MIAMI, June 25 /PRNewswire-FirstCall/ -- -- Revenues of $891.9
million - down 21% -- Loss per share of $0.76 (includes a $0.38 per
share charge related to valuation adjustments and other write-offs;
and a $0.27 per share charge related to a non-cash deferred tax
asset valuation allowance) -- Gross margin on home sales: -- 14.0%
(excluding SFAS 144 valuation adjustments of $34.6 million) - down
190 basis points -- 9.6% (including SFAS 144 valuation adjustments)
- up 90 basis points -- S,G&A expenses as a % of revenues from
home sales of 14.3% -- Improved 110 basis points from Q2 2008 --
Improved 510 basis points from Q1 2009 -- Homebuilding cash of $1.4
billion and no outstanding borrowings under the Company's credit
facility -- Retired $281 million of 7 5/8% senior notes due in
March 2009 -- Issued $400 million of 12.25% senior notes due 2017
-- Issued 12.8 million shares for $126.3 million under an equity
draw-down program -- Homebuilding debt to total capital, net of
homebuilding cash, of 32.9% -- Maximum recourse indebtedness
related to the Company's unconsolidated entities of $422.4 million
- reduced $51.6 million since Q1 2009 -- Deliveries of 3,149 homes
- down 18% from Q2 2008; up 47% from Q1 2009 -- New orders of 3,564
homes - down 19% from Q2 2008; up 63% from Q1 2009 -- Backlog of
2,062 homes - down 48% from Q2 2008; up 25% from Q1 2009 --
Cancellation rate of 15% - compared to 22% in Q2 2008 and 21% in Q1
2009 Lennar Corporation (NYSE:LENNYSE:andNYSE:LEN.B), one of the
nation's largest homebuilders, today reported results for its
second quarter ended May 31, 2009. Second quarter net loss in 2009
was $125.2 million, or $0.76 per diluted share, compared to second
quarter net loss of $120.9 million, or $0.76 per diluted share, in
2008. Stuart Miller, President and Chief Executive Officer of
Lennar Corporation, said, "During the second quarter, the housing
market experienced an uptick in sales of new homes, compared to the
first quarter, as more confident homebuyers took advantage of
increased affordability. Declining home prices, historically low
interest rates and government stimulus programs, such as the $8,000
federal tax credit and the $10,000 California state tax credit,
created unique purchasing opportunities and made it more compelling
for homebuyers to enter the market. While we are sensing pent-up
demand in the market, rising unemployment, increased foreclosures
and tighter credit standards continue to present challenges for the
industry to generate sales at a more robust pace and at stabilized
pricing. This combined with a recent spike in mortgage rates has
made it difficult to predict when the market will ultimately turn
the corner." Mr. Miller continued, "During the second quarter, we
strategically focused on further enhancing our liquidity position
as we ended the quarter with $1.4 billion in cash and a responsible
homebuilding debt-to-total capital ratio, net of homebuilding cash,
of 32.9%. We generated liquidity by reducing our completed, unsold
inventory by 53% to 626 homes from 1,321 homes at February 28,
2009. We also issued $400 million of senior notes, retired $281
million of senior notes and generated proceeds of $126 million from
the issuance of common stock under an equity draw-down program."
