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Standard Pacific hit by Q1 loss

Poor results follow suit with other builders
Published on May 12, 2008

Standard Pacific Corp. officials blamed declining home prices and increased sales incentives, in part, for $192.3 million in pretax impairment charges that contributed to a $216.4 million net loss for the quarter. The quarterly loss reported today, which amounted to a loss per share of $3.34, compares with a net loss of $40.8 million in first-quarter 2007 and a loss per share of 63 cents for that quarter. Revenues totaled $348.2 million in the first quarter, down 46.5 percent compared with revenues of $651.1 million in first-quarter 2007. Other major public builders have continued to take hits in earnings, too -- builder D.R. Horton Inc. reported a $1.3 billion quarterly net loss for the quarter ended March 31, for example, compared with net income of $51.7 million for the same quarter last year. "The impairments reflect the general decline in the housing market," said Jeffrey V. Peterson, who took over as Standard Pacific chairman, CEO and president in March. Pe...

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