Commission
File Number
|
001-12822
|
DELAWARE
|
58-2086934
|
(State
or other jurisdiction of
|
(I.R.S.
employer
|
incorporation
or organization)
|
Identification
no.)
|
1000
Abernathy Road, Suite 1200, Atlanta, Georgia
|
30328
|
(Address
of principal executive offices)
|
(Zip
Code)
|
YES
|
x
|
NO
|
o
|
Large
accelerated filer
|
x
|
Accelerated
filer
|
o
|
Non-accelerated
filer
|
o
|
YES
|
o
|
NO
|
x
|
Class
|
Outstanding
at January 19, 2007
|
|
Common
Stock, $0.001 par value
|
39,154,879
shares
|
PART
I. FINANCIAL INFORMATION
|
3
|
Item
1. Financial Statements
|
3
|
Unaudited
Condensed Consolidated Balance Sheets, December 31, 2006 and September
30,
2006
|
3
|
Unaudited
Condensed Consolidated Statements of Operations, Three Months Ended
December 31, 2006 and 2005
|
4
|
Unaudited
Condensed Consolidated Statements of Cash Flows, Three Months Ended
December 31, 2006 and 2005
|
5
|
Notes
to Unaudited Condensed Consolidated Financial Statements
|
6
|
Item
2. Management’s Discussion and Analysis of Financial Condition and Results
of Operations
|
24
|
Item
3. Quantitative and Qualitative Disclosures about Market
Risk
|
35
|
Item
4. Controls and Procedures
|
35
|
PART
II. OTHER INFORMATION
|
36
|
Item
1. Legal Proceedings
|
36
|
Item
2. Unregistered Sales of Equity Securities and Use of
Proceeds
|
36
|
Item
6. Exhibits
|
37
|
SIGNATURES
|
37
|
December
31,
|
September
30,
|
||||||
2006
|
2006
|
||||||
ASSETS
|
|||||||
Cash
and cash equivalents
|
$
|
150,285
|
$
|
162,570
|
|||
Restricted
cash
|
4,699
|
9,873
|
|||||
Accounts
receivable
|
78,834
|
333,571
|
|||||
Inventory
|
|||||||
Owned
inventory
|
3,000,533
|
3,048,891
|
|||||
Consolidated
inventory not owned
|
573,828
|
471,441
|
|||||
Total
inventory
|
3,574,361
|
3,520,332
|
|||||
Residential
mortgage loans available-for-sale
|
19,004
|
92,157
|
|||||
Investments
in unconsolidated joint ventures
|
128,230
|
122,799
|
|||||
Deferred
tax assets
|
95,062
|
59,842
|
|||||
Property,
plant and equipment, net
|
28,066
|
29,465
|
|||||
Goodwill
|
121,368
|
121,368
|
|||||
Other
assets
|
113,439
|
107,454
|
|||||
Total
assets
|
$
|
4,313,348
|
$
|
4,559,431
|
|||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|||||||
Trade
accounts payable
|
$
|
86,865
|
$
|
141,131
|
|||
Other
payables and accrued liabilities
|
404,622
|
547,014
|
|||||
Obligations
related to consolidated inventory not owned
|
390,093
|
330,703
|
|||||
Senior
notes (net of discounts of $3,457 and $3,578,
respectively)
|
1,551,543
|
1,551,422
|
|||||
Junior
subordinated notes
|
103,093
|
103,093
|
|||||
Warehouse
line
|
18,332
|
94,881
|
|||||
Other
notes payable
|
111,319
|
89,264
|
|||||
Total
liabilities
|
2,665,867
|
2,857,508
|
|||||
Stockholders'
equity:
|
|||||||
Preferred
stock (par value $.01 per share, 5,000,000 shares authorized,
no shares issued)
|
-
|
-
|
|||||
Common
stock (par value $.001 per share, 80,000,000 shares authorized,
42,585,386 and 42,318,098 issued and 39,154,879
and 38,889,554 outstanding, respectively)
|
43
|
42
|
|||||
Paid-in
capital
|
536,928
|
528,376
|
|||||
Retained
earnings
|
1,300,048
|
1,362,958
|
|||||
Treasury
stock, at cost (3,430,507 and 3,428,544 shares,
respectively)
|
(189,538
|
)
|
(189,453
|
)
|
|||
Total
stockholders' equity
|
1,647,481
|
1,701,923
|
|||||
Total
liabilities and stockholders' equity
|
$
|
4,313,348
|
$
|
4,559,431
|
Three
Months Ended
|
|||||||
December
31,
|
|||||||
2006
|
2005
|
||||||
Total
revenue
|
$
|
803,014
|
$
|
1,105,616
|
|||
Home
construction and land sales expenses
|
661,982
|
