6. SECURED FINANCINGS

As of September 30, 2014, our secured financings included revolving repurchase facilities, asset-specific financings, and senior loan participations sold. During the nine months ended September 30, 2014, we entered into three revolving repurchase facilities, one asset-specific repurchase agreement, and sold two senior loan participations, providing an additional $2.0 billion of credit capacity.

Repurchase Agreements

Revolving Repurchase Facilities

The following table details our revolving repurchase facilities outstanding ($ in thousands):


	September 30, 2014										Dec. 31, 2013 Borrowings Outstanding
	Maximum		Collateral		Repurchase Borrowings⁽³⁾
Lender	Facility Size⁽¹⁾		Assets⁽²⁾		Potential		Outstanding		Available
Wells Fargo	$	500,000	$	574,395	$	447,994	$	360,725	$	87,269	$	—
Bank of America		500,000		537,159		424,404		353,542		70,862		271,320
Citibank		500,000		584,020		441,567		324,429		117,138		334,692
JP Morgan⁽⁴⁾		498,546		519,159		396,587		269,618		126,969		257,610
MetLife		500,000		341,524		263,889		232,389		31,500		—
Morgan Stanley⁽⁵⁾		406,025		168,930		128,703		128,703		—		—

	$	2,904,571	$	2,725,187	$	2,103,144	$	1,669,406	$	433,738	$	863,622

(1)	Maximum facility size represents the total amount of borrowings provided for in each repurchase agreement, however these borrowings are only available to us once sufficient collateral assets have been pledged under each facility.

(2)	Represents the principal balance of the collateral assets.

(3)	Potential borrowings represent the total amount we could draw under each facility based on collateral already approved and pledged. When undrawn, these amounts are immediately available to us at our sole discretion under the terms of each revolving credit facility.

(4)	The JP Morgan maximum facility size is composed of a $250.0 million facility and a £153.0 million ($248.5 million) facility.

(5)	The Morgan Stanley maximum facility size represents a £250.0 million ($406.0 million) facility.

The weighted-average outstanding balance of our revolving repurchase facilities was $1.6 billion and $1.2 billion for the three and nine months ended September 30, 2014, respectively. As of September 30, 2014, we had aggregate borrowings of $1.7 billion outstanding under our revolving repurchase facilities, with a weighted-average cash coupon of LIBOR plus 1.90% per annum and a weighted-average all-in cost of credit, including associated fees and expenses, of LIBOR plus 2.14% per annum. As of September 30, 2014, outstanding borrowings under these facilities had a weighted-average maturity, excluding extension options and term-out provisions, of 2.1 years. Borrowings under each facility are subject to the initial approval of eligible collateral loans by the lender and the maximum advance rate and pricing rate of individual advances are determined with reference to the attributes of the respective collateral loan.

The following table outlines the key terms of our revolving repurchase facilities:


Lender	Rate⁽¹⁾⁽²⁾	Guarantee⁽¹⁾⁽³⁾	Advance Rate⁽¹⁾	Margin Call⁽⁴⁾	Term/Maturity
Wells Fargo	L+1.85%	25%	78.47%	Collateral marks only	Term matched⁽⁶⁾
Bank of America	L+1.75%	50%	79.57%	Collateral marks only	May 21, 2019⁽⁵⁾
Citibank	L+1.94%	25%	76.06%	Collateral marks only	Term matched⁽⁶⁾
JP Morgan	L+1.98%	25%	77.37%	Collateral marks only	Term matched⁽⁶⁾⁽⁷⁾
MetLife	L+1.82%	50%	77.64%	Collateral marks only	June 29, 2020⁽⁸⁾
Morgan Stanley	L+2.32%	25%	78.61%	Collateral marks only	March 3, 2017

(1)	Represents a weighted-average based on collateral assets pledged and borrowings outstanding as of September 30, 2014.

(2)	Represents weighted-average cash coupon on borrowings outstanding as of September 30, 2014. As of September 30, 2014, 91% of our revolving repurchase agreements are indexed to one-month USD LIBOR, 7% are indexed to three-month GBP LIBOR, and 2% referencing other floating rate indices.

(3)	Other than amounts guaranteed based on specific collateral asset types, borrowings under our revolving repurchase facilities are not recourse to us.

(4)	Margin call provisions under our revolving repurchase facilities do not permit valuation adjustments based on capital markets activity, and are limited to collateral-specific credit marks.

(5)	Includes two one-year extension options which may be exercised at our sole discretion.

(6)	These revolving repurchase facilities have various availability periods during which new advances can be made and which are generally subject to each lender’s discretion. Maturity dates for advances outstanding are tied to the term of each respective collateral asset.

(7)	Borrowings denominated in British pound sterling under this facility mature on December 30, 2016.

(8)	Includes five one-year extension options which may be exercised at our sole discretion.

Asset-Specific Repurchase Agreements

The following table details overall statistics for our asset-specific repurchase agreements ($ in thousands):


	September 30, 2014						December 31, 2013
	Repurchase			Collateral			Repurchase			Collateral
	Agreements			Assets			Agreements			Assets
Number of loans		3			4			4			4
Principal balance	$	226,961		$	288,831		$	245,731		$	334,857
Weighted-average cash coupon⁽¹⁾		L+2.62	%		L+4.73	%		L+2.55	%		L+4.79	%
Weighted-average all-in yield / cost⁽¹⁾		L+3.00	%		L+5.22	%		L+3.03	%		L+5.38	%

(1)	As of September 30, 2014, all of our asset-specific repurchase agreements are indexed to one-month USD LIBOR. In addition to cash coupon, all-in yield / cost includes the amortization of deferred origination fees / financing costs.

The weighted-average outstanding asset-specific balance was $256.9 million and $251.7 million for the three and nine months ended September 30, 2014, respectively.

Debt Covenants

Each of the guarantees related to our revolving repurchase facilities and asset-specific repurchase agreements contain the following uniform financial covenants: (i) our ratio of earnings before interest, taxes, depreciation, and amortization, or EBITDA, to fixed charges shall be not less than 1.40 to 1.0; (ii) our tangible net worth, as defined in the agreements, shall not be less than $1.1 billion as of September 30, 2014 plus 75% of the net cash proceeds of future equity issuances subsequent to September 30, 2014; (iii) cash liquidity shall not be less than the greater of (x) $10.0 million or (y) 5% of our recourse indebtedness; and (iv) our indebtedness shall not exceed 83.33% of our total assets. As of September 30, 2014 and December 31, 2013, we were in compliance with these covenants.

Loan Participations Sold

Loan participations sold represent senior interests in certain loans that we sold, however we present these participations sold as liabilities because these arrangements do not qualify as sales under GAAP. These participations are non-recourse and remain on our consolidated balance sheet until the loan is repaid. The gross presentation of loan participations sold does not impact stockholders’ equity or net income.

The following table details overall statistics for our loan participations sold ($ in thousands):


	September 30, 2014						December 31, 2013
	Participations			Underlying			Participations			Underlying
	Sold			Loans			Sold			Loans
Number of loans		3			3			1			1
Principal balance	$	447,977		$	619,323		$	90,000		$	173,837
Weighted-average cash coupon⁽¹⁾		L+3.01	%		L+4.56	%		L+5.12	%		L+5.66	%
Weighted-average all-in yield / cost⁽¹⁾		L+3.22	%		L+5.81	%		L+5.26	%		L+9.25	%

(1)	As of September 30, 2014, 40% of our participations sold are indexed to one-month LIBOR and 60% are indexed to three-month LIBOR. In addition to cash coupon, all-in yield / cost includes the amortization of deferred origination fees / financing costs.