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Segment Information
 3 Months Ended
Feb. 28, 2014
Segment Reporting [Abstract]  
Segment Information
Segment Information
As of February 28, 2014, we had identified five operating reporting segments, comprised of four homebuilding reporting segments and one financial services reporting segment, within our consolidated operations in accordance with Accounting Standards Codification Topic No. 280, “Segment Reporting.” As of February 28, 2014, our homebuilding reporting segments conducted ongoing operations in the following states:
West Coast: California
Southwest: Arizona and Nevada
Central: Colorado, New Mexico and Texas
Southeast: Florida, Maryland, North Carolina and Virginia
Our homebuilding reporting segments are engaged in the acquisition and development of land primarily for residential purposes and offer a wide variety of homes that are designed to appeal to first-time, move-up and active adult homebuyers.
Our homebuilding reporting segments were identified based primarily on similarities in economic and geographic characteristics, product types, regulatory environments, methods used to sell and construct homes and land acquisition characteristics. We evaluate segment performance primarily based on segment pretax results.
Our financial services reporting segment offers property and casualty insurance and, in certain instances, earthquake, flood and personal property insurance to our homebuyers in the same markets as our homebuilding reporting segments, and provides title services in the majority of our markets within our Central and Southeast homebuilding reporting segments. This segment also earns revenues pursuant to the terms of a marketing services agreement with Nationstar Mortgage LLC (“Nationstar”), our preferred mortgage lender that offers mortgage banking services, including residential consumer mortgage loan (“mortgage loan”) originations, to our homebuyers who elect to use the lender. Our homebuyers are under no obligation to use our preferred mortgage lender and may select any lender of their choice to obtain mortgage financing for the purchase of a home. Except as discussed below, we have had no affiliation, ownership, joint venture or other interests in or with our preferred mortgage lender or its affiliates, or with respect to the revenues or income that may have been generated from their provision of mortgage banking services to, or origination of mortgage loans for, our homebuyers.
On January 21, 2013, we entered into an agreement with Nationstar to form Home Community Mortgage, LLC (“Home Community Mortgage”), a mortgage banking company that will offer an array of mortgage banking services to our homebuyers. We have a 49.9% ownership interest and Nationstar has a 50.1% ownership interest in Home Community Mortgage, with Nationstar providing management oversight of Home Community Mortgage’s operations. Nationstar will continue as our preferred mortgage lender until Home Community Mortgage begins offering mortgage banking services. Home Community Mortgage is accounted for as an unconsolidated joint venture within our financial services reporting segment.
Corporate and other is a non-operating segment that develops and implements company-wide strategic initiatives and provides support to our homebuilding reporting segments by centralizing certain administrative functions, such as promotional marketing, legal, purchasing administration, architecture, accounting, treasury, insurance and risk management, information technology and human resources, to benefit from economies of scale. Corporate and other includes general and administrative expenses related to operating our corporate headquarters. A portion of the expenses incurred by Corporate and other is allocated to the homebuilding reporting segments.

Our segments follow the same accounting policies used for our consolidated financial statements. The results of each segment are not necessarily indicative of the results that would have occurred had the segment been an independent, stand-alone entity during the periods presented, nor are they indicative of the results to be expected in future periods.
The following tables present financial information relating to our segments (in thousands):
 
Three Months Ended February 28,
 
2014
 
2013
Revenues:
 
 
 
West Coast
$
181,721

 
$
206,104

Southwest
46,115

 
31,831

Central
125,162

 
106,492

Southeast
95,269

 
58,389

Total homebuilding revenues
448,267

 
402,816

Financial services
2,420

 
2,403

Total
$
450,687

 
$
405,219

 
 
 
 
Pretax income (loss):
 
 
 
West Coast
$
18,365

 
$
9,842

Southwest
1,285

 
(749
)
Central
2,776

 
136

Southeast
3,841

 
(8,324
)
Corporate and other
(17,066
)
 
(15,922
)
Total homebuilding pretax income (loss)
9,201

 
(15,017
)
Financial services
1,562

 
2,659

Total
$
10,763

 
$
(12,358
)
Equity in income (loss) of unconsolidated joint ventures:
 
 
 
West Coast
$
(38
)
 
$
(33
)
Southwest
(663
)
 
(525
)
Central
—

 
—

Southeast
3,291

 
123

Total
$
2,590

 
$
(435
)

Land option contract abandonments:
 
 
 
West Coast
$
—

 
$
—

Southwest
—

 
—

Central
433

 
—

Southeast
—

 
—

Total
$
433

 
$
—



 
February 28,
2014
 
November 30,
2013
Inventories:
 
 
 
Homes under construction
 
 
 
West Coast
$
321,787

 
$
275,516

Southwest
34,278

 
39,661

Central
173,194

 
157,572

Southeast
104,137

 
113,690

Subtotal
633,396

 
586,439

Land under development
 
 
 
West Coast
659,753

 
560,032

Southwest
237,788

 
106,654

Central
285,407

 
238,311

Southeast
180,392

 
161,919

Subtotal
1,363,340

 
1,066,916

Land held for future development
 
 
 
West Coast
306,902

 
308,636

Southwest
147,865

 
157,924

Central
23,746

 
15,193

Southeast
159,695

 
163,469

Subtotal
638,208

 
645,222

Total
$
2,634,944

 
$
2,298,577

 
 
 
 
Investments in unconsolidated joint ventures:
 
 
 
West Coast
$
44,598

 
$
40,246

Southwest
13,549

 
80,877

Central
—

 
—

Southeast
2,501

 
9,069

Total
$
60,648

 
$
130,192

 
 
 
 
Assets:
 
 
 
West Coast
$
1,395,759

 
$
1,230,761

Southwest
453,062

 
402,443

Central
546,222

 
465,547

Southeast
461,442

 
456,965

Corporate and other
382,301

 
627,879

Total homebuilding assets
3,238,786

 
3,183,595

Financial services
9,386

 
10,040

Total
$
3,248,172

 
$
3,193,635