829,859
|
|||||
Inventory
impairments and option contract abandonments
|
119,923
|
2,927
|
|||||
Gross
profit
|
21,109
|
272,830
|
|||||
Selling,
general and administrative expenses
|
115,368
|
133,078
|
|||||
Operating
(loss) income
|
(94,259
|
)
|
139,752
|
||||
Equity
in (loss) income of unconsolidated joint ventures
|
(2,360
|
)
|
352
|
||||
Other
income, net
|
1,993
|
4,103
|
|||||
(Loss)
income before income taxes
|
(94,626
|
)
|
144,207
|
||||
(Benefit)
provision for income taxes
|
(35,620
|
)
|
54,294
|
||||
Net
(loss) income
|
$
|
(59,006
|
)
|
$
|
89,913
|
||
Weighted
average number of shares:
|
|||||||
Basic
|
38,280
|
40,958
|
|||||
Diluted
|
38,280
|
45,607
|
|||||
Net
(loss) income per common share:
|
|||||||
Basic
|
$
|
(1.54
|
)
|
$
|
2.20
|
||
Diluted
|
$
|
(1.54
|
)
|
$
|
2.00
|
Three
Months Ended
|
|||||||
December
31,
|
|||||||
2006
|
2005
|
||||||
Cash
flows from operating activities:
|
|||||||
Net
(loss) income
|
$
|
(59,006
|
)
|
$
|
89,913
|
||
Adjustments
to reconcile net (loss) income to net cash provided by (used
in) operating activities:
|
|||||||
Depreciation
and amortization
|
2,551
|
2,442
|
|||||
Stock-based
compensation expense
|
3,728
|
2,268
|
|||||
Inventory
impairments and option contract abandonments
|
119,923
|
2,927
|
|||||
Deferred
income tax (benefit) provision
|
(35,220
|
)
|
9,320
|
||||
Tax
benefit from stock transactions
|
(1,390
|
)
|
(6,169
|
)
|
|||
Equity
in loss (income) of unconsolidated joint ventures
|
2,360
|
(352
|
)
|
||||
Distributions
from earnings in unconsolidated joint ventures
|
1,282
|
-
|
|||||
Changes
in operating assets and liabilities:
|
|||||||
Decrease
in accounts receivable
|
254,737
|
34,623
|
|||||
Increase
in inventory
|
(84,471
|
)
|
(276,080
|
)
|
|||
Decrease
in residential mortgage loans available-for-sale
|
73,153
|
-
|
|||||
Increase
in other assets
|
(5,915
|
)
|
(26,722
|
)
|
|||
Decrease
in trade accounts payable
|
(54,266
|
)
|
(17,390
|
)
|
|||
Decrease
in other liabilities
|
(147,819
|
)
|
(100,125
|
)
|
|||
Other
changes
|
1,651
|
170
|
|||||
Net
cash provided by (used in) operating activities
|
71,298
|
(285,175
|
)
|
||||
|
|||||||
Cash
flows from investing activities:
|
|||||||
Capital
expenditures, net
|
(2,682
|
)
|
(4,732
|
)
|
|||
Investments
in unconsolidated joint ventures
|
(8,723
|
)
|
(19,528
|
)
|
|||
Changes
in restricted cash
|
5,174
|
-
|
|||||
Distributions
from unconsolidated joint ventures
|
886
|
1,280
|
|||||
Net
cash used in investing activities
|
(5,345
|
)
|
(22,980
|
)
|
|||
|
|||||||
Cash
flows from financing activities:
|
|||||||
Borrowings
under credit facilities
|
61,130
|
164,000
|
|||||
Repayment
of credit facilities
|
(137,679
|
)
|
(114,000
|
)
|
|||
Repayment
of other notes payable
|
(2,455
|
)
|
(329
|
)
|
|||
Debt
issuance costs paid
|
(70
|
)
|
-
|
||||
Treasury
stock purchases
|
-
|
(67,005
|
)
|
||||
Common
stock redeemed
|
(85
|
)
|
-
|
||||
Proceeds
from stock option exercises
|
3,435
|
6,082
|
|||||
Tax
benefit from stock transactions
|
1,390
|
6,169
|
|||||
Dividends
paid
|
(3,904
|
)
|
(4,107
|
)
|
|||
Net
change in book overdraft
|
-
|
32,396
|
|||||
Net
cash (used in) provided by financing activities
|
(78,238
|
)
|
23,206
|
||||
Decrease
in cash and cash equivalents
|
(12,285
|
)
|
(284,949
|
)
|
|||
Cash
and cash equivalents at beginning of period
|
162,570
|
297,098
|
|||||
Cash
and cash equivalents at end of period
|
$
|
150,285
|
$
|
12,149
|
|||
|
|||||||
Supplemental
cash flow information:
|
|||||||
Interest
paid
|
$
|
51,102