"We continue to focus on returning to profitability. We have made
significant progress on right-sizing our business and have
aggressively reduced our overhead structure. This was evident by a
510 basis point improvement in S,G&A expenses as a percentage
of home sales, compared to the first quarter of 2009. In addition,
we have made great strides in lowering our construction costs and
repositioning our product offering to target first-time and
value-focused homebuyers. More efficient, smaller plans have been
very well received by our customers and continue to represent an
increased percentage of our deliveries." Mr. Miller concluded, "As
we continue our intense focus on rebuilding homebuilding
profitability and on cash generation, we are well positioned with a
strong balance sheet to navigate the current market and to take
advantage of opportunities as they present themselves." RESULTS OF
OPERATIONS THREE MONTHS ENDED MAY 31, 2009 COMPARED TO THREE MONTHS
ENDED MAY 31, 2008 Homebuilding Revenues from home sales decreased
23% in the second quarter of 2009 to $788.6 million from $1,018.9
million in 2008. Revenues were lower primarily due to a 16%
decrease in the number of home deliveries, excluding unconsolidated
entities, and an 8% decrease in the average sales price of homes
delivered in 2009. New home deliveries, excluding unconsolidated
entities, decreased to 3,138 homes in the second quarter of 2009
from 3,729 homes last year. In the second quarter of 2009, new home
deliveries were lower in each of the Company's homebuilding
segments and Homebuilding Other, compared to 2008. The average
sales price of homes delivered decreased to $251,000 in the second
quarter of 2009 from $274,000 in the same period last year,
primarily due to reduced pricing. Sales incentives offered to
homebuyers were $52,600 per home delivered in the second quarter of
2009, compared to $48,700 per home delivered in the same period
last year. Gross margins on home sales were $76.1 million, or 9.6%,
in the second quarter of 2009, which included $34.6 million of SFAS
144 valuation adjustments, compared to gross margins on home sales
of $88.4 million, or 8.7%, in the second quarter of 2008, which
included $73.6 million of SFAS 144 valuation adjustments. Gross
margins on home sales excluding SFAS 144 valuation adjustments were
$110.7 million, or 14.0%, in the second quarter of 2009, compared
to $162.0 million, or 15.9%, in 2008. Gross margin percentage on
home sales, excluding SFAS 144 valuation adjustments, decreased
compared to last year primarily due to higher sales incentives
offered to homebuyers as a percentage of revenues from home sales
as the Company focused on reducing its completed, unsold inventory.
Gross margins on home sales excluding SFAS 144 valuation
adjustments is a non-GAAP financial measure (please refer to the
Non-GAAP Financial Measure section within this release). Selling,
general and administrative expenses were reduced by $44.4 million,
or 28%, in the second quarter of 2009, compared to the same period
last year, primarily due to reductions in associate headcount,
variable selling expenses and fixed costs. As a percentage of
revenues from home sales, selling, general and administrative
expenses improved to 14.3% in the second quarter of 2009, from
15.4% in 2008. Gross profits on land sales totaled $2.4 million in
the second quarter of 2009, net of $5.6 million of SFAS 144
valuation adjustments and $1.8 million of write-offs of deposits
and pre-acquisition costs related to homesites under option that
the Company does not intend to purchase. In the second quarter of
2008, losses on land sales totaled $5.4 million, which included
$2.1 million of SFAS 144 valuation adjustments and $6.6 million of
write-offs of deposits and pre-acquisition costs related to
homesites that were under option. Equity in loss from
unconsolidated entities was $59.9 million in the second quarter of
2009, which included $50.1 million of SFAS 144 valuation
adjustments related to assets of unconsolidated entities in which
the Company has investments, compared to equity in loss from
unconsolidated entities of $18.9 million in the second quarter of
2008, which included $8.0 million of SFAS 144 valuation adjustments
related to assets of unconsolidated entities in which the Company
has investments. Other income (expense), net, totaled ($22.5)
million in the second quarter of 2009, which included $7.0 million
of APB 18 valuation adjustments to the Company's investments in
unconsolidated entities, compared to other income (expense), net,
of ($47.9) million in the second quarter of 2008, which included
$46.9 million of APB 18 valuation adjustments to the Company's
investments in unconsolidated entities. Minority interest income,
net was $6.5 million and $0.2 million, respectively, in the second
quarter of 2009 and 2008. Sales of land, equity in loss from
unconsolidated entities, other income (expense), net and minority
interest income, net may vary significantly from period to period
depending on the timing of land sales and other transactions
entered into by the Company and unconsolidated entities in which it
has investments. Financial Services Operating earnings for the
Financial Services segment was $16.5 million in the second quarter
of 2009, compared to an operating loss of $3.0 million in the same
period last year. Improved consumer confidence and lower interest
rates resulted in increased volume and a higher profit per
transaction in the segment. The segment was also able to leverage
