| Unrealized Appreciation (Depreciation) and Realized Gains (Losses) on Investments |
(5) UNREALIZED APPRECIATION (DEPRECIATION) AND REALIZED GAINS
(LOSSES) ON INVESTMENTS (Investment Company Accounting)
The following table sets forth the pre-tax change in
the Company’s unrealized appreciation (depreciation) on
investments under Investment Company Accounting for the three
months ended March 31, 2018 and for the 2017 quarters shown
below.
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(Dollars in thousands)
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Medallion
Loans |
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Commercial
Loans |
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|
Investments in
Subsidiaries |
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Equity
Investments |
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Investments
Other
Than Securities |
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Total |
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Balance December 31, 2017
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($ |
20,338 |
) |
|
($ |
513 |
) |
|
$ |
158,920 |
|
|
$ |
3,121 |
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|
($ |
1,490 |
) |
|
$ |
139,700 |
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Net change in unrealized
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Appreciation on investments
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— |
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— |
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|
38,795 |
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(998 |
) |
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— |
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|
|
37,797 |
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Depreciation on investments
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(38,170 |
) |
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18 |
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|
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— |
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|
|
— |
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|
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(1,915 |
) |
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|
(40,067 |
) |
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Reversal of unrealized appreciation (depreciation) related to
realized
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Gains on investments
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— |
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— |
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— |
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— |
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— |
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|
— |
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Losses on investments
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|
34,747 |
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— |
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— |
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— |
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— |
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34,747 |
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Balance March 31, 2018
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($ |
23,761 |
) |
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($ |
495 |
) |
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$ |
197,715 |
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$ |
2,123 |
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($ |
3,405 |
) |
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$ |
172,177 |
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(Dollars in thousands)
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Medallion
Loans |
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Commercial
Loans |
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Investment in
Subsidiaries |
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|
Equity
Investments |
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Investments
Other
Than Securities |
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Total |
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Balance December 31, 2016
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($ |
28,523 |
) |
|
($ |
1,378 |
) |
|
$ |
152,750 |
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$ |
3,934 |
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$ |
584 |
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$ |
127,367 |
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Net change in unrealized
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Appreciation on investments
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— |
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— |
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|
3,751 |
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|
1,261 |
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— |
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|
5,012 |
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Depreciation on investments
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|
(8,670 |
) |
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|
(332 |
) |
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— |
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— |
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— |
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|
(9,002 |
) |
|
Reversal of unrealized appreciation (depreciation)
related to realized
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Gains on investments
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— |
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— |
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— |
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(2,093 |
) |
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— |
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(2,093 |
) |
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Losses on investments
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|
825 |
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— |
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— |
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|
486 |
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— |
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|
1,311 |
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Balance March 31, 2017
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(36,368 |
) |
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(1,710 |
) |
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156,501 |
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|
3,588 |
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|
584 |
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|
122,595 |
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Net change in unrealized
|
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Appreciation on investments
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— |
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— |
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(771 |
) |
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|
120 |
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|
— |
|
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|
(651 |
) |
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Depreciation on investments
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|
(12,425 |
) |
|
|
(118 |
) |
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|
— |
|
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— |
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|
— |
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|
(12,543 |
) |
|
Reversal of unrealized appreciation (depreciation)
related to realized
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Gains on investments
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— |
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— |
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— |
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— |
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— |
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— |
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Losses on investments
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|
337 |
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|
636 |
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— |
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— |
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— |
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|
973 |
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Balance June 30, 2017
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|
(48,456 |
) |
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(1,192 |
) |
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|
155,730 |
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|
3,708 |
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|
584 |
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|
110,374 |
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Net change in unrealized
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Appreciation on investments
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— |
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— |
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(2,771 |
) |
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(361 |
) |
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— |
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(3,132 |
) |
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Depreciation on investments
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(6,669 |
) |
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|
75 |
|
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|
— |
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— |
|
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|
(15 |
) |
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|
(6,609 |
) |
|
Reversal of unrealized appreciation (depreciation) related to
realized
|
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Gains on investments
|
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|
— |
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|
— |
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— |
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|
(272 |
) |
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— |
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|
(272 |
) |
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Losses on investments
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|
311 |
|
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|
60 |
|
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— |
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— |
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|
— |
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|
371 |
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Balance September 30, 2017
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($ |
54,814 |
) |
|
($ |
1,057 |
) |
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$ |
152,959 |
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$ |
3,075 |
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$ |
569 |
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$ |
100,732 |
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The table below summarizes pre-tax components
of unrealized and realized gains and losses in the investment
portfolio for the three months ended March 31, 2018 and the
three and nine months ended September 30, 2017 under
Investment Company Accounting.
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Three Months Ended |
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(Dollars in thousands)
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March 31, 2018 |
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September 30,
2017 |
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Nine Months Ended
September 30, 2017 |
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Net change in unrealized appreciation (depreciation) on
investments
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|
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|
Unrealized appreciation
|
|
($ |
998 |
) |
|
($ |
361 |
) |
|
$ |
1,132 |
|
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Unrealized depreciation
|
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|
(38,152 |
) |
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|
(6,594 |
) |
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(28,253 |
) |
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Net unrealized appreciation on investments in Medallion Bank and
other controlled subsidiaries
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|
29,115 |
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|
2,035 |
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|
11,089 |
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Realized gains
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|
— |
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|
(272 |
) |
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|
(2,363 |
) |
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Realized losses
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|
34,747 |
|
|
|
371 |
|
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|
2,656 |
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|
Net unrealized losses on investments other than securities and
other assets
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|
(1,915 |
) |
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(15 |
) |
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(15 |
) |
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Total
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$ |
22,797 |
|
|
$ |
(4,836 |
) |
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$ |
(15,754 |
) |
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Net realized gains (losses) on investments
|
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|
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Realized gains
|
|
$ |
— |
|
|
$ |
272 |
|
|
$ |
2,363 |
|
|
Realized losses
|
|
|
(34,747 |
) |
|
|
(371 |
) |
|
|
(2,656 |
) |
|
Other gains
|
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|
— |
|
|
|
1,187 |
|
|
|
4,189 |
|
|
Direct recoveries (chargeoffs)
|
|
|
2 |
|
|
|
(144 |
) |
|
|
(111 |
) |
|
Realized gains on investments other than securities and other
assets
|
|
|
— |
|
|
|
— |
|
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|
— |
|
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Total
|
|
($ |
34,745 |
) |
|
$ |
944 |
|
|
$ |
3,785 |
|
|
|
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