|
$
|
35,348
|
|||
Income
taxes paid
|
$
|
13,218
|
$
|
55,128
|
|||
Supplemental
disclosures of non-cash activities:
|
|||||||
Increase
in consolidated inventory not owned
|
$
|
59,390
|
$
|
81,628
|
|||
Inventory
financed through notes payable
|
$
|
24,510
|
$
|
7,762
|
(1) |
Basis
of Presentation
|
(2) |
Summary
of Significant Accounting
Policies
|
Shares
|
|
Weighted
Average
Grant
Date
Fair
Value
|
|||||
Beginning
of period
|
974,457
|
$
|
50.66
|
||||
Granted
|
128,058
|
44.47
|
|||||
Vested
|
(19,122
|
)
|
49.37
|
||||
Forfeited
|
(28,655
|
)
|
42.57
|
||||
End
of period
|
1,054,738
|
$
|
50.15
|
Shares
|
Weighted-Average
Exercise
Price
|
||||||
Outstanding
at beginning of period
|
2,135,572
|
$
|
43.82
|
||||
Granted
|
-
|
-
|
|||||
Exercised
|
(280,107
|
)
|
12.26
|
||||
Forfeited
|
(38,156
|
)
|
42.85
|
||||
Outstanding
at end of period
|
1,817,309
|
$
|
48.71
|
||||
Exercisable
at end of period
|
431,646
|
$
|
23.03
|
(3) |
Inventory
|
December
31,
|
September
30,
|
||||||
(in
thousands)
|
2006
|
2006
|
|||||
Homes
under construction
|
$
|
1,321,019
|
$
|
1,368,056
|
|||
Development
projects in progress
|
1,606,549
|
1,623,819
|
|||||
Unimproved
land held for future development
|
11,294
|
12,213
|
|||||
Model
homes
|
61,671
|
44,803
|
|||||
Consolidated
inventory not owned
|
573,828
|
471,441
|
|||||
$
|
3,574,361
|
$
|
3,520,332
|
(4) |
Investments
in and Advances to Unconsolidated Joint
Ventures
|
(5) |
Interest
|
Three
Months Ended
|
|||||||
December
31,
|
|||||||
2006
|
2005
|
||||||
Capitalized
interest in inventory, beginning of period
|
$
|
76,134
|
$
|
51,411
|
|||
Interest
incurred and capitalized
|
34,303
|
25,533
|
|||||
Capitalized
interest amortized to cost of sales
|
(20,115
|
)
|
(18,175
|
)
|
|||
Capitalized
interest in inventory, end of period
|
$
|
90,322
|
$
|
58,769
|
(6) |
Earnings
Per Share and Stockholders’
Equity
|
Three
Months Ended
|
|||||||
December
31,
|
|||||||
2006
|
2005
|
||||||
Basic:
|
|||||||
Net
(loss) income
|
$
|
(59,006
|
)
|
$
|
89,913
|
||
Weighted
average number of common shares outstanding
|
38,280
|
40,958
|
|||||
Basic
(loss) earnings per share
|
$
|
(1.54
|
)
|
$
|
2.20
|
||
|
|||||||
Diluted:
|
|||||||
Net
(loss) income
|
$
|
(59,006
|
)
|
$
|
89,913
|
||
Interest
on convertible debt - net of taxes
|
-
|
1,344
|
|||||
Net
(loss) income available to common shareholders
|
$
|
(59,006
|
)
|
$
|
91,257
|
||
Weighted
average number of common shares
outstanding
|
38,280
|
40,958
|
|||||
Effect
of dilutive securities:
|
|||||||
Shares
issuable upon conversion of convertible debt
|
-
|
3,499
|
|||||
Options
to acquire common stock
|
-
|
594
|
|||||
Restricted
stock
|
-
|
556
|
|||||
Diluted
weighted average common shares
outstanding
|
38,280
|
45,607
|
|||||
Diluted
(loss) earnings per share
|
$
|
(1.54
|
)
|
$
|
2.00
|
(7) |
Borrowings
|
Maturity
Date
|
December
31,
2006 |
September
30,
2006 |
||||||||
Warehouse
Line
|
February
2007
|
$
|
18,332
|
$
|
94,881
|
|||||
Revolving
Credit Facility
|
August
2009
|
-
|
-
|
|||||||
8
5/8% Senior Notes*
|
May
2011
|
200,000
|
200,000
|
|||||||
8
3/8% Senior Notes*
|
April
2012
|
350,000
|
350,000
|
|||||||
6
1/2% Senior Notes*
|
November
2013
|
|
200,000
|
200,000
|
||||||
6
7/8% Senior Notes*
|
July
2015
|
350,000
|
350,000
|
|||||||
8
1/8% Senior Notes*
|
June
2016
|
275,000
|
275,000
|
|||||||
4
5/8% Convertible Senior Notes*
|
June
2024
|
180,000
|
180,000
|
|||||||
Junior
Subordinated Notes
|
July
2036
|
103,093
|
103,093
|
|||||||
Other
Notes Payable
|
Various
Dates
|
