XML 52 R37.htm IDEA: XBRL DOCUMENT v3.20.4
Note 30 - Supplemental Cash Flow Disclosure
 12 Months Ended
Dec. 31, 2020
Notes to Financial Statements  
Cash Flow, Supplemental Disclosures [Text Block]
30.
SUPPLEMENTAL CASH FLOW DISCLOSURE
 
 
Interest paid by the Company on its debt and redeemable financial instruments was
$8,711,
$7,265,
and
$7,145
 for the years ended
December 31, 2020
,
2019
, and
2018
, respectively.    
 
The Company paid income taxes of
$234,
$30,
and
$44
 for the years ended
December 31, 2020
,
2019
, and
2018
, respectively, and received income tax refunds of
$82,
 
$48,
and
$8
 for the years ended
December 31, 2020
, 
2019
, and
2018
, respectively. 
 
In
2020
, the Company had the following significant non-cash transactions that are
not
reflected on the statement of cash flows:
 
 
• 
The Company net surrendered units of the Operating LLC.  The Company recognized a net decrease in additional paid-in capital of
$1,765,
a net increase of
$59
 in accumulated other comprehensive income, and an increase of
$1,706
 in non-controlling interest.  See note
21.
 
• 
In conjunction with the sale of ViaNova on
August 22, 2020,
the Company transferred
one
RTL with a fair value of
$2,243
 to JVB.  As a result, the Company recorded an increase in other investments at fair value and corresponding decrease in other assets.  See note
21
and
31.
 
• 
The Company recorded a
$9,694
decrease to other investments, at fair value resulting from noncontrolling interest in-kind distributions.
  
In
2019
, the Company had the following significant non-cash transactions that are
not
reflected on the statement of cash flows:
 
 
•
On
January 1, 2019,
the Company recorded a right of use asset of
$8,416
and a right of use liability of
$8,860,
a reduction in retained earnings from cumulative effect of adoption of
$20,
an increase in other receivables of
$18,
and a reduction in other liabilities of
$406,
resulting from the adoption of ASU
2016
-
02.
See note
3.
  • On
December 30, 2019,
the Company recorded a
$7,779
increase to other investments, at fair value resulting from the contribution of IMXI securities from Daniel G. Cohen and the DGC Trust in exchange for the issuance of
22,429,541
newly issued units of membership interests in the Operating LLC and the issuance of
22,429,541
shares of Series F Preferred Stock.  This also resulted in an increase of
$7,779
 in non-controlling interest.  See notes 
4,
21,
and
31.
  
In
2018
, the Company had the following significant non-cash transactions that are
not
reflected on the statement of cash flows:
 
 
•
During
2018,
the Company issued
$750
in redeemable financial instruments related to ViaNova. 
$250
of the proceeds from this issuance were uncollected as of
December 31, 2018.  
The
$250
receivable was included as a component of due from related party on the consolidated balance sheet.  
  
As part of the Company's matched book repo operations, the Company enters into reverse repos with counterparties whereby it lends money and receives securities as collateral.  In accordance with ASC
860,
the collateral securities are
not
recorded in the Company's consolidated balance sheets.  However, from time to time the Company will hold cash instead of securities as collateral for these transactions.  When the Company is provided cash as collateral for reverse repo transactions, the Company will make an entry to increase its cash and cash equivalents and to increase its other liabilities for the amount of cash received.  There are
two
main reasons the Company 
may
receive collateral in the form of cash as opposed to securities.  First, when the value of the collateral securities the Company has in its possession declines, the Company will require the counterparty to provide it with additional collateral.  The Company will accept either cash or additional liquid securities.  Often, the Company's counterparties will provide it with cash as they
may
not
have liquid securities readily available.  Second, from time to time, the Company's counterparties require a portion of the collateral securities in the Company's possession returned to them for operating purposes.  In such instances, the counterparty
may
not
have substitute liquid securities available and will often provide the Company with cash as collateral instead.  It is important to note that when the Company receives cash as collateral, it is temporary in nature and the Company has an obligation to return that cash when the counterparty provides substitute liquid securities as collateral or otherwise satisfies their associated reverse repo obligation.  The Company is generally required to return any cash collateral the same business day that it receives substitute securities.  See note
11.
 
 
The Company has
no
legal or contractual obligation to segregate this cash collateral held and therefore it is included as a component of its cash and cash equivalents in the Company's consolidated balance sheets.  However, it is
not
available for use in the Company's general operations as the Company must stand ready at all times to return the collateral held immediately once the reverse repo counterparty provides substitute liquid securities or the repo matures. 
 
The following table illustrates the impact of changing collateral deposits had on cash from operations:
 
   
Year Ended December 31,
  
   
2020
    
2019
    
2018
  
Collateral deposit end of period
   $
41,119
     $
9,524
     $
4,277
  
Less: Collateral deposit beginning of period
    
9,524
      
4,277
      
1,219
  
Impact to cash flow from operations
   $
31,595
     $
5,247
     $
3,058