—			5,840,084		15,941		(11,505	)	5,844,520
Lennar Financial Services	—			140,618		243,755		(5,300	)	379,073
Rialto	—			—		156,198		(782	)	155,416
Lennar Multifamily	—			—		204,244		—		204,244
Corporate general and administrative	160,074			764		—		3,796		164,634
Total costs and expenses	160,074			5,981,466		620,138		(13,791	)	6,747,887
Lennar Homebuilding equity in earnings (loss) from unconsolidated entities	—			(25,138	)	471		—		(24,667	)
Lennar Homebuilding other income, net	3,108			45,123		1,239		(3,079	)	46,391
Other interest expense	(4,365		)	(3,323	)	—		4,365		(3,323	)
Rialto equity in earnings from unconsolidated entities	—			—		14,337		—		14,337
Rialto other expense, net	—			—		(27,888	)	—		(27,888	)
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		38,754		—		38,754
Earnings (loss) before income taxes	(161,331		)	919,189		111,232		—		869,090
Benefit (provision) for income taxes	49,706			(277,230	)	(38,945	)	—		(266,469	)
Equity in earnings from subsidiaries	710,016			42,297		—		(752,313	)	—
Net earnings (including net earnings attributable to noncontrolling interests)	598,391			684,256		72,287		(752,313	)	602,621
Less: Net earnings attributable to noncontrolling interests	—			—		4,230		—		4,230
Net earnings attributable to Lennar	$	598,391		684,256		68,057		(752,313	)	598,391
Other comprehensive income, net of tax:
Net unrealized gain on securities available-for-sale	$	—		—		1,121		—		1,121
Reclassification adjustments for gains included in earnings, net of tax	—			—		(37	)	—		(37	)
Other comprehensive income attributable to Lennar	$	598,391		684,256		69,141		(752,313	)	599,475
Other comprehensive income attributable to noncontrolling interests	$	—		—		4,230		—		4,230

Condensed Consolidating Statement of Operations and Comprehensive Income

Nine Months Ended August 31, 2015

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		5,789,788		—		—		5,789,788
Lennar Financial Services	—			145,386		333,079		(15,005	)	463,460
Rialto	—			—		160,682		—		160,682
Lennar Multifamily	—			—		114,529		(18	)	114,511
Total revenues	—			5,935,174		608,290		(15,023	)	6,528,441
Cost and expenses:
Lennar Homebuilding	—			4,974,687		41,110		(11,857	)	5,003,940
Lennar Financial Services	—			135,264		237,854		(3,675	)	369,443
Rialto	—			—		162,019		(409	)	161,610
Lennar Multifamily	—			—		136,293		—		136,293
Corporate general and administrative	146,559			—		—		3,796		150,355
Total costs and expenses	146,559			5,109,951		577,276		(12,145	)	5,821,641
Lennar Homebuilding equity in earnings from unconsolidated entities	—			35,020		13,673		—		48,693
Lennar Homebuilding other income (expense), net	2,068			(4,894	)	14,602		(1,471	)	10,305
Other interest expense	(4,349		)	(10,701	)	—		4,349		(10,701	)
Rialto equity in earnings from unconsolidated entities	—			—		17,582		—		17,582
Rialto other income, net	—			—		28		—		28
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		4,404		—		4,404
Earnings (loss) before income taxes	(148,840		)	844,648		81,303		—		777,111
Benefit (provision) for income taxes	48,313			(267,715	)	(31,171	)	—		(250,573	)
Equity in earnings from subsidiaries	621,818			38,033		—		(659,851	)	—
Net earnings (including net earnings attributable to noncontrolling interests)	521,291			614,966		50,132		(659,851	)	526,538
Less: Net earnings attributable to noncontrolling interests	—			—		5,247		—		5,247
Net earnings attributable to Lennar	$	521,291		614,966		44,885		(659,851	)	521,291
Other comprehensive income, net of tax:
Net unrealized loss on securities available-for-sale	$	—		—		(294	)	—		(294	)
Reclassification adjustments for gains included in earnings, net of tax	$	—		—		(23	)	—		(23	)
Other comprehensive income attributable to Lennar	$	521,291		614,966		44,568		(659,851	)	520,974
Other comprehensive earnings attributable to noncontrolling interests	$	—		—		5,247		—		5,247