111,319
|
89,264
|
|||||||
Unamortized
debt discounts
|
(3,457
|
)
|
(3,578
|
)
|
||||||
Total
|
$
|
1,784,287
|
$
|
1,838,660
|
||||||
*
Collectively, the "Senior Notes"
|
(8) |
Contingencies
|
Three
Months Ended
December
31,
|
|||||||
2006
|
2005
|
||||||
Balance
at beginning of period
|
$
|
47,704
|
$
|
80,708
|
|||
Payments
|
(1,993
|
)
|
(2,652
|
)
|
|||
Balance
at end of period
|
$
|
45,711
|
$
|
78,056
|
Three
Months Ended
December
31,
|
|||||||
2006
|
2005
|
||||||
Balance
at beginning of period
|
$
|
101,033
|
$
|
138,033
|
|||
Provisions
|
6,197
|
5,858
|
|||||
Payments
|
(11,387
|
)
|
(12,086
|
)
|
|||
Balance
at end of period
|
$
|
95,843
|
$
|
131,805
|
(9) |
Stock
Repurchase Program
|
(10) |
Segment
Information
|
Three
Months Ended
December
31,
|
|||||||
2006
|
2005
|
||||||
Revenue
|
|||||||
West
|
$
|
297,907
|
$
|
368,592
|
|||
Mid-Atlantic
|
92,228
|
199,506
|
|||||
Florida
|
91,245
|
145,581
|
|||||
Southeast
|
155,129
|
176,933
|
|||||
Other
homebuilding
|
158,154
|
207,770
|
|||||
Financial
Services
|
11,743
|
10,978
|
|||||
Intercompany
elimination
|
(3,392
|
)
|
(3,744
|
)
|
|||
Consolidated
total
|
$
|
803,014
|
$
|
1,105,616
|
Three
Months Ended
December
31,
|
|||||||
2006
|
2005
|
||||||
Operating
(loss) income (a)
|
|||||||
West
|
$
|
(26,504
|
)
|
$
|
63,739
|
||
Mid-Atlantic
|
(3,251
|
)
|
49,501
|
||||
Florida
|
(28,493
|
)
|
30,631
|
||||
Southeast
|
8,434
|
16,103
|
|||||
Other
homebuilding
|
(15,708
|
)
|
720
|
||||
Financial
Services
|
3,230
|
295
|
|||||
Segment
operating (loss) income
|
(62,292
|
)
|
160,989
|
||||
Corporate
and unallocated (b)
|
(31,967
|
)
|
(21,237
|
)
|
|||
Total
operating (loss) income
|
(94,259
|
)
|
139,752
|
||||
Equity
in (loss) income of unconsolidated joint
ventures
|
(2,360
|
)
|
352
|
||||
Other
income, net
|
1,993
|
4,103
|
|||||
(Loss)
income before income taxes
|
$
|
(94,626
|
)
|
$
|
144,207
|
December
31,
2006
|
September
30,
2006
|
||||||
Assets
(c)
|
|||||||
West
|
$
|
1,241,922
|
$
|
1,392,660
|
|||
Mid-Atlantic
|
589,516
|
562,332
|
|||||
Florida
|
381,727
|
418,915
|
|||||
Southeast
|
426,788
|
433,922
|
|||||
Other
homebuilding
|
578,340
|
632,437
|
|||||
Financial
Services
|
113,976
|
205,684
|
|||||
Corporate
and unallocated (d)
|
981,079
|
913,481
|
|||||
Consolidated
total
|
$
|
4,313,348
|
$
|
4,559,431
|
(a)
|
Operating
(loss) income for the three months ended December 31, 2006 includes
$25.2
million of charges related to the abandonment of lot option agreements
and
$94.7 million of inventory impairments which has been recorded in
the
segments to which the inventory relates (see Note 3). Total charges
for
inventory impairments and abandonments by segment were as follows:
$52.5
million in the West, $6.9 million in the Mid-Atlantic, $42.3 million
in
Florida, $2.9 million in the Southeast and $14.0 million in Other
homebuilding.
|
(b)
|
Corporate
and unallocated includes amortization of capitalized interest and
numerous
shared services functions that benefit all segments, the costs of
which
are not allocated to the operating segments reported above including
information technology, national sourcing and purchasing, treasury,
corporate finance, legal, branding and other national marketing costs.
|
(c)
|
Segment
assets as of both December 31, 2006 and September 30, 2006 include
goodwill assigned from prior acquisitions as follows: $55.5 million
in the
West, $23.3 million in the Mid-Atlantic, $13.7 million in Florida,
$17.6
million in the Southeast and $11.2 million in Other homebuilding.
