WCI Dodges Heat With Writedown Strategy

With the heat on from its creditors, troubled Florida condo developer WCI Communities (WCI Quote) is scrambling to look as healthy as possible.

While the company can't hide its weak cash flows, it may be employing unusual accounting assumptions to delay large land impairment charges that would reduce book value further.

WCI's shares have plunged 75% in 2007, as the company recorded $119 million in losses for the first nine months of the year. Not even an equity investment and a board shake-up by billionaire Carl Icahn could help the stock. ...