Supplemental Financial Information

6 Months Ended

May 31, 2017

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Supplemental Financial Information

Supplemental Financial Information

The indentures governing the Company’s 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, 4.750% senior notes due 2021, 6.875% senior notes due 2021, 4.125% senior notes due 2022, 4.750% senior notes due 2022, 4.875% senior notes due 2023, 4.50% senior notes due 2024 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 May 31, 2017 they were guaranteeing Lennar Corporation's letter of credit facilities and its Credit Facility, disclosed in Note 12. In addition, effective February 10, 2017, in connection with the acquisition of WCI, the Company agreed to become a co-issuer of the 6.875% senior notes due 2021 that were issued by WCI and guaranteed by several of its wholly-owned subsidiaries. Because WCI and those subsidiaries are in effect guarantors of the Company’s obligations as a co-issuer of the 6.875% senior notes due 2021, most of those subsidiaries must also guarantee the Company’s obligations with regard to its senior notes. As such, WCI and its subsidiaries are included in the subsidiaries that are referred to as “Guarantor Subsidiaries” in the following tables. The separate assets and liabilities of WCI and its subsidiaries are set forth in Note 2. 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 May 31, 2017 was as follows:

Condensed Consolidating Balance Sheet

May 31, 2017

(In thousands)	Lennar Corporation		Guarantor Subsidiaries	Non-Guarantor Subsidiaries	Consolidating Adjustments		Total
ASSETS
Lennar Homebuilding:
Cash and cash equivalents, restricted cash and receivables, net	$	554,381	265,539	16,769	—		836,689
Inventories	—		10,157,196	275,978	—		10,433,174
Investments in unconsolidated entities	—		978,629	16,771	—		995,400
Goodwill	—		136,633	—	—		136,633
Other assets	224,770		579,538	99,507	(13,150	)	890,665
Investments in subsidiaries	4,501,309		72,290	—	(4,573,599	)	—
Intercompany	7,670,891		—	—	(7,670,891	)	—
	12,951,351		12,189,825	409,025	(12,257,640	)	13,292,561
Rialto	—		—	1,364,421	—		1,364,421
Lennar Financial Services	—		123,529	1,323,623	(2,858	)	1,444,294
Lennar Multifamily	—		—	653,229	—		653,229
Total assets	$	12,951,351	12,313,354	3,750,298	(12,260,498	)	16,754,505
LIABILITIES AND EQUITY
Lennar Homebuilding:
Accounts payable and other liabilities	$	413,029	866,959	130,835	(16,008	)	1,394,815
Liabilities related to consolidated inventory not owned	—		120,054	13,500	—		133,554
Senior notes and other debts payable	5,215,751		534,593	17,345	—		5,767,689
Intercompany	—		6,573,012	1,097,879	(7,670,891	)	—
	5,628,780		8,094,618	1,259,559	(7,686,899	)	7,296,058
Rialto	—		—	860,612	—		860,612
Lennar Financial Services	—		38,100	999,563	—		1,037,663
Lennar Multifamily	—		—	123,166	—		123,166
Total liabilities	5,628,780		8,132,718	3,242,900	(7,686,899	)	9,317,499
Stockholders’ equity	7,322,571		4,180,636	392,963	(4,573,599	)	7,322,571
Noncontrolling interests	—		—	114,435	—		114,435
Total equity	7,322,571		4,180,636	507,398	(4,573,599	)	7,437,006
Total liabilities and equity	$	12,951,351	12,313,354	3,750,298	(12,260,498	)	16,754,505

