Segment Reporting (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of Segment Reporting Information, by Segment

The following tables summarize segment financial information, which in total reconciles to the same data for the Company as a whole. The Company is not presenting comparable segment statements of operations for the year ended December 31, 2020, because the Company did not consolidate Lima One during those periods:


(Dollars in Thousands)	Mortgage-Related Assets		Lima One		Corporate		Total
Year Ended December 31, 2022
Interest Income	$	364,761	$	113,134	$	4,524	$	482,419
Interest Expense	176,725		66,358		15,760		258,843
Net Interest Income/(Expense)	$	188,036	$	46,776	$	(11,236)	$	223,576
Reversal of Provision/(Provision) for Credit Losses on Residential Whole Loans	2,842		(196)		—		2,646
Provision for Credit Losses on Other Assets	—		—		(28,579)		(28,579)
Net Interest Income/(Expense) after Reversal of Provision/(Provision) for Credit Losses	$	190,878	$	46,580	$	(39,815)	$	197,643

Net loss on residential whole loans measured at fair value through earnings	$	(730,028)	$	(136,734)	$	—	$	(866,762)
Impairment and other net loss on securities and other portfolio investments	(3,146)		—		(21,921)		(25,067)
Net gain on real estate owned	25,348		31		—		25,379
Net gain on derivatives used for risk management purposes	217,961		37,218		—		255,179
Net gain on securitized debt measured at fair value through earnings	231,176		59,463		—		290,639
Lima One - origination, servicing and other fee income	—		46,745		—		46,745
Other, net	4,282		537		4,478		9,297
Total Other (Loss)/Income, net	$	(254,407)	$	7,260	$	(17,443)	$	(264,590)

General and administrative expenses (including compensation)	$	—	$	53,185	$	59,355	$	112,540
Loan servicing, financing, and other related costs	25,384		1,120		16,390		42,894
Amortization of intangible assets	—		9,200		—		9,200
Net Loss	$	(88,913)	$	(9,665)	$	(133,003)	$	(231,581)

Less Preferred Stock Dividend Requirement	$	—	$	—	$	32,875	$	32,875
Net Loss Available to Common Stock and Participating Securities	$	(88,913)	$	(9,665)	$	(165,878)	$	(264,456)


(Dollars in Thousands)	Mortgage-Related Assets		Lima One		Corporate		Total
Year Ended December 31, 2021
Interest Income	$	347,863	$	14,249	$	190	$	362,302
Interest Expense	99,905		4,691		15,789		120,385
Net Interest Income/(Expense)	$	247,958	$	9,558	$	(15,599)	$	241,917
Reversal of Provision/(Provision) for Credit Losses on Residential Whole Loans	$	44,981	$	(118)	$	—	$	44,863
Net Interest Income/(Expense) after Reversal of Provision/(Provision) for Credit Losses	$	292,939	$	9,440	$	(15,599)	$	286,780

Net (loss)/gain on residential whole loans measured at fair value through earnings	$	(2,719)	$	18,962	$	—	$	16,243
Impairment and other net gain on securities and other portfolio investments	1,607		—		72,889		74,496
Net gain on real estate owned	22,760		78		—		22,838
Net gain/(loss) on derivatives used for risk management purposes	1,457		(31)		—		1,426
Net gain on securitized debt measured at fair value through earnings	14,594		433		—		15,027
Lima One - origination, servicing and other fee income	—		22,600		—		22,600
Other, net	759		128		11,586		12,473
Total Other Income, net	$	38,458	$	42,170	$	84,475	$	165,103

General and administrative expenses (including compensation)	$	—	$	24,140	$	61,406	$	85,546
Loan servicing, financing, and other related costs	25,250		436		5,181		30,867
Amortization of intangible assets	—		6,600		—		6,600
Net Income	$	306,147	$	20,434	$	2,289	$	328,870

Less Preferred Stock Dividend Requirement	$	—	$	—	$	32,875	$	32,875
Net Income/(Loss) Available to Common Stock and Participating Securities	$	306,147	$	20,434	$	(30,586)	$	295,995


(Dollars in Thousands)	Mortgage-Related Assets		Lima One		Corporate		Total
December 31, 2022
Total Assets	$	6,065,557	$	2,618,695	$	428,153	$	9,112,405

December 31, 2021
Total Assets	$	7,567,084	$	1,200,737	$	371,867	$	9,139,688

Schedule of Purchase Price Allocations

The purchase price allocations are summarized in the table below:


Purchase Price Allocation
(In Thousands)
Acquisition Date	July 1, 2021

Purchase Price:
Cash	$	57,255
Equity method investment at fair value	44,465
Total consideration	$	101,720

Allocated to:

Business purpose residential loans, at fair value	$	170,220
Cash and cash equivalents	16,531
Restricted cash	91,394
Other assets	37,107
Goodwill	61,076
Intangible assets	28,000
Total assets acquired	$	404,328

Short term debt, net	$	(170,908)
Accrued expenses and other liabilities	(84,324)
Total liabilities assumed	$	(255,232)
Preferred equity repaid at closing	(47,376)
Total net assets acquired	$	101,720