lower fixed costs as a result of its successful cost reduction
initiatives implemented throughout the downturn. Corporate General
and Administrative Expenses Corporate general and administrative
expenses as a percentage of total revenues increased to 3.4% in the
second quarter of 2009, from 2.6% in 2008, primarily due to lower
revenues. Deferred Tax Asset Valuation Allowance SFAS 109 requires
a reduction of the carrying amounts of deferred tax assets by a
valuation allowance, if based on available evidence, it is more
likely than not that such assets will not be realized. As a result
of its net loss during the three months ended May 31, 2009, the
Company generated deferred tax assets of $44.4 million and recorded
a non-cash valuation allowance in accordance with SFAS 109 against
the entire amount of deferred tax assets generated. Debt
Repurchase/Debt Issuance In March 2009, the Company retired its
$281 million 7 5/8% senior notes due March 2009 for 100% of the
outstanding principal amount, plus accrued interest as of the
maturity date. In April 2009, the Company issued $400 million of
12.25% senior notes due 2017 in a private placement under SEC Rule
144A. Equity Draw-down Program As of May 31, 2009, the Company
issued a total of 12.8 million common shares of its Class A common
stock under an equity offering for gross proceeds of $126.3
million, or $9.86 per share. The Company is authorized to sell
shares for up to $275 million under the equity offering. The
Company will use the proceeds from the equity offering for general
corporate purposes. SIX MONTHS ENDED MAY 31, 2009 COMPARED TO SIX
MONTHS ENDED MAY 31, 2008 Homebuilding Revenues from home sales
decreased 33% in the six months ended May 31, 2009 to $1.3 billion
from $2.0 billion in 2008. Revenues were lower primarily due to a
26% decrease in the number of home deliveries, excluding
unconsolidated entities, and a 10% decrease in the average sales
price of homes delivered in 2009. New home deliveries, excluding
unconsolidated entities, decreased to 5,274 homes in the six months
ended May 31, 2009 from 7,166 homes last year. In the six months
ended May 31, 2009, new home deliveries were lower in each of the
Company's homebuilding segments and Homebuilding Other, compared to
2008. The average sales price of homes delivered decreased to
$248,000 in the six months ended May 31, 2009 from $276,000 in
2008, primarily due to reduced pricing. Sales incentives offered to
homebuyers were $51,800 per home delivered in 2009, compared to
$48,400 per home delivered in 2008. Gross margins on home sales
were $110.3 million, or 8.4%, in the six months ended May 31, 2009,
which included $75.3 million of SFAS 144 valuation adjustments,
compared to gross margins on home sales of $225.1 million, or
11.4%, in the six months ended May 31, 2008, which included $99.8
million of SFAS 144 valuation adjustments. Gross margins on home
sales excluding SFAS 144 valuation adjustments were $185.6 million,
or 14.2%, in the six months ended May 31, 2009, compared to $324.9
million, or 16.5%, in 2008. Gross margin percentage on home sales,
excluding SFAS 144 valuation adjustments, decreased compared to
last year, primarily due to higher sales incentives offered to
homebuyers as a percentage of revenues from home sales as the
Company focused on reducing its completed, unsold inventory. Gross
margins on home sales excluding SFAS 144 valuation adjustments is a
non-GAAP financial measure (please refer to the Non-GAAP Financial
Measure section within this release). Selling, general and
administrative expenses were reduced by $118.3 million, or 36%, in
the six months ended May 31, 2009, compared to the same period last
year, primarily due to reductions in associate headcount, variable
selling expenses and fixed costs. As a percentage of revenues from
home sales, selling, general and administrative expenses improved
to 16.3% in the six months ended May 31, 2009, from 16.8% in 2008.
Losses on land sales totaled $8.1 million in the six months ended
May 31, 2009, which included $5.8 million of SFAS 144 valuation
adjustments and $12.1 million of write-offs of deposits and
pre-acquisition costs related to homesites under option that the
Company does not intend to purchase. In the six months ended May
31, 2008, losses on land sales totaled $31.9 million, which
included $17.6 million of SFAS 144 valuation adjustments and $23.4
million of write-offs of deposits and pre-acquisition costs related
to homesites that were under option. Equity in loss from
unconsolidated entities was $62.8 million in the six months ended
May 31, 2009, which included $50.1 million of SFAS 144 valuation
adjustments related to assets of unconsolidated entities in which
the Company has investments, compared to equity in loss from
unconsolidated entities of $41.9 million in the six months ended
May 31, 2008, which included $26.9 million of SFAS 144 valuation
adjustments related to assets of unconsolidated entities in which
the Company has investments. Other income (expense), net, totaled
($70.4) million in the six months ended May 31, 2009, which
included $44.2 million of APB 18 valuation adjustments to the
Company's investments in unconsolidated entities, compared to other
income (expense), net, of ($69.7) million in the six months ended
May 31, 2008, which included $76.5 million of APB 18 valuation
adjustments to the Company's investments in unconsolidated
entities. Minority interest income (expense), net totaled $8.3
million and ($16) thousand, respectively, in the six months ended