Condensed Consolidating Balance Sheet

November 30, 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	$	705,126	436,090	21,875	—		1,163,091
Inventories	—		8,901,874	277,052	—		9,178,926
Investments in unconsolidated entities	—		793,840	17,883	—		811,723
Other assets	227,267		346,865	84,224	(7,328	)	651,028
Investments in subsidiaries	3,918,687		130,878	—	(4,049,565	)	—
Intercompany	7,017,962		—	—	(7,017,962	)	—
	11,869,042		10,609,547	401,034	(11,074,855	)	11,804,768
Rialto	—		—	1,276,210	—		1,276,210
Lennar Financial Services loans held-for-sale	—		—	939,405	—		939,405
Lennar Financial Services all other assets	—		103,000	715,758	(3,491	)	815,267
Lennar Multifamily	—		—	526,131	—		526,131
Total assets	$	11,869,042	10,712,547	3,858,538	(11,078,346	)	15,361,781
LIABILITIES AND EQUITY
Lennar Homebuilding:
Accounts payable and other liabilities	$	473,103	778,249	79,462	(10,819	)	1,319,995
Liabilities related to consolidated inventory not owned	—		13,582	96,424	—		110,006
Senior notes and other debts payable	4,369,897		203,572	2,508	—		4,575,977
Intercompany	—		6,071,778	946,184	(7,017,962	)	—
	4,843,000		7,067,181	1,124,578	(7,028,781	)	6,005,978
Rialto	—		—	707,980	—		707,980
Lennar Financial Services	—		38,530	1,279,753	—		1,318,283
Lennar Multifamily	—		—	117,973	—		117,973
Total liabilities	4,843,000		7,105,711	3,230,284	(7,028,781	)	8,150,214
Stockholders’ equity	7,026,042		3,606,836	442,729	(4,049,565	)	7,026,042
Noncontrolling interests	—		—	185,525	—		185,525
Total equity	7,026,042		3,606,836	628,254	(4,049,565	)	7,211,567
Total liabilities and equity	$	11,869,042	10,712,547	3,858,538	(11,078,346	)	15,361,781

Condensed Consolidating Statement of Operations and Comprehensive Income (Loss)Three Months Ended May 31, 2017

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		2,875,612		10,129		—		2,885,741
Lennar Financial Services	—			86,596		126,767		(5,000	)	208,363
Rialto	—			—		67,988		—		67,988
Lennar Multifamily	—			—		99,835		(35	)	99,800
Total revenues	—			2,962,208		304,719		(5,035	)	3,261,892
Cost and expenses:
Lennar Homebuilding	—			2,525,007		10,718		(242	)	2,535,483
Lennar Financial Services	—			77,742		92,673		(5,779	)	164,636
Rialto	—			—		59,166		(90	)	59,076
Lennar Multifamily	—			—		102,698		—		102,698
Corporate general and administrative	65,217			291		—		1,266		66,774
Total costs and expenses	65,217			2,603,040		265,255		(4,845	)	2,928,667
Lennar Homebuilding equity in loss from unconsolidated entities	—			(21,468	)	(38	)	—		(21,506	)
Lennar Homebuilding other income (expense), net	(180		)	1,880		1,938		190		3,828
Rialto equity in earnings from unconsolidated entities	—			—		5,730		—		5,730
Rialto other expense, net	—			—		(21,104	)	—		(21,104	)
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		9,427		—		9,427
Earnings (loss) before income taxes	(65,397		)	339,580		35,417		—		309,600
Benefit (provision) for income taxes	21,822			(112,372	)	(18,342	)	—		(108,892	)
Equity in earnings from subsidiaries	257,220			21,415		—		(278,635	)	—
Net earnings (including net loss attributable to noncontrolling interests)	213,645			248,623		17,075		(278,635	)	200,708
Less: Net loss attributable to noncontrolling interests	—			—		(12,937	)	—		(12,937	)
Net earnings attributable to Lennar	$	213,645		248,623		30,012		(278,635	)	213,645
Other comprehensive income, net of tax:
Net unrealized gains on securities available-for-sale	$	—		—		419		—		419
Reclassification adjustments for loss included in earnings, net of tax	—			—		4		—		4
Other comprehensive income attributable to Lennar	$	213,645		248,623		30,435		(278,635	)	214,068
Other comprehensive loss attributable to noncontrolling interests	$	—		—		(12,937	)	—		(12,937	)