There
was no change in goodwill from September 30, 2006 to December 31,
2006.
|
(d)
|
Primarily
consists of cash and cash equivalents, consolidated inventory not
owned,
deferred taxes, and capitalized interest and other corporate items
that
are not allocated to the segments.
|
(11) |
Supplemental
Guarantor Information
|
Beazer
Homes USA, Inc.
|
|||||||||||||||||||
Condensed
Consolidating Balance Sheet Information
|
|||||||||||||||||||
December
31, 2006
|
|||||||||||||||||||
(in
thousands)
|
|||||||||||||||||||
|
|
|
|
Beazer
|
|
|
|
|
|
Consolidated
|
|
||||||||
|
|
Beazer
Homes
|
|
Guarantor
|
|
Mortgage
|
|
Non-Guarantor
|
|
Consolidating
|
|
Beazer
Homes
|
|
||||||
|
|
USA,
Inc.
|
|
Subsidiaries
|
|
Corp
(a)
|
|
Subsidiaries
|
|
Adjustments
|
|
USA,
Inc.
|
|||||||
ASSETS
|
|||||||||||||||||||
Cash
and cash equivalents
|
$
|
203,138
|
$
|
(64,403
|
)
|
$
|
8,428
|
$
|
3,122
|
$
|
-
|
$
|
150,285
|
||||||
Restricted
cash
|
-
|
4,699
|
-
|
-
|
-
|
4,699
|
|||||||||||||
Accounts
receivable
|
-
|
77,152
|
1,540
|
142
|
-
|
78,834
|
|||||||||||||
Owned
inventory
|
-
|
3,000,533
|
-
|
-
|
-
|
3,000,533
|
|||||||||||||
Consolidated
inventory not owned
|
-
|
573,828
|
-
|
-
|
-
|
573,828
|
|||||||||||||
Residential
mortgage loans available-for-sale
|
-
|
-
|
19,004
|
-
|
-
|
19,004
|
|||||||||||||
Investments
in unconsolidated joint ventures
|
3,093
|
125,137
|
-
|
-
|
-
|
128,230
|
|||||||||||||
Deferred
tax assets
|
94,565
|
-
|
497
|
-
|
-
|
95,062
|
|||||||||||||
Property,
plant and equipment, net
|
-
|
27,058
|
966
|
42
|
-
|
28,066
|
|||||||||||||
Goodwill
|
-
|
121,368
|
-
|
-
|
-
|
121,368
|
|||||||||||||
Investments
in subsidiaries
|
1,775,212
|
-
|
-
|
-
|
(1,775,212
|
)
|
-
|
||||||||||||
Intercompany
|
1,236,781
|
(1,312,960
|
)
|
50,349
|
25,830
|
-
|
-
|
||||||||||||
Other
assets
|
21,830
|
83,988
|
857
|
6,764
|
-
|
113,439
|
|||||||||||||
Total
assets
|
$
|
3,334,619
|
$
|
2,636,400
|
$
|
81,641
|
$
|
35,900
|
$
|
(1,775,212
|
)
|
$
|
4,313,348
|
||||||
|
|||||||||||||||||||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|||||||||||||||||||
Trade
accounts payable
|
-
|
86,748
|
28
|
89
|
-
|
86,865
|
|||||||||||||
Other
payables and accrued liabilities
|
34,139
|
357,437
|
2,990
|
10,056
|
-
|
404,622
|
|||||||||||||
Intercompany
|
(1,637
|
)
|
-
|
-
|
1,637
|
-
|
-
|
||||||||||||
Obligations
related to consolidated inventory not
owned
|
-
|
390,093
|
-
|
-
|
-
|
390,093
|
|||||||||||||
Senior
notes (net of discounts of $3,457)
|
1,551,543
|
-
|
-
|
-
|
-
|
1,551,543
|
|||||||||||||
Junior
subordinated notes
|
103,093
|
-
|
-
|
-
|
-
|
103,093
|
|||||||||||||
Warehouse
line
|
-
|
-
|
18,332
|
-
|
-
|
18,332
|
|||||||||||||
Other
notes payable
|
-
|
111,319
|
-
|
-
|
-
|
111,319
|
|||||||||||||
Total
liabilities
|
1,687,138
|
945,597
|
21,350
|
11,782
|
-
|
2,665,867
|
|||||||||||||
|
|||||||||||||||||||
Stockholders'
equity
|
1,647,481
|
1,690,803
|
60,291
|
24,118
|
(1,775,212
|
)
|
1,647,481
|
||||||||||||
Total
liabilities and stockholders' equity
|
$
|
3,334,619
|
$
|
2,636,400
|
$
|
81,641
|
$
|
35,900
|
$
|
(1,775,212
|
)
|
$
|
4,313,348
|
Beazer
Homes USA, Inc.
