Lennar Corporation updates Q1 results to reflect litigation accrualStaff Writer |
Lennar $38.1 million or $0.16 per share
Lennar Corporation reported that it has recorded a litigation accrual which will result in its first-quarter net earnings being lower than the $130.8 million, or $0.56 per diluted share, stated in the earnings announcement.
Based on the Court hearing, the company's assessment of the probable outcome of the litigation has changed, and it now believes it is appropriate to record a one-time charge of $140 million for the litigation.
The accrual represents the high end of the range of expected liability associated with the litigation.
In addition to the accrual, the company would purchase the property which is the subject of the litigation for $114 million, which approximates the company's estimate of the fair value of the property. ■
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