May 31, 2009 and 2008. Sales of land, equity in loss from
unconsolidated entities, other income (expense), net and minority
interest income (expense), net may vary significantly from period
to period depending on the timing of land sales and other
transactions entered into by the Company and unconsolidated
entities in which it has investments. Financial Services Operating
earnings for the Financial Services segment were $17.0 million in
the six months ended May 31, 2009, compared to an operating loss of
$12.7 million in the same period last year. Improved consumer
confidence and lower interest rates resulted in increased volume
and a higher profit per transaction in the segment. The segment was
also able to leverage lower fixed costs as a result of its
successful cost reduction initiatives implemented throughout the
downturn. Corporate General and Administrative Expenses Corporate
general and administrative expenses were reduced by $6.1 million,
or 10%, for the six months ended May 31, 2009, compared to the same
period last year. As a percentage of total revenues, corporate
general and administrative expenses increased to 3.9% in the six
months ended May 31, 2009, from 2.9% in the same period last year,
due to lower revenues. Deferred Tax Asset Valuation Allowance SFAS
109 requires a reduction of the carrying amounts of deferred tax
assets by a valuation allowance, if based on available evidence, it
is more likely than not that such assets will not be realized. As a
result of its net loss during the six months ended May 31, 2009,
the Company generated deferred tax assets of $102.2 million and
recorded a non-cash valuation allowance in accordance with SFAS 109
against the entire amount of deferred tax assets generated.
Non-GAAP Financial Measure Gross margins on home sales excluding
SFAS 144 valuation adjustments is a non-GAAP financial measure, and
is defined by the Company as sales of homes revenue less costs of
homes sold excluding SFAS 144 valuation adjustments recorded during
the period. Management finds this to be an important and useful
measure in evaluating the Company's performance because it
discloses the profit the Company generates on homes it actually
delivered during the period, as the Company's SFAS 144 valuation
adjustments relate to inventory that it did not deliver during the
period. Gross margins on home sales excluding SFAS 144 valuation
adjustments also is important to management, because it assists
management in making strategic decisions regarding the Company's
construction pace, product mix and product pricing based upon the
profitability the Company generated on homes it actually delivered
during previous periods. The Company believes investors also find
gross margins on home sales excluding SFAS 144 valuation
adjustments to be important and useful because it discloses a
profitability measure on homes the Company actually delivered in a
period that can be compared to the profitability on homes the
Company delivered in a prior period without regard to the
variability of SFAS 144 valuation adjustments recorded from period
to period. In addition, to the extent that the Company's
competitors provide similar information, disclosure of the
Company's gross margins on home sales excluding SFAS 144 valuation
adjustments helps readers of the Company's financial statements
compare the Company's ability to generate profits with regard to
the homes it delivers in a period to its competitors' ability to
generate profits with regard to the homes they deliver in the same
period. Although management finds gross margins on home sales
excluding SFAS 144 valuation adjustments to be an important measure
in conducting and evaluating the Company's operations, this measure
has limitations as an analytical tool as it is not reflective of
the actual profitability generated by the Company during the
period. This is because it excludes charges the Company recorded,
in accordance with SFAS 144, relating to inventory that was
impaired during the period. In addition, because gross margins on
home sales excluding SFAS 144 valuation adjustments is a financial
measure that is not calculated in accordance with GAAP, it may not
be completely comparable to similarly titled measures of the
Company's competitors due to differences in methods of calculation
and charges being excluded. Management compensates for the
limitations of using gross margins on home sales excluding SFAS 144
valuation adjustments by using this non-GAAP measure only to
supplement the Company's GAAP results in order to provide a more
complete understanding of the factors and trends affecting the
Company's operations. In order to analyze the Company's overall
performance and actual profitability relative to its homebuilding
operations, the Company also compares its gross margins on home
sales during the period, inclusive of SFAS 144 valuation
adjustments, with the same measure during prior comparable periods.
Due to the limitations discussed above, gross margins on home sales
excluding SFAS 144 valuation adjustments should not be viewed in
isolation as it is not a substitute for GAAP measures of gross
margins. Lennar Corporation, founded in 1954, is one of the
nation's leading builders of quality homes for all generations. The
Company builds affordable, move-up and retirement homes primarily
under the Lennar brand name. Lennar's Financial Services segment
provides primarily mortgage financing, title insurance and closing
services for both buyers of the Company's homes and others.