|
|||||||||||||||||||
Condensed
Consolidating Balance Sheet Information
|
|||||||||||||||||||
September
30, 2006
|
|||||||||||||||||||
(in
thousands)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
Beazer
|
|
|
|
|
|
Consolidated
|
|
||||||
|
|
Beazer
Homes
|
|
Guarantor
|
|
Mortgage
|
|
Non-Guarantor
|
|
Consolidating
|
|
Beazer
Homes
|
|
||||||
|
|
USA,
Inc.
|
|
Subsidiaries
|
|
Corp
(a)
|
|
Subsidiaries
|
|
Adjustments
|
|
USA,
Inc.
|
|
||||||
ASSETS
|
|||||||||||||||||||
Cash
and cash equivalents
|
$
|
254,915
|
$
|
(105,158
|
)
|
$
|
5,664
|
$
|
7,149
|
$
|
-
|
$
|
162,570
|
||||||
Restricted
cash
|
-
|
4,873
|
5,000
|
-
|
-
|
9,873
|
|||||||||||||
Accounts
receivable
|
-
|
328,740
|
4,329
|
502
|
-
|
333,571
|
|||||||||||||
Owned
inventory
|
-
|
3,048,891
|
-
|
-
|
-
|
3,048,891
|
|||||||||||||
Consolidated
inventory not owned
|
-
|
471,441
|
-
|
-
|
-
|
471,441
|
|||||||||||||
Residential
mortgage loans available-for-sale
|
-
|
-
|
92,157
|
-
|
-
|
92,157
|
|||||||||||||
Investments
in unconsolidated joint ventures
|
3,093
|
119,706
|
-
|
-
|
-
|
122,799
|
|||||||||||||
Deferred
tax assets
|
59,345
|
-
|
497
|
-
|
-
|
59,842
|
|||||||||||||
Property,
plant and equipment, net
|
-
|
28,454
|
954
|
57
|
-
|
29,465
|
|||||||||||||
Goodwill
|
-
|
121,368
|
-
|
-
|
-
|
121,368
|
|||||||||||||
Investments
in subsidiaries
|
1,829,969
|
-
|
-
|
-
|
(1,829,969
|
)
|
-
|
||||||||||||
Intercompany
|
1,250,702
|
(1,328,310
|
)
|
52,397
|
25,211
|
-
|
-
|
||||||||||||
Other
assets
|
22,751
|
74,751
|
2,419
|
7,533
|
-
|
107,454
|
|||||||||||||
Total
assets
|
$
|
3,420,775
|
$
|
2,764,756
|
$
|
163,417
|
$
|
40,452
|
$
|
(1,829,969
|
)
|
$
|
4,559,431
|
||||||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|||||||||||||||||||
Trade
accounts payable
|
-
|
140,902
|
132
|
97
|
-
|
141,131
|
|||||||||||||
Other
payables and accrued liabilities
|
66,296
|
456,706
|
9,166
|
14,846
|
-
|
547,014
|
|||||||||||||
Intercompany
|
(1,959
|
)
|
-
|
-
|
1,959
|
-
|
-
|
||||||||||||
Obligations
related to consolidated inventory not
owned
|
-
|
330,703
|
-
|
-
|
-
|
330,703
|
|||||||||||||
Senior
notes (net of discounts of $3,578)
|
1,551,422
|
-
|
-
|
-
|
-
|
1,551,422
|
|||||||||||||
Junior
subordinated notes
|
103,093
|
-
|
-
|
-
|
-
|
103,093
|
|||||||||||||
Warehouse
line
|
-
|
-
|
94,881
|
-
|
-
|
94,881
|
|||||||||||||
Other
notes payable
|
-
|
89,264
|
-
|
-
|
-
|
89,264
|
|||||||||||||
Total
liabilities
|
1,718,852
|
1,017,575
|
104,179
|
16,902
|
-
|
2,857,508
|
|||||||||||||
|
|||||||||||||||||||
Stockholders'
equity
|
1,701,923
|
1,747,181
|
59,238
|
23,550
|
(1,829,969
|
)
|
1,701,923
|
||||||||||||
Total
liabilities and stockholders' equity
|
$
|
3,420,775
|
$
|
2,764,756
|
$
|
163,417
|
$
|
40,452
|
$
|
(1,829,969
|
)
|
$
|
4,559,431
|
Beazer
Homes USA, Inc.
|
|||||||||||||||||||
Condensed
Consolidating Statement of Income Information
|
|||||||||||||||||||
Three
Months Ended December 31, 2006
|
|||||||||||||||||||
(in
thousands)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
Beazer
|
|
|
|
|
|
Consolidated
|
|
||||||
|
|
Beazer
Homes
|
|
Guarantor
|
|
Mortgage
|
|
Non-Guarantor
|
|
Consolidating
|
|
Beazer
Homes
|
|
||||||
|
|
USA,
Inc.
|
|
Subsidiaries
|
|
Corp.
