Pulte Homes Swings to 3Q Loss

"Bloomfield Hills-based Pulte lost $787.9 million, or $3.12 per share, in the third quarter, compared with a profit of $191.5 million, or 74 cents per share, in the same period a year ago.

...

Pulte Homes recorded a pretax accounting charge of $1.18 billion, or $3.33 per share, to reflect the decreasing value of the land it owns. Homebuilders carry land on their books at the value they think they can sell it for once they build a home on it. When home prices slip, the homebuilders cannot wring as much value out of their land.

Sales of homes plunged 31 percent to $2.44 billion. Total revenue, which includes mortgage services, sank 31 percent to $2.47 billion from $3.56 billion. Analysts expected revenue of $2.38 billion.