D.R. Horton Sees 3Q Loss

Fort Worth, TX, July 10, 2007--D.R. Horton said orders for new homes fell 40 percent last quarter, and said it would write down assets leading to a loss in its third quarter.

Hurt by the deteriorating housing market, Horton said its net sales orders in the fiscal third quarter, which ended June 30, fell to 8,559 homes from 14,316 homes a year earlier, and the dollar value of the orders dropped 47 percent to $2.0 billion from $3.8 billion.

"Market conditions for new home sales declined in our June quarter as inventory levels of both new and existing homes remained high, and we expect the housing environment to remain challenging," said Chairman Donald Horton, in a statement.

The company added that as a result of the weak market, it will have post significant asset impairments which will result in a loss for both the quarter and the nine months period.