|
|
Nine Months Ended September 30,
|
|
|
|
2016
|
|
|
2015
|
|
Cash flows from operating activities:
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
(415,697
|
)
|
|
$
|
(203,919
|
)
|
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
|
|
|
|
|
|
|
|
|
Amortization of Residential Investment Securities premiums and discounts, net
|
|
|
834,257
|
|
|
|
633,937
|
|
Amortization of commercial real estate investment premiums and discounts, net
|
|
|
(2,393
|
)
|
|
|
(1,080
|
)
|
Amortization of intangibles
|
|
|
10,446
|
|
|
|
5,095
|
|
Amortization of deferred financing costs
|
|
|
1,315
|
|
|
|
5,192
|
|
Amortization of net origination fees and costs, net
|
|
|
(3,925
|
)
|
|
|
(3,350
|
)
|
Amortization of contingent beneficial conversion feature and equity component of Convertible Senior Notes
|
|
|
-
|
|
|
|
12,246
|
|
Depreciation expense
|
|
|
16,511
|
|
|
|
8,773
|
|
Bargain purchase gain
|
|
|
(72,576
|
)
|
|
|
-
|
|
Net gain on sale of commercial real estate
|
|
|
(821
|
)
|
|
|
-
|
|
Net gain on sale of commercial loans held for sale
|
|
|
72
|
|
|
|
100
|
|
Net (gains) losses on sales of Residential Investment Securities
|
|
|
(24,941
|
)
|
|
|
(70,796
|
)
|
Net (gains) losses on sale of residential mortgage loans
|
|
|
383
|
|
|
|
-
|
|
Net (gain) loss on sale of investment in affiliate
|
|
|
-
|
|
|
|
12,450
|
|
Stock compensation expense
|
|
|
6,949
|
|
|
|
1,089
|
|
Impairment of goodwill
|
|
|
-
|
|
|
|
22,966
|
|
Unrealized (gains) losses on interest rate swaps
|
|
|
1,148,478
|
|
|
|
587,995
|
|
Net unrealized (gains) losses on investments measured at fair value through earnings
|
|
|
24,351
|
|
|
|
40,466
|
|
Equity in net income from unconsolidated joint ventures
|
|
|
5,344
|
|
|
|
414
|
|
Net (gains) losses on trading assets
|
|
|
(370,050
|
)
|
|
|
12,961
|
|
Originations of commercial loans held for sale, net
|
|
|
-
|
|
|
|
(476,400
|
)
|
Proceeds from sale of commercial loans held for sale
|
|
|
134,253
|
|
|
|
-
|
|
Payments on purchase of residential mortgage loans
|
|
|
(73,370
|
)
|
|
|
-
|
|
Proceeds from repayments from residential mortgage loans
|
|
|
107,648
|
|
|
|
-
|
|
Proceeds from repurchase agreements of RCap
|
|
|
1,661,650,000
|
|
|
|
1,447,650,000
|
|
Payments on repurchase agreements of RCap
|
|
|
(1,662,100,000
|
)
|
|
|
(1,452,000,000
|
)
|
Proceeds from reverse repurchase agreements of RCap
|
|
|
48,390,000
|
|
|
|
39,875,000
|
|
Payments on reverse repurchase agreements of RCap
|
|
|
(48,390,000
|
)
|
|
|
(39,775,000
|
)
|
Net payments on derivatives
|
|
|
23,168
|
|
|
|
7,288
|
|
Net change in:
|
|
|
|
|
|
|
|
|
Other assets
|
|
|
(72,800
|
)
|
|
|
(29,324
|
)
|
Accrued interest and dividends receivable
|
|
|
13,970
|
|
|
|
52,057
|
|
Receivable for investment advisory income
|
|
|
-
|
|
|
|
6,410
|
|
Accrued interest payable
|
|
|
15,729
|
|
|
|
(34,947
|
)
|
Accounts payable and other liabilities
|
|
|
(23,162
|
)
|
|
|
17,417
|
|
Net cash provided by (used in) operating activities
|
|
$
|
833,139
|
|
|
$
|
(3,642,960
|
)
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities:
|
|
|
|
|
|
|
|
|
Payments on purchases of Residential Investment Securities
|
|
|
(13,628,516
|
)
|
|
|
(13,172,943
|
)
|
Proceeds from sales of Residential Investment Securities
|
|
|
8,729,912
|
|
|
|
22,081,011
|
|
Principal payments on Agency mortgage-backed securities
|
|
|
8,580,353
|
|
|
|
7,811,368
|
|
Purchase of MSRs
|
|
|
(127,489
|
)
|
|
|
-
|
|
Proceeds from sale of investment in affiliate
|
|
|
-
|
|
|
|
126,402
|
|
Payments on purchases of corporate debt
|
|
|
(324,863
|
)
|
|
|
(301,739
|
)
|
Principal payments on corporate debt
|
|
|
98,542
|
|
|
|
43,846
|
|
Purchases of commercial real estate debt investments
|
|
|
(76,862
|
)
|
|
|
(368,511
|
)
|
Sales of commercial real estate debt investments
|
|
|
-
|
|
|
|
41,016
|
|
Purchase of securitized loans at fair value
|
|
|
(1,489,268
|
)
|
|
|
(2,574,353
|
)
|
Origination of commercial real estate investments, net
|
|
|
(204,184
|
)
