| |
NEW YORK (AP) - Home builder KB Home said Tuesday it won't make a deadline for filing its third-quarter financial report because it needs more time to finish a review of its history of granting stock options, after a committee uncovered evidence of improper accounting for the options. It also said that on a preliminary basis third-quarter earnings fell 32 percent, and forecast "significant changes" in financial results for the three and nine-month periods ended Aug. 31. .
Kara Homes Inc., the East Brunswick-based home builder, might be close to seeking protection from creditors under Chapter 11 of the bankruptcy law.
Earlier this week, at least some Kara Homes employees received a letter from the company notifying them that they were being laid off and stating that Kara "anticipates filing Chapter 11." Under that provision of the bankruptcy code, creditors claims are frozen by the court while the company can continue to operate as it attempts to reorganize. It was unknown how many employees were laid off, and the company official who signed the letter, Roberta W. Schultz, vice president of human resources and organizational development, could not be reached for comment. Patrick W. Turner, the general counsel for Kara, told the Home News Tribune that filing for Chapter 11 "is one of the alternatives we're considering." He said he would not comment on the letter.
Shares fell 3% after the home improvement chain remodeled its corporate structure and axed two of its retail executives. Home Depot also assigned new roles and duties to other executives in an effort to streamline the company's decision-making process. Home Depot's shares have lagged since the beginning of the year as housing sales slowed. Raymond James analyst Budd Bugatch cut his rating on the stock to Outperform from ... .
Most owners choose the floor plan, finishes and fixtures that go into their custom-built homes. Juan Guevara made those choices and more. He selected each interior and exterior component and confirmed every detail in building his $1 million home in Delaware County. He also hand-picked the roofer, framer, excavator, drywall installer and a host of other subcontractors. Guevara made the decision to be his own general contractor, a choice more homeowners are making in projects big and small. He said his decision to manage the project has saved him a significant amount of money and given him more control over the project. "We went to many custom builders and found that, with the money we would save, we could have more house. I expect to save about $200,000," he said. "With a builder, you dont have as much control." Guevara, the owner of a flooringinstallation company, now has a second full-time job making sure the subcontractors show up when they are needed and that they follow the detailed plans drawn by an architect.
|
|
