Acquisitions (Tables)

12 Months Ended

Dec. 31, 2018

Business Combinations [Abstract]

Schedule of Business Acquisitions

The table below presents the calculation of aggregate purchase price.

Purchase Price
Converted WMIH common shares in millions (prior to the 1-for-12 reverse stock split)	394
Price per share, based on price of $1.398 for WMIH stock on July 31, 2018 (prior to the 1-for-12 reverse stock split)	$	1.398
Purchase price from common stock issued	551
Purchase price from cash payment	1,226
Total purchase price	$	1,777

Schedule of Assets Acquired and Liabilities Assumed

The preliminary allocation of the purchase price to the acquired assets and liabilities is as follows:

Preliminary Estimated Fair Value of Net Assets Acquired
Cash and cash equivalents	$	166
Restricted cash	430
Mortgage servicing rights	3,428
Advances and other receivables	1,262
Reverse mortgage interests	9,213
Mortgage loans held for sale	1,514
Mortgage loans held for investment	125
Property and equipment	96
Derivative financial instruments	64
Other assets	546
Fair value of assets acquired	16,844
Unsecured senior notes	1,830
Advance facilities	551
Warehouse facilities	2,701
Payables and accrued liabilities	1,361
MSR related liabilities—nonrecourse	1,065
Mortgage servicing liabilities	86
Derivative financial instruments	3
Other nonrecourse debt	7,583
Fair value of liabilities assumed	15,180
Total fair value of net tangible assets acquired	1,664
Intangible assets(1)	103
Preliminary goodwill	10
	$	1,777

⁽¹⁾  The following intangible assets were acquired in the Nationstar acquisition:

	Useful Life (Years)	Fair Value
Customer relationships (i)	6	$	61
Tradename (ii)	5	8
Technology (ii)	3-5	11
Internally developed software(iii)	2	23
Total		$	103

⁽ⁱ⁾  The estimated fair values for customer relationships were measured using the excess earnings method.

⁽ⁱⁱ⁾  The estimated fair values for tradename and technology were measured using the relief-from-royalty method. This method assumes the tradename and technology have value to the extent the owner is relieved of the obligation to pay royalties for the benefits received from these assets.

⁽ⁱⁱⁱ⁾  The estimated fair values for internally developed software were measured using the replacement cost method.

Pro Forma Information

The following unaudited pro forma financial information presents the combined results of operations for the year ended December 31, 2018 as if the transaction had occurred on January 1, 2018.

	Year ended December 31, 2018
	(unaudited)
Pro forma total revenues	$	1,790
Pro forma net income	$	16