Previous press releases and further information about the Company
may be obtained at the "Investor Relations" section of the
Company's website, http://www.lennar.com/.
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Some of the statements in this press release are "forward-looking
statements," as that term is defined in the Private Securities
Litigation Reform Act of 1995. These forward-looking statements
include statements regarding our business, financial condition,
results of operations, cash flows, strategies and prospects. You
can identify forward-looking statements by the fact that these
statements do not relate strictly to historical or current matters.
Rather, forward-looking statements relate to anticipated or
expected events, activities, trends or results. Because
forward-looking statements relate to matters that have not yet
occurred, these statements are inherently subject to risks and
uncertainties. Many factors could cause our actual activities or
results to differ materially from the activities and results
anticipated in forward-looking statements. These factors include
those described under the caption "Risk Factors" in Item 1A of our
Annual Report on Form 10-K for our fiscal year ended November 30,
2008. We do not undertake any obligation to update forward-looking
statements, except as required by Federal securities laws.
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A conference call to discuss the Company's second quarter earnings
will be held at 11:00 a.m. Eastern time on Thursday, June 25, 2009.
The call will be broadcast live on the Internet and can be accessed
through the Company's website at http://www.lennar.com/. If you are
unable to participate in the conference call, the call will be
archived at http://www.lennar.com/ for 90 days. A replay of the
conference call will also be available later that day by calling
402-220-6422 and entering 5932669 as the confirmation number.
LENNAR CORPORATION AND SUBSIDIARIES Selected Revenues and
Operational Information (In thousands, except per share amounts)
(unaudited) Three Months Ended Six Months Ended May 31, May 31,
2009 2008 2009 2008 ------------------ ------------------ Revenues:
Homebuilding $ 805,229 1,046,544 1,334,263 2,040,320 Financial
services 86,624 81,372 150,653 150,509 -------------------
-------------------- Total revenues $ 891,853 1,127,916 1,484,916
2,190,829 ------------------- -------------------- Homebuilding
operating loss $(109,938) (140,584) (236,480) (250,364) Financial
services operating earnings (loss) 16,539 (3,014) 17,031 (12,706)
Corporate general and administrative expenses (30,239) (29,584)
(58,270) (64,406) ------------------- ------------------- Loss
before (provision) benefit for income taxes (123,638) (173,182)
(277,719) (327,476) (Provision) benefit for income taxes (1,547)
52,266 (3,395) 118,344 ------------------- ------------------- Net
loss $(125,185) (120,916) (281,114) (209,132) ===================
=================== Basic and diluted average shares outstanding
164,582 158,347 161,601 158,275 ===================
================== Basic and diluted loss per share $ (0.76) (0.76)
(1.74) (1.32) =================== ================= Supplemental
information: Interest incurred (1) $ 39,037 36,573 77,541 74,668
=================== ================= EBIT before valuation
adjustments and write-offs of option deposits and pre- acquisition
costs (2): Loss before (provision) benefit for income taxes
$(123,638) (173,182) (277,719) (327,476) Interest expense 41,855
37,911 58,839 70,354 Valuation adjustments and write-offs of option
deposits and pre-acquisition costs 99,068 137,220 187,521 244,331
EBIT before valuation adjustments and write- offs of option
deposits and pre-acquisition -------------------
------------------- costs $ 17,285 1,949 (31,359) (12,791)
=================== =================== (1) Amount represents
interest incurred related to homebuilding debt. (2) EBIT before
valuation adjustments and write-offs of option deposits and
pre-acquisition costs is a non-GAAP financial measure derived by
adding back interest expense, valuation adjustments and write-offs
of option deposits and pre-acquisition costs reflected in loss
before (provision) benefit for income taxes. This financial measure
has been presented because the Company finds it useful and
important in evaluating its performance and believes that it helps
readers of the Company's financial statements compare its