(a)
|
|
Subsidiaries
|
|
Adjustments
|
|
USA,
Inc.
|
|
||||||
Total
revenue
|
$
|
-
|
$
|
795,045
|
$
|
9,939
|
$
|
1,422
|
$
|
(3,392
|
)
|
$
|
803,014
|
||||||
Home
construction and land sales expenses
|
20,115
|
645,259
|
-
|
-
|
(3,392
|
)
|
661,982
|
||||||||||||
Inventory
impairments and option contract abandonments
|
1,339
|
118,584
|
-
|
-
|
-
|
119,923
|
|||||||||||||
Gross
profit
|
(21,454
|
)
|
31,202
|
9,939
|
1,422
|
-
|
21,109
|
||||||||||||
Selling,
general and administrative expenses
|
-
|
107,094
|
7,758
|
516
|
-
|
115,368
|
|||||||||||||
Operating
(loss) income
|
(21,454
|
)
|
(75,892
|
)
|
2,181
|
906
|
-
|
(94,259
|
)
|
||||||||||
Equity
in (loss) of unconsolidated joint ventures
|
-
|
(2,360
|
)
|
-
|
-
|
-
|
(2,360
|
)
|
|||||||||||
Royalty
and management fee expense
|
-
|
567
|
(567
|
)
|
-
|
-
|
-
|
||||||||||||
Other
income, net
|
-
|
1,923
|
70
|
-
|
-
|
1,993
|
|||||||||||||
(Loss)
income before income taxes
|
(21,454
|
)
|
(75,762
|
)
|
1,684
|
906
|
-
|
(94,626
|
)
|
||||||||||
(Benefit)
provision for income taxes
|
(8,045
|
)
|
(28,544
|
)
|
631
|
338
|
-
|
(35,620
|
)
|
||||||||||
Equity
in income of subsidiaries
|
(45,597
|
)
|
-
|
-
|
-
|
45,597
|
-
|
||||||||||||
Net
(loss) income
|
$
|
(59,006
|
)
|
$
|
(47,218
|
)
|
$
|
1,053
|
$
|
568
|
$
|
45,597
|
$
|
(59,006
|
)
|
Beazer
Homes USA, Inc.
|
|||||||||||||||||||
Condensed
Consolidating Statement of Income Information
|
|||||||||||||||||||
Three
Months Ended December 31, 2005
|
|||||||||||||||||||
(in
thousands)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
Beazer
|
|
|
|
|
|
Consolidated
|
|
||||||
|
|
Beazer
Homes
|
|
Guarantor
|
|
Mortgage
|
|
Non-Guarantor
|
|
Consolidating
|
|
Beazer
Homes
|
|
||||||
|
|
USA,
Inc.
|
|
Subsidiaries
|
|
Corp.
(a)
|
|
Subsidiaries
|
|
Adjustments
|
|
USA,
Inc.
|
|
||||||
Total
revenue
|
$
|
-
|
$
|
1,092,904
|
$
|
10,978
|
$
|
1,734
|
$
|
-
|
$
|
1,105,616
|
|||||||
Home
construction and land sales expenses
|
18,175
|
819,042
|
-
|
-
|
(7,358
|
)
|
829,859
|
||||||||||||
Inventory
impairments and option contract abandonments
|
-
|
2,927
|
-
|
-
|
-
|
2,927
|
|||||||||||||
Gross
profit
|
(18,175
|
)
|
270,935
|
10,978
|
1,734
|
7,358
|
272,830
|
||||||||||||
Selling,
general and administrative expenses
|
-
|
121,915
|
10,683
|
480
|
-
|
133,078
|
|||||||||||||
Operating
income
|
(18,175
|
)
|
149,020
|
295
|
1,254
|
7,358
|
139,752
|
||||||||||||
Equity
in income of unconsolidated joint ventures
|
-
|
352
|
-
|
-
|
-
|
352
|
|||||||||||||
Royalty
and management fee expense
|
20,626
|
(20,453
|
)
|
(173
|
)
|
-
|
-
|
||||||||||||
Other
income, net
|
-
|
4,103
|
-
|
-
|
-
|
4,103
|
|||||||||||||
Income
before income taxes
|
2,451
|
133,022
|
122
|
1,254
|
7,358
|
144,207
|
|||||||||||||
Provision
for income taxes
|
923
|
50,083
|
46
|
472
|
2,770
|
54,294
|
|||||||||||||
Equity
in income of subsidiaries
|
88,385
|
-
|
-
|
-
|
(88,385
|
)
|
-
|
||||||||||||
Net
income (loss)
|
$
|
89,913
|
$
|
82,939
|
$
|
76
|
$
|
782
|
$
|
(83,797
|
)
|
$
|
89,913
|
Beazer
Homes USA, Inc.
