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Note 3 - Interest

3 Months Ended

Jan. 31, 2015

Home Building Interest [Abstract]

Home Building Interest [Text Block]

3.	Interest

Interest costs incurred, expensed and capitalized were:

		Three Months Ended January 31,
(In thousands)		2015			2014

Interest capitalized at beginning of period		$109,158			$105,093
Plus interest incurred(1)		41,472			34,819
Less cost of sales interest expensed		11,318			9,490
Less other interest expensed(2)(3)		25,071			23,333
Interest capitalized at end of period(4)		$114,241			$107,089

(1)	Data does not include interest incurred by our mortgage and finance subsidiaries.
(2)	Other interest expensed includes interest that does not qualify for interest capitalization because our assets that qualify for interest capitalization (inventory under development) do not exceed our debt. Also includes interest on completed homes and land in planning, which does not qualify for capitalization, and therefore 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 on notes payable, which is calculated as follows:

		Three Months Ended January 31,
(In thousands)		2015			2014
Other interest expensed		$25,071			$23,333
Interest paid by our mortgage and finance subsidiaries		408			736
Decrease in accrued interest		1,010			1,284
Cash paid for interest, net of capitalized interest		$26,489			$25,353

(4)	Capitalized interest amounts are shown gross before allocating any portion of impairments, if any, to capitalized interest.