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Note 3

9 Months Ended

Jul. 31, 2013

Home Building Interest [Abstract]

Home Building Interest [Text Block]

3. Interest costs incurred, expensed and capitalized were:

		Three Months Ended July 31,								Nine Months Ended July 31,
(In thousands)		2013				2012				2013				2012

Interest capitalized at beginning of period		$	112,488			$	118,435			$	116,056			$	121,441
Plus interest incurred(1)			33,195				39,477				97,813				110,315
Less cost of sales interest expensed			13,757				14,298				35,311				40,091
Less other interest expensed(2)(3)			21,949				24,590				68,581				72,641
Interest capitalized at end of period(4)		$	109,977			$	119,024			$	109,977			$	119,024

(1)	Data does not include interest incurred by our mortgage and finance subsidiaries.
(2)	Other interest expensed is comprised of interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt. Interest on completed homes and land in planning, which does not qualify for capitalization, is expensed.
(3)	Cash paid for interest, net of capitalized interest, is the sum of other interest expensed, as defined above, and interest paid by our mortgage and finance subsidiaries adjusted for the change in accrued interest, which is calculated as follows:

		Three Months Ended July 31,								Nine Months Ended July 31,
(In thousands)		2013				2012				2013				2012
Other interest expensed		$	21,949			$	24,590			$	68,581			$	72,641
Interest paid by our mortgage and finance subsidiaries			731				606				2,239				1,550
Decrease/(increase) in accrued interest			5,018				(13,356	)			(4,802	)			(10,073	)
Cash paid for interest, net of capitalized interest		$	27,698			$	11,840			$	66,018			$	64,118

(4)

Capitalized interest amounts are shown gross before allocating any portion of impairments to capitalized interest.