Industry News

Lennar expects fourth-quarter loss

Home builder cites weak housing market

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Lennar Corp., one of the nation's largest home builders, on Tuesday said it expected a fourth-quarter loss and will continue to review the value of its assets as market conditions decline in many areas. Lennar expects a quarterly loss of 88 cents to $1.28 per share after valuation adjustments and write-offs. The company will release official earnings for the quarter and fiscal year ended Nov. 30, 2006, before the market opens on Jan. 17. New-home orders are expected to drop 6 percent in the fourth quarter to 9,606, and 3 percent for the fiscal year to 42,212. Home deliveries are expected to increase for the year, but drop for the quarter, with 49,568 homes delivered in 2006 and 14,006 homes delivered in the fourth quarter. "Market conditions continued to weaken throughout the fourth quarter and we have not yet seen tangible evidence of a market recovery," Stuart Miller, president and CEO of Lennar Corp., said in a statement. "While we are hopeful that low interest rates, strong em...