Wednesday, March 07, 2007

Tomnitz: 2007 Sucks


For those of you not familiar with all these esoteric financial terms this is a bad thing.

``I don't want to be too sophisticated here, but 2007 is going to suck, all 12 months of the calendar year,'' D.R. Horton Chief Executive Officer Donald Tomnitz said at a Citigroup Inc. conference in New York. ``Our future is not as bright as what we would like it to be.''

From http://www.bloomberg.com/apps/news?pid=20601087&sid=aZYONcrN26wQ&refer=home

For a real laugh this is how it was reported:

NEW YORK, March 7 (Reuters) - D.R. Horton Inc. (DHI.N: Quote, Profile , Research), the largest U.S. homebuilder, expects homebuilders' pricing power to return by January 2008, after the hard-hit industry works its way through its inventory of unsold homes, the company's chief executive said on Wednesday.

Got it? 2008 won't suck as much. Trust me when an industry leader uses the word sucks it isn't the bottom.

17 comments:

Anonymous said...

First.
The market is on the edge here. One slight push...

Tom in NJ said...

Can anyone guide me as to finding links to the lenders REO sites?
I saw Countrywide's, but can't locate any others.

The Original Kevin said...

I'd wish you stop depressing me so....

GameOver said...

Pass the pipe, whatever crack they are smoking most be some GOOD SHIT!

Anonymous said...

What does he care if 2007 is going to suck. Horton's been making money hand over fist for how many years now?!

Stephanie J. said...

::hands the Original Kevin some chocolate chip cookies::

That always works for me.

:)

king friday the 13th said...

horton finally hears a who

sounds like the stock's about to go poo

all the shorts are shouting woo-hoo

while all the flippers are crying boo-hoo

thatotherguy said...

I'm kind of interested in seeing just how bad it can get.

The Original Kevin said...

Thanks Stephanie - & if you throw in some PB Cup Ben & Jerry's, I'll feel even better.

Anonymous said...

@Tom in NJ

Foreclosures

is the most complete.

ratlab said...

Funniest and most accurate quote from a HB CEO yet.

Rob Dawg said...

I'mafraid that he might still be holding back.

tom in NJ said...

@ 3:04 PM,

Thank you.

Anonymous said...

He is holding back. It's gonna suck balls.

Anonymous said...

Nigel says things are not that bad.

What does it say about Nigel that a major home builder is saying it sucks but he continues to perpetuate a myth that things are going swell (plus we know he is deeply involved with Casey as I doubt everything he says on the issue).

chjts said...

You know..I had a buddy that bought his house thanks to DR Horton.

They were doing a new subdivision in an area that was starving for new housing...and I mean starving.

He went with his father and gobbled up 8 houses all on the same block when they didnt even start construction on them.

Now I must add that between him and his father they DID have the means to pay for all of them either with all cash or by available credit to them...easily.

So he wrapped up all 8 houses with a 1k deposit on each.

This was in phase 1 of the development...and there were 2 more phases to go.

He also negotiated that the construction of these houses would not begin until phase 3 was starting.

By the time the phase 3 hit the value of the homes almost doubled.

He simply sold his position in the houses on 7 of them and the 8th one he simply paid cash for from the profits from the other 7.

Thank you DR Horton..you nobs.

Anonymous said...

......hehehehehhe.......OOPS!

damn Kevin cookies