Condensed Consolidating Statement of Operations and Comprehensive Income

Three Months Ended May 31, 2016

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		2,450,885		—		—		2,450,885
Lennar Financial Services	—			53,310		127,642		(5,012	)	175,940
Rialto	—			—		44,838		—		44,838
Lennar Multifamily	—			—		74,171		(19	)	74,152
Total revenues	—			2,504,195		246,651		(5,031	)	2,745,815
Cost and expenses:
Lennar Homebuilding	—			2,126,412		(6,231	)	(7,893	)	2,112,288
Lennar Financial Services	—			48,204		81,255		2,393		131,852
Rialto	—			—		50,260		(57	)	50,203
Lennar Multifamily	—			—		73,217		—		73,217
Corporate general and administrative	54,282			254		—		1,266		55,802
Total costs and expenses	54,282			2,174,870		198,501		(4,291	)	2,423,362
Lennar Homebuilding equity in earnings (loss) from unconsolidated entities	—			(10,860	)	1,227		—		(9,633	)
Lennar Homebuilding other income (expense), net	(732		)	22,623		(8,899	)	740		13,732
Rialto equity in earnings from unconsolidated entities	—			—		6,864		—		6,864
Rialto other expense, net	—			—		(19,585	)	—		(19,585	)
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		14,008		—		14,008
Earnings (loss) before income taxes	(55,014		)	341,088		41,765		—		327,839
Benefit (provision) for income taxes	18,025			(108,653	)	(13,173	)	—		(103,801	)
Equity in earnings from subsidiaries	255,458			15,458		—		(270,916	)	—
Net earnings (including net earnings attributable to noncontrolling interests)	218,469			247,893		28,592		(270,916	)	224,038
Less: Net earnings attributable to noncontrolling interests	—			—		5,569		—		5,569
Net earnings attributable to Lennar	$	218,469		247,893		23,023		(270,916	)	218,469
Other comprehensive income, net of tax:
Net unrealized gain on securities available-for-sale	$	—		—		919		—		919
Reclassification adjustments for gains included in earnings, net of tax	—			—		(6	)	—		(6	)
Other comprehensive income attributable to Lennar	$	218,469		247,893		23,936		(270,916	)	219,382
Other comprehensive income attributable to noncontrolling interests	$	—		—		5,569		—		5,569

Condensed Consolidating Statement of Operations and Comprehensive Income (Loss)

Six Months Ended May 31, 2017

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		4,888,494		15,941		—		4,904,435
Lennar Financial Services	—			137,105		229,299		(9,998	)	356,406
Rialto	—			—		149,994		—		149,994
Lennar Multifamily	—			—		188,552		(67	)	188,485
Total revenues	—			5,025,599		583,786		(10,065	)	5,599,320
Cost and expenses:
Lennar Homebuilding	—			4,319,017		18,586		(559	)	4,337,044
Lennar Financial Services	—			126,798		176,661		(11,444	)	292,015
Rialto	—			—		126,131		(142	)	125,989
Lennar Multifamily	—			—		195,347		—		195,347
Corporate general and administrative	124,396			546		—		2,531		127,473
Total costs and expenses	124,396			4,446,361		516,725		(9,614	)	5,077,868
Lennar Homebuilding equity in loss from unconsolidated entities	—			(33,028	)	(12	)	—		(33,040	)
Lennar Homebuilding other income (expense), net	(431		)	6,653		2,894		451		9,567
Lennar Homebuilding loss due to litigation	—			(140,000	)	—		—		(140,000	)
Rialto equity in earnings from unconsolidated entities	—			—		6,452		—		6,452
Rialto other expense, net	—			—		(37,762	)	—		(37,762	)
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		32,574		—		32,574
Earnings (loss) before income taxes	(124,827		)	412,863		71,207		—		359,243
Benefit (provision) for income taxes	42,266			(135,716	)	(35,411	)	—		(128,861	)
Equity in earnings from subsidiaries	334,286			28,308		—		(362,594	)	—
Net earnings (including net loss attributable to noncontrolling interests)	251,725			305,455		35,796		(362,594	)	230,382
Less: Net loss attributable to noncontrolling interests	—			—		(21,343	)	—		(21,343	)
Net earnings attributable to Lennar	$	251,725		305,455		57,139		(362,594	)	251,725
Other comprehensive income, net of tax:
Net unrealized gain on securities available-for-sale	$	—		—		1,391		—		1,391
Reclassification adjustments for loss included in earnings, net of tax	—			—		4		—		4
Other comprehensive income attributable to Lennar	$	251,725		305,455		58,534		(362,594	)	253,120
Other comprehensive loss attributable to noncontrolling interests	$	—		—		(21,343	)	—		(21,343	)