Condensed Consolidating Statement of Cash Flows

Nine Months Ended August 31, 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)	$	598,391		684,256		72,287		(752,313	)	602,621
Distributions of earnings from guarantor and non-guarantor subsidiaries	710,016			42,297		—		(752,313	)	—
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by (used in) operating activities	(712,476		)	(707,332	)	61,794		752,313		(605,701	)
Net cash provided by (used in) operating activities	595,931			19,221		134,081		(752,313	)	(3,080	)
Cash flows from investing activities:
Proceeds from the sale of operating properties and equipment	—			17,450		—		—		17,450
Investments in and contributions to unconsolidated entities, net of distributions of capital	—			(100,475	)	(9,752	)	—		(110,227	)
Proceeds from sales of real estate owned	—			—		66,638		—		66,638
Receipts of principal payments on loans receivable and other	—			—		57,733		—		57,733
Originations/purchases of loans receivable	—			—		(56,507	)	—		(56,507	)
Purchases of commercial mortgage-backed securities bonds	—			—		(33,005	)	—		(33,005	)
Other	(8,836		)	(41,120	)	(8,801	)	—		(58,757	)
Distributions of capital from guarantor and non-guarantor subsidiaries	40,000			40,000		—		(80,000	)	—
Intercompany	(956,734		)	—		—		956,734		—
Net cash provided by (used in) investing activities	(925,570		)	(84,145	)	16,306		876,734		(116,675	)
Cash flows from financing activities:
Net borrowings under unsecured revolving credit facility	125,000			—		—		—		125,000
Net (repayments) borrowings under warehouse facilities	—			141		(137,466	)	—		(137,325	)
Proceeds from senior notes and debt issuance costs	495,974			—		(931	)	—		495,043
Redemption of senior notes	(250,000		)	—		—		—		(250,000	)
Conversions and exchanges of convertible senior notes	(233,893		)	—		—		—		(233,893	)
Principal payments on Rialto notes payable including structured notes	—			—		(4,121	)	—		(4,121	)
Net payments on other borrowings	—			(99,804	)			—		(99,804	)
Net payments related to noncontrolling interests	—					(97,912	)	—		(97,912	)
Excess tax benefits from share-based awards	7,039			—		—		—		7,039
Common stock:
Issuances	19,471			—		—		—		19,471
Repurchases	(19,871		)	—		—		—		(19,871	)
Dividends	(26,222		)	(724,256	)	(108,057	)	832,313		(26,222	)
Intercompany	—			782,877		173,857		(956,734	)	—
Net cash provided by (used in) financing activities	117,498			(41,042	)	(174,630	)	(124,421	)	(222,595	)
Net decrease in cash and cash equivalents	(212,141		)	(105,966	)	(24,243	)	—		(342,350	)
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	$	363,680		230,082		222,333		—		816,095

Condensed Consolidating Statement of Cash Flows

Nine Months Ended August 31, 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)	$	521,291		614,966		50,132		(659,851	)	526,538
Distributions of earnings from guarantor and non-guarantor subsidiaries	621,818			38,033		—		(659,851	)	—
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by (used in) operating activities	(594,735		)	(1,090,481	)	(589,587	)	659,851		(1,614,952	)
Net cash provided by (used in) operating activities	548,374			(437,482	)	(539,455	)	(659,851	)	(1,088,414	)
Cash flows from investing activities:
Proceeds from sale of operating properties	—			—		73,732		—		73,732
Investments in and contributions to unconsolidated entities, net of distributions of capital	—			(17,833	)	(18,729	)	—		(36,562	)
Proceeds from sales of real estate owned	—			—		88,565		—		88,565
Receipts of principal payments on loans receivable and other	—			—		14,225		—		14,225
Other	(26,189		)	(47,141	)	(82,311	)	—		(155,641	)
Distributions of capital from guarantor and non-guarantor subsidiaries	75,000			75,050		—		(150,050	)	—
Intercompany	(1,470,225		)	—		—		1,470,225		—
Net cash provided by (used in) investing activities	(1,421,414		)	10,076		75,482		1,320,175		(15,681	)
Cash flows from financing activities:
Net borrowings under unsecured revolving credit facility	575,000			—		—		—		575,000
Net borrowings under warehouse facilities	—			—		294,015		—		294,015
Proceeds from senior notes and debt issuance costs	744,409			—		(994	)	—		743,415
Redemption of senior notes	(500,000		)	—		—		—		(500,000	)
Conversions and exchanges of convertible senior notes	(168,854		)	—		—		—		(168,854	)
Principal payments on Rialto notes payable including structured notes	—			—		(28,247	)	—		(28,247	)
Net proceeds (payments) on other borrowings	20,746			(96,265	)	(69,501	)	—		(145,020	)
Net payments related to noncontrolling interests	—			—		(104,355	)	—		(104,355	)
Excess tax benefit from share-based awards	113			—		—		—		113
Common stock:
Issuances	9,406			—		—		—		9,406
Repurchases	(23,133		)	—		—		—		(23,133	)
Dividends	(24,765		)	(689,966	)	(119,935	)	809,901		(24,765	)
Intercompany	—			1,169,960		300,265		(1,470,225	)	—
Net cash provided by financing activities	632,922			383,729		271,248		(660,324	)	627,575
Net decrease in cash and cash equivalents	(240,118		)	(43,677	)	(192,725	)	—		(476,520	)
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	$	393,200		209,237		202,857		—		805,294