|
|
|
(350,477
|
)
|
Proceeds from sale of commercial real estate investments
|
|
|
12,750
|
|
|
|
227,450
|
|
Principal payments on commercial real estate debt investments
|
|
|
71,116
|
|
|
|
10,170
|
|
Principal payments on securitized loans at fair value
|
|
|
106,786
|
|
|
|
-
|
|
Principal payments on commercial real estate investments
|
|
|
486,435
|
|
|
|
327,936
|
|
Purchase of investments in real estate
|
|
|
(2,043
|
)
|
|
|
(29,900
|
)
|
Investment in unconsolidated joint venture
|
|
|
(3,109
|
)
|
|
|
(70,602
|
)
|
Distributions in excess of cumulative earnings from unconsolidated joint ventures
|
|
|
4,155
|
|
|
|
-
|
|
Payments on purchase of residential mortgage loans held for investment
|
|
|
(8,022
|
)
|
|
|
-
|
|
Proceeds from repayments from residential mortgage loans held for investment
|
|
|
11,771
|
|
|
|
-
|
|
Purchase of equity securities
|
|
|
(88,062
|
)
|
|
|
(27,519
|
)
|
Proceeds from sales of equity securities
|
|
|
16,112
|
|
|
|
13,119
|
|
Cash acquired in business combination
|
|
|
41,697
|
|
|
|
-
|
|
Net cash provided by (used in) investing activities
|
|
$
|
2,207,211
|
|
|
$
|
13,786,274
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities:
|
|
|
|
|
|
|
|
|
Proceeds from repurchase agreements
|
|
|
128,601,867
|
|
|
|
156,196,644
|
|
Principal payments on repurchase agreements
|
|
|
(133,021,365
|
)
|
|
|
(166,759,206
|
)
|
Payments on maturity of convertible senior notes
|
|
|
-
|
|
|
|
(857,541
|
)
|
Proceeds from other secured financing
|
|
|
2,358,314
|
|
|
|
687,935
|
|
Payments on other secured financing
|
|
|
(434,458
|
)
|
|
|
(327,965
|
)
|
Proceeds from issuance of securitized debt
|
|
|
1,381,640
|
|
|
|
2,382,810
|
|
Principal repayments on securitized debt
|
|
|
(273,091
|
)
|
|
|
(84,560
|
)
|
Principal repayments on securitized loans
|
|
|
-
|
|
|
|
201
|
|
Payment of deferred financing cost
|
|
|
(3,076
|
)
|
|
|
(886
|
)
|
Net proceeds from direct purchases and dividend reinvestments
|
|
|
1,795
|
|
|
|
1,724
|
|
Proceeds from mortgages payable
|
|
|
-
|
|
|
|
20,450
|
|
Principal payments on participation sold
|
|
|
(230
|
)
|
|
|
(220
|
)
|
Principal payments on mortgages payable
|
|
|
(7,500
|
)
|
|
|
(262
|
)
|
Contributions from noncontrolling interests
|
|
|
-
|
|
|
|
1,107
|
|
Distributions to noncontrolling interests
|
|
|
(926
|
)
|
|
|
(456
|
)
|
Net payment on share repurchase
|
|
|
(102,712
|
)
|
|
|
-
|
|
Dividends paid
|
|
|
(927,678
|
)
|
|
|
(906,910
|
)
|
Net cash provided by (used in) financing activities
|
|
$
|
(2,427,420
|
)
|
|
$
|
(9,647,135
|
)
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in cash and cash equivalents
|
|
$
|
612,930
|
|
|
$
|
496,179
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents, beginning of period
|
|
|
1,769,258
|
|
|
|
1,741,244
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents, end of period
|
|
$
|
2,382,188
|
|
|
$
|
2,237,423
|
|
|
|
|
|
|
|
|
|
|
Supplemental disclosure of cash flow information:
|
|
|
|
|
|
|
|
|
Interest received
|
|
$
|
2,197,880
|
|
|
$
|
2,241,301
|
|
Dividends received
|
|
$
|
1,253
|
|
|
$
|
12,684
|
|
Fees received
|
|
$
|
4,266
|
|
|
$
|
-
|
|
Investment advisory income received
|
|
$
|
-
|
|
|
$
|
31,258
|
|
Interest paid (excluding interest paid on interest rate swaps)
|
|
$
|
441,121
|
|
|
$
|
314,568
|
|
Net interest paid on interest rate swaps
|
|
$
|
415,223
|
|
|
$
|
450,750
|
|
Taxes paid
|
|
$
|
858
|
|
|
$
|
1,926
|
|
|
|
|
|
|
|
|
|
|
Noncash investing activities:
|
|
|
|
|
|
|
|
|
Receivable for investments sold
|
|
$
|
493,839
|
|
|
$
|
127,571
|
|
Payable for investments purchased
|
|
$
|
454,237
|
|
|
$
|
744,378
|
|
Net change in unrealized gains (losses) on available-for-sale securities, net of reclassification adjustment
|
|
$
|
1,497,273
|
|
|
$
|
57,972
|
|
|
|
|
|
|
|
|
|
|
Noncash financing activities
:
|
|
|
|
|
|
|
|
|
Dividends declared, not yet paid
|
|
$
|
269,111
|
|
|
$
|
284,348
|
|
Decrease in securitized debt
|
|
$
|
16,663
|
|
|
$
|
-
|
|