Condensed Consolidating Statement of Operations and Comprehensive Income

Six Months Ended May 31, 2016

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Revenues:
Lennar Homebuilding	$	—		4,237,366		—		—		4,237,366
Lennar Financial Services	—			93,920		215,984		(10,008	)	299,896
Rialto	—			—		88,549		—		88,549
Lennar Multifamily	—			—		113,700		(32	)	113,668
Total revenues	—			4,331,286		418,233		(10,040	)	4,739,479
Cost and expenses:
Lennar Homebuilding	—			3,682,578		8,632		(10,717	)	3,680,493
Lennar Financial Services	—			90,016		151,324		(463	)	240,877
Rialto	—			—		93,477		(367	)	93,110
Lennar Multifamily	—			—		120,237		—		120,237
Corporate general and administrative	100,430			509		—		2,531		103,470
Total costs and expenses	100,430			3,773,103		373,670		(9,016	)	4,238,187
Lennar Homebuilding equity in earnings (loss) from unconsolidated entities	—			(7,011	)	378		—		(6,633	)
Lennar Homebuilding other income (expense), net	(1,006		)	12,950		126		1,024		13,094
Rialto equity in earnings from unconsolidated entities	—			—		8,361		—		8,361
Rialto other expense, net	—			—		(20,276	)	—		(20,276	)
Lennar Multifamily equity in earnings from unconsolidated entities	—			—		33,694		—		33,694
Earnings (loss) before income taxes	(101,436		)	564,122		66,846		—		529,532
Benefit (provision) for income taxes	31,060			(170,363	)	(20,739	)	—		(160,042	)
Equity in earnings from subsidiaries	432,925			19,996		—		(452,921	)	—
Net earnings (including net earnings attributable to noncontrolling interests)	362,549			413,755		46,107		(452,921	)	369,490
Less: Net earnings attributable to noncontrolling interests	—			—		6,941		—		6,941
Net earnings attributable to Lennar	$	362,549		413,755		39,166		(452,921	)	362,549
Other comprehensive income, net of tax:
Net unrealized gain on securities available-for-sale	$	—		—		482		—		482
Reclassification adjustments for gains included in earnings, net of tax	—			—		(6	)	—		(6	)
Other comprehensive income attributable to Lennar	$	362,549		413,755		39,642		(452,921	)	363,025
Other comprehensive income attributable to noncontrolling interests	$	—		—		6,941		—		6,941

