WCI Discusses Emerging Issues Task Force Initiative
08 Septiembre 2006 - 6:30PM
Business Wire
WCI Communities, Inc. (NYSE:WCI), today announced that financial
reporting for residential tower development, which represents a
significant component of its business, may be affected in future
reporting periods by the conclusion of an issue that is being
addressed by the Emerging Issues Task Force (the "EITF") of the
Financial Accounting Standards Board (FASB). The EITF initially
discussed Issue No. 06-8, "Applicability of the Assessment of a
Buyer's Continuing Investment under FASB Statement No. 66,
Accounting for Sales of Real Estate, for Sales of Condominiums" on
September 7, 2006. Although no conclusion has been formally
published by the FASB or EITF on this issue, the EITF reached a
tentative conclusion that the continuing investment criteria of
Financial Accounting Standard No. 66 (paragraph 12 in particular)
should be applied in determining whether to apply the
percentage-of-completion method to the reporting of revenues when
individual units in condominiums projects are sold separately.
While the specifics of this new rule are yet to be determined and
public comments have not yet been considered by the EITF or FASB,
if the preliminary conclusion is ultimately issued, it could
require that additional deposits be collected by the developers of
such condominiums that wish to apply the percentage-of-completion
accounting method. If increased deposits are not collected, the
deposit accounting method may be applied during the construction
period. If this requirement is adopted, WCI may either collect
additional deposits in order to report revenues using the
percentage-of-completion method or instead delay the financial
reporting of revenues until the closing of condominium purchase
contracts associated with relevant towers after the pronouncement
becomes effective, tentatively January 1, 2008 for a calendar-year
reporting company. About WCI WCI Communities, Inc., named America's
Best Builder in 2004 by the National Association of Home Builders
and Builder Magazine, has been creating amenity-rich,
master-planned lifestyle communities since 1946. Florida-based WCI
caters to primary, retirement, and second-home buyers in Florida,
New York, New Jersey, Connecticut, Maryland and Virginia. The
company offers traditional and tower home choices with prices from
the low-$200,000s to more than $10 million and features a wide
array of recreational amenities in its communities. In addition to
homebuilding, WCI generates revenues from its Prudential Florida
WCI Realty Division, its mortgage and title businesses, and its
recreational amenities, as well as through land sales and joint
ventures. The company currently owns and controls developable land
on which the company plans to build over 21,500 traditional and
tower homes. For more information about WCI and its residential
communities visit http://www.wcicommunities.com. Click here to join
our email list:
http://www.b2i.us/irpass.asp?BzID=631&to=ea&s=0. Certain
information included herein and in other company reports,
Securities and Exchange Commission filings, statements and
presentations is forward-looking within the meaning of the Private
Securities Litigation Reform Act of 1995, including, but not
limited to, statements about the company's anticipated operating
results, financial resources, ability to acquire land, ability to
sell homes and properties, ability to deliver homes from backlog,
and ability to secure materials and subcontractors. Such
forward-looking information involves important risks and
uncertainties that could significantly affect actual results and
cause them to differ materially from expectations expressed herein
and in other company reports, filings, statements and
presentations. These risks and uncertainties include WCI's ability
to compete in real estate markets where we conduct business; the
availability and cost of land in desirable areas in its geographic
markets and elsewhere and our ability to expand successfully into
those areas; WCI's ability to obtain necessary permits and
approvals for the development of its lands; the availability of
capital to WCI and our ability to effect growth strategies
successfully; WCI's ability to pay principal and interest on its
current and future debts; WCI's ability to maintain or increase
historical revenues and profit margins; availability of labor and
materials and material increases in labor and material costs;
increases in interest rates and availability of mortgage financing;
increases in construction and homeowner insurance and limitations
on the availability of insurance, the level of consumer confidence;
adverse legislation or regulations; unanticipated litigation or
adverse legal proceedings; natural disasters; and changes in
general economic, real estate and business conditions. If one or
more of the assumptions underlying our forward-looking statements
proves incorrect, then the company's actual results, performance or
achievements could differ materially from those expressed in, or
implied by the forward-looking statements contained in this report.
Therefore, we caution you not to place undue reliance on our
forward-looking statements. We undertake no obligation to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise. This statement is provided
as permitted by the Private Securities Litigation Reform Act of
1995.
Wci Communities (NYSE:WCI)
Gráfica de Acción Histórica
De May 2024 a Jun 2024
Wci Communities (NYSE:WCI)
Gráfica de Acción Histórica
De Jun 2023 a Jun 2024