|
||||||||||||||||
Condensed
Consolidating Statement of Cash Flows Information
|
||||||||||||||||
Three
Months Ended December 31, 2006
|
||||||||||||||||
(in
thousands)
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
Beazer
|
|
|
|
Consolidated
|
|
|||||
|
|
Beazer
Homes
|
|
Guarantor
|
|
Mortgage
|
|
Non-Guarantor
|
|
Beazer
Homes
|
|
|||||
|
|
USA,
Inc.
|
|
Subsidiaries
|
|
Corp.
(a)
|
|
Subsidiaries
|
|
USA,
Inc.
|
||||||
Net
cash (used in)/provided by operating activities
|
$
|
(79,916
|
)
|
$
|
81,828
|
$
|
72,471
|
$
|
(3,085
|
)
|
$
|
71,298
|
||||
|
||||||||||||||||
Cash
flows from investing activities:
|
||||||||||||||||
Capital
expenditures
|
-
|
(2,558
|
)
|
(124
|
)
|
-
|
(2,682
|
)
|
||||||||
Investments
in unconsolidated joint ventures
|
-
|
(8,723
|
)
|
-
|
-
|
(8,723
|
)
|
|||||||||
Changes
in restricted cash
|
-
|
174
|
5,000
|
-
|
5,174
|
|||||||||||
Distributions
from unconsolidated joint ventures
|
-
|
886
|
-
|
-
|
886
|
|||||||||||
Net
cash (used in) provided by investing activities
|
-
|
(10,221
|
)
|
4,876
|
-
|
(5,345
|
)
|
|||||||||
|
||||||||||||||||
Cash
flows from financing activities:
|
||||||||||||||||
Borrowings
under credit facilities
|
-
|
-
|
61,130
|
-
|
61,130
|
|||||||||||
Repayment
of credit facilities
|
-
|
-
|
(137,679
|
)
|
-
|
(137,679
|
)
|
|||||||||
Repayment
of other notes payable
|
-
|
(2,455
|
)
|
-
|
-
|
(2,455
|
)
|
|||||||||
Debt
issuance costs paid
|
-
|
-
|
(70
|
)
|
-
|
(70
|
)
|
|||||||||
Common
stock redeemed
|
(85
|
)
|
-
|
-
|
-
|
(85
|
)
|
|||||||||
Proceeds
from stock option exercises
|
3,435
|
-
|
-
|
-
|
3,435
|
|||||||||||
Tax
benefit from stock transactions
|
1,390
|
-
|
-
|
-
|
1,390
|
|||||||||||
Dividends
paid
|
(3,904
|
)
|
-
|
-
|
-
|
(3,904
|
)
|
|||||||||
Advances
to/from subsidiaries
|
27,303
|
(28,397
|
)
|
2,036
|
(942
|
)
|
-
|
|||||||||
Net
cash provided by (used in) financing activities
|
28,139
|
(30,852
|
)
|
(74,583
|
)
|
(942
|
)
|
(78,238
|
)
|
|||||||
(Decrease)/increase
in cash and cash equivalents
|
(51,777
|
)
|
40,755
|
2,764
|
(4,027
|
)
|
(12,285
|
)
|
||||||||
Cash
and cash equivalents at beginning of period
|
254,915
|
(105,158
|
)
|
5,664
|
7,149
|
162,570
|
||||||||||
Cash
and cash equivalents at end of period
|
$
|
203,138
|
$
|
(64,403
|
)
|
$
|
8,428
|
$
|
3,122
|
$
|
150,285
|
Condensed
Consolidating Statement of Cash Flows
|
||||||||||||||||
Three
Months Ended December 31, 2005
|
||||||||||||||||
(in
thousands)
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
Beazer
|
|
|
|
Consolidated
|
|
|||||
|
|
Beazer
Homes
|
|
Guarantor
|
|
Mortgage
|
|
Non-Guarantor
|
|
Beazer
Homes
|
|
|||||
|
|
USA,
Inc.
|
|
Subsidiaries
|
|
Corp.
(a)
|
|
Subsidiaries
|
|
USA,
Inc.
|
||||||
Net
cash (used in)/provided by operating activities
|
$
|
(91,331
|
)
|
$
|
(196,230
|
)
|
$
|
202
|
$
|
2,184
|
$
|
(285,175
|