operations with those of its competitors. LENNAR CORPORATION AND
SUBSIDIARIES Homebuilding Information (In thousands) (unaudited)
Three Months Ended Six Months Ended May 31, May 31,
------------------ ------------------ 2009 2008 2009 2008
------------------ ------------------ Revenues: Sales of homes $
788,600 1,018,854 1,311,358 1,971,920 Sales of land 16,629 27,690
22,905 68,400 ------------------- ------------------- Total
revenues 805,229 1,046,544 1,334,263 2,040,320 -------------------
------------------- Costs and expenses: Cost of homes sold 712,508
930,488 1,201,084 1,746,859 Cost of land sold 14,241 33,093 31,047
100,253 Selling, general and administrative 112,526 156,972 213,703
331,990 ------------------ --------- --------- Total costs and
expenses 839,275 1,120,553 1,445,834 2,179,102 ------------------
-------------------- Equity in loss from unconsolidated entities
(59,890) (18,919) (62,807) (41,899) Other income (expense), net
(22,522) (47,874) (70,356) (69,667) Minority interest income
(expense), net 6,520 218 8,254 (16) -------------------
------------------- Operating loss $(109,938) (140,584) (236,480)
(250,364) =================== =================== Reconciliation of
gross margins on home sales excluding SFAS 144 valuation
adjustments to gross margins on home sales: Sales of homes $
788,600 1,018,854 1,311,358 1,971,920 Cost of homes sold 712,508
930,488 1,201,084 1,746,859 -------------------
-------------------- Gross margins on home sales 76,092 88,366
110,274 225,061 SFAS 144 valuation adjustments to finished homes,
CIP and land on which the Company intends to build homes 34,558
73,620 75,338 99,849 Gross margins on home sales excluding SFAS 144
valuation ------------------- ------------------- adjustments $
110,650 161,986 185,612 324,910 ===================
=================== LENNAR CORPORATION AND SUBSIDIARIES Valuation
Adjustments and Write-offs (In thousands) (unaudited) Three Months
Six Months Ended Ended May 31, May 31, --------------
-------------- 2009 2008 2009 2008 SFAS 144 valuation adjustments
to -------------- -------------- finished homes, CIP and land on
which the Company intends to build homes: East $ 8,793 34,176
22,271 42,282 Central 2,173 17,382 10,254 19,049 West 15,626 20,140
34,024 30,060 Houston 97 - 243 112 Other 7,869 1,922 8,546 8,346
-------------- -------------- Total 34,558 73,620 75,338 99,849
-------------- -------------- SFAS 144 valuation adjustments to
land the Company intends to sell or has sold to third parties: East
1,978 1,135 2,117 2,507 Central 1,100 336 1,178 9,569 West 2,528
623 2,528 4,815 Houston - 45 - 109 Other - 7 - 601 --------------
-------------- Total 5,606 2,146 5,823 17,601 --------------
-------------- Write-offs of option deposits and pre- acquisition
costs: East - 3,124 5,780 10,178 Central - 51 82 4,130 West 1,188
843 1,703 4,207 Houston - 480 721 745 Other 653 2,088 3,786 4,178
------------- -------------- Total 1,841 6,586 12,072 23,438
------------- -------------- Company's share of SFAS 144 valuation
adjustments related to assets of unconsolidated entities: East 251
3,084 251 7,241 Central 854 - 854 158 West 48,945 4,926 48,945
18,951 Houston - - - - Other - - - 597 --------------
-------------- Total 50,050 8,010 50,050 26,947 --------------
-------------- APB 18 valuation adjustments to investments in
unconsolidated entities: East - 9,158 2,566 10,095 Central 4,537
193 12,155 421 West 2,476 37,507 28,026 65,946 Houston - - - -
Other - - 1,491 34 ------------- -------------- Total 7,013 46,858
44,238 76,496 ------------- -------------- Total valuation
adjustments and write-offs of option deposits --------------
--------------- and pre-acquisitions costs $99,068 137,220 187,521
244,331 ============== =============== LENNAR CORPORATION AND
SUBSIDIARIES Summary of Deliveries and New Orders (Dollars in
thousands) (unaudited) Three Months Ended Six Months Ended May 31,
May 31, ------------------ ---------------- 2009 2008 2009 2008
------------------ ---------------- Deliveries - Homes: East 975
1,078 1,769 2,243 Central 466 672 781 1,276 West 798 1,065 1,207
1,989 Houston 580 612 985 1,187 Other 330 403 549 731
---------------- --------------- Total 3,149 3,830 5,291 7,426
================ =============== Of the total home deliveries
listed above, 11 and 17 represent deliveries from unconsolidated
entities for the three and six months ended May 31, 2009, compared
