Update: Ryland Group Sells Senior Notes

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The Ryland Group on Thursday sold $230 million in 10-year senior notes, according to an industry source. The sale came a day after the homebuilder reported its first quarter loss more than doubled, driving down shares 14 percent.

The size of the debt sale was increased from an originally planned $225 million, said IFR, a Thomson Reuters service.

The Calabasas Hills company on Wednesday reported a net loss of $75.3 million (-$1.76 per share) as the company further wrote down the value of inventory and other assets. The results compared with a loss of $29.3 million (-69 cents) a year ago. Revenue fell 36 percent to $265 million.

The results included $49.4 million in valuation adjustments, joint venture impairments and write-offs, compared with $27.4 million in such charges at the same time last year.

Closings fell 32 percent to 1,049 units. The average closing price of a home fell 4 percent to $247,000. New orders were down more than 37 percent to 1,347 units.

Ryland shares closed down $3.33, or 14 percent, to $20.71 Thursday on the New York Stock Exchange.

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