Mohawk Industries ( MHK) lowered its first-quarter earnings forecast, hurt by higher inventory accounting charges and lower growth in sales and margins in one of its segments. The company, a maker of commercial carpets, now expects earnings $1.03 a share to $1.05 a share. In February, the company had forecast earnings of $1.17 a share to $1.26 a share. Analysts surveyed by Thomson First Call were expecting earnings of $1.22 a share. The company said the last in, first out accounting charge for the Mohawk segment is estimated to be $13 million to $15 million in the quarter, compared with $6 million last year. "Currently, our raw material and energy costs have moderated while the non-cash LIFO charges were the second highest in company history," the company said. "In a stable cost environment, LIFO charges should diminish." Mohawk Industries also said that it had anticipated a greater improvement in sales and margins as the quarter progressed than was achieved in the Mohawk segment, where sales rose about 5%. The company cited the reason of soft retail replacement business for the lower sales growth. The stock fell $3.63 to $81.69 early Friday.