with 101 and 260 deliveries from unconsolidated entities in the
same periods last year. Deliveries - Dollar Value: East $214,937
275,323 393,309 589,080 Central 91,624 144,916 153,526 277,725 West
284,101 404,530 432,217 771,053 Houston 116,534 124,044 195,154
233,701 Other 89,550 130,424 152,923 238,223 -----------------
------------------- Total $796,746 1,079,237 1,327,129 2,109,782
================= =================== Of the total dollar value of
home deliveries listed above, $8,146 and $15,771 represent dollar
value of deliveries from unconsolidated entities for the three and
six months ended May 31, 2009, compared with $60,383 and $137,862
dollar value of deliveries from unconsolidated entities in the same
periods last year. New Orders - Homes: East 1,107 1,304 1,823 2,246
Central 563 688 929 1,257 West 890 1,145 1,381 1,892 Houston 649
788 1,044 1,280 Other 355 471 577 766 ----------------
---------------- Total 3,564 4,396 5,754 7,441 ================
================ Of the total new orders listed above, 23 and 31
represent new orders from unconsolidated entities for the three and
six months ended May 31, 2009, compared to 100 and 162 new orders
from unconsolidated entities in the same periods last year. New
Orders - Dollar Value: East $242,867 315,344 398,148 546,346
Central 113,091 150,031 185,937 272,040 West 314,402 432,707
476,078 725,789 Houston 132,313 165,829 206,382 265,106 Other
89,745 126,922 149,209 210,309 -----------------
------------------- Total $892,418 1,190,833 1,415,754 2,019,590
================= =================== Of the total dollar value of
new orders listed above, $15,266 and $20,164 represent dollar value
of new orders from unconsolidated entities for the three and six
months ended May 31, 2009, compared to $50,810 and $90,109 dollar
value of new orders from unconsolidated entities in the same
periods last year. LENNAR CORPORATION AND SUBSIDIARIES Summary of
Backlog (Dollars in thousands) (unaudited) May 31,
----------------- 2009 2008 ----------------- Backlog - Homes: East
843 1,794 Central 271 266 West 421 785 Houston 328 682 Other 199
431 ----------------- Total 2,062 3,958 ================= Of the
total homes in backlog listed above, 21 represents homes in backlog
from unconsolidated entities at May 31, 2009, compared to 197 homes
in backlog from unconsolidated entities at May 31, 2008. Backlog -
Dollar Value: East $208,733 524,533 Central 56,726 58,148 West
152,619 331,428 Houston 68,915 159,745 Other 58,742 180,271
------------------- Total $545,735 1,254,125 =================== Of
the total dollar value of homes in backlog listed above, $16,458
represents the backlog dollar value from unconsolidated entities at
May 31, 2009, compared to $102,465 of backlog dollar value from
unconsolidated entities at May 31, 2008. Lennar's reportable
homebuilding segments and homebuilding other consist of
homebuilding divisions located in: East: Florida, Maryland, New
Jersey and Virginia Central: Arizona, Colorado and Texas (1) West:
California and Nevada Houston: Houston, Texas Other: Illinois,
Minnesota, New York, North Carolina and South Carolina (1) Texas in
the Central reportable segment excludes Houston, Texas, which is
its own reportable segment. Supplemental Data (Dollars in
thousands) (unaudited) May 31, November 30, May 31, ----------
------------ ---------- 2009 2008 2008 ---------- ------------
---------- Homebuilding debt $2,664,853 2,544,935 2,310,494
Stockholders' equity 2,482,006 2,623,007 3,539,590 ----------
---------- ---------- Total capital $5,146,859 5,167,942 5,850,084
---------- ---------- ---------- Homebuilding debt to total capital
51.8% 49.2% 39.5% =========== =========== ========== Homebuilding
debt $2,664,853 2,544,935 2,310,494 Less: Homebuilding cash and
cash equivalents 1,447,011 1,091,468 882,433 ----------- ----------
---------- Net homebuilding debt $1,217,842 1,453,467 1,428,061
----------- ---------- ---------- Net homebuilding debt to total
capital (1) 32.9% 35.7% 28.7% =========== ========== ========== (1)
Net homebuilding debt to total capital consists of net homebuilding
debt (homebuilding debt less homebuilding cash and cash
equivalents) divided by total capital (net homebuilding debt plus
stockholders' equity). DATASOURCE: Lennar Corporation CONTACT:
Scott Shipley, Investor Relations, Lennar Corporation,
+1-305-485-2054 Web Site: http://www.lennar.com/
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