Condensed Consolidating Statement of Cash Flows

Six Months Ended May 31, 2017

(In thousands)	Lennar Corporation			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments		Total
Cash flows from operating activities:
Net earnings (including net loss attributable to noncontrolling interests)	$	251,725		305,455		35,796		(362,594	)	230,382
Distributions of earnings from guarantor and non-guarantor subsidiaries	334,286			28,308		—		(362,594	)	—
Other adjustments to reconcile net earnings (including net loss attributable to noncontrolling interests) to net cash provided by (used in) operating activities	(340,147		)	(412,545	)	(43	)	362,594		(390,141	)
Net cash provided by (used in) operating activities	245,864			(78,782	)	35,753		(362,594	)	(159,759	)
Cash flows from investing activities:
Investments in and contributions to unconsolidated entities, net of distributions of capital	—			(218,153	)	(1,103	)	—		(219,256	)
Proceeds from sales of real estate owned	—			—		55,521		—		55,521
Originations of loans receivable	—			—		(14,055	)	—		(14,055	)
Purchases of commercial mortgage-backed securities bonds	—			—		(40,357	)	—		(40,357	)
Acquisition, net of cash acquired	(611,103		)	—		—		—		(611,103	)
Other	(3,897		)	(23,370	)	(17,019	)	—		(44,286	)
Distributions of capital from guarantor and non-guarantor subsidiaries	60,000			60,000		—		(120,000	)	—
Intercompany	(657,990		)	—		—		657,990		—
Net cash used in investing activities	(1,212,990		)	(181,523	)	(17,013	)	537,990		(873,536	)
Cash flows from financing activities:
Net repayments under warehouse facilities	—			(51	)	(144,214	)	—		(144,265	)
Proceeds from senior notes and debt issuance costs	1,240,449			—		(4,509	)	—		1,235,940
Redemption of senior notes	(400,000		)	—		—		—		(400,000	)
Net proceeds on Rialto notes payable	—			—		25,340		—		25,340
Net proceeds (payments) on other borrowings	—			(28,705	)	63,201		—		34,496
Net payments related to noncontrolling interests	—					(47,589	)	—		(47,589	)
Excess tax benefits from share-based awards	1,980			—		—		—		1,980
Common stock:
Issuances	693			—		—		—		693
Repurchases	(83		)	—		—		—		(83	)
Dividends	(18,778		)	(365,455	)	(117,139	)	482,594		(18,778	)
Intercompany	—			497,457		160,533		(657,990	)	—
Net cash provided by (used in) financing activities	824,261			103,246		(64,377	)	(175,396	)	687,734
Net decrease in cash and cash equivalents	(142,865		)	(157,059	)	(45,637	)	—		(345,561	)
Cash and cash equivalents at beginning of period	697,112			377,070		255,347		—		1,329,529
Cash and cash equivalents at end of period	$	554,247		220,011		209,710		—		983,968

Condensed Consolidating Statement of Cash Flows

Six Months Ended May 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)	$	362,549		413,755		46,107		(452,921	)	369,490
Distributions of earnings from guarantor and non-guarantor subsidiaries	432,925			19,996		—		(452,921	)	—
Other adjustments to reconcile net earnings (including net earnings attributable to noncontrolling interests) to net cash provided by (used in) operating activities	(412,335		)	(789,132	)	203,674		452,921		(544,872	)
Net cash provided by (used in) operating activities	383,139			(355,381	)	249,781		(452,921	)	(175,382	)
Cash flows from investing activities:
Investments in and contributions to unconsolidated entities, net of distributions of capital	—			(65,441	)	(41,775	)	—		(107,216	)
Proceeds from sales of real estate owned	—			—		43,412		—		43,412
Originations of loans receivable	—			—		(16,864	)	—		(16,864	)
Receipts of principal payments on loans receivable	—			—		5,484		—		5,484
Purchases of commercial mortgage-backed securities bonds	—			—		(33,005	)	—		(33,005	)
Other	(6,704		)	(30,269	)	(4,465	)	—		(41,438	)
Distributions of capital from guarantor and non-guarantor subsidiaries	40,000			40,000		—		(80,000	)	—
Intercompany	(1,008,886		)	—		—		1,008,886		—
Net cash used in investing activities	(975,590		)	(55,710	)	(47,213	)	928,886		(149,627	)
Cash flows from financing activities:
Net borrowings under unsecured revolving credit facility	375,000			—		—		—		375,000
Net repayments under warehouse facilities	—			—		(230,206	)	—		(230,206	)
Proceeds from senior notes and debt issuance costs	495,974			—		(746	)	—		495,228
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	—			—		(2,999	)	—		(2,999	)
Net payments on other borrowings				(87,532	)	—		—		(87,532	)
Net payments related to noncontrolling interests	—			—		(73,028	)	—		(73,028	)
Excess tax benefits from share-based awards	7,039			—		—		—		7,039
Common stock:
Issuances	594			—		—		—		594
Repurchases	(971		)	—		—		—		(971	)
Dividends	(17,191		)	(453,755	)	(79,166	)	532,921		(17,191	)
Intercompany	—			879,733		129,153		(1,008,886	)	—
Net cash provided by (used in) financing activities	376,552			338,446		(256,992	)	(475,965	)	(17,959	)
Net decrease in cash and cash equivalents	(215,899		)	(72,645	)	(54,424	)	—		(342,968	)
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	$	359,922		263,403		192,152		—		815,477