Quarterly report pursuant to Section 13 or 15(d)

EQUITY AND EARNINGS PER SHARE (Tables)

v3.20.1
EQUITY AND EARNINGS PER SHARE (Tables)
3 Months Ended
Mar. 31, 2020
Equity and Earnings Per Share [Abstract]  
Schedule of Open Market Purchases
The following table summarizes the Company’s ATM Program activity:
Month

Number of Common shares

Average price per share

Gross Proceeds

Fees

Net Proceeds
January 1, 2020 - March 31, 2020

97,394


$
17.06


$
1,662


$
12


$
1,650


Schedule of Preferred Shares
The table below summarizes Preferred Shares:
 
 
 
 
 
 
 
 
 
 
Three Months Ended 
 March 31, 2020
Series
 
Number of Shares
 
Liquidation Preference
 
Issuance Discount
 
Carrying Value
 
Dividend
Fixed-to-floating rate cumulative redeemable preferred:
 
 
 
 
 
 
 
 
 
 
Preferred Series A, 7.50% Issued July 2019
 
6,210

 
$
155,250

 
3.15
%
 
$
150,026

 
$
0.47

Preferred Series B, 7.125% Issued August 2019
 
11,300

 
282,500

 
3.15
%
 
273,418

 
$
0.45

Preferred Series C, 6.375% Issued February 2020
 
16,100

 
402,500

 
3.15
%
 
389,548

 
$
0.40

Total
 
33,610

 
$
840,250

 
 
 
$
812,992

 
 

Summary of Outstanding Options
As of March 31, 2020, New Residential’s outstanding options were summarized as follows:
Held by the Manager
10,860,706

Issued to the Manager and subsequently assigned to certain of the Manager’s employees
3,560,949

Issued to the independent directors
7,000

Total
14,428,655



The following table summarizes New Residential’s outstanding options as of March 31, 2020. The last sales price on the New York Stock Exchange for New Residential’s common stock in the quarter ended March 31, 2020 was $5.01 per share.
Recipient
Date of
Grant/
Exercise(A)
 
Number of Unexercised
Options
 
Options
Exercisable as of
March 31, 2020
 
Weighted
Average
Exercise
Price(B)
 
Intrinsic Value of Exercisable Options as of
March 31, 2020
(millions)
Directors
Various
 
7,000

 
7,000

 
$
13.57

 
$

Manager(C)
2017
 
1,130,916

 
1,130,916

 
13.95

 

Manager(C)
2018
 
5,320,000

 
3,576,631

 
16.65

 

Manager(C)
2019
 
6,351,000

 
2,422,600

 
16.17

 

Manager(C)
2020
 
1,619,739

 
53,991

 
17.41

 

Outstanding
 
 
14,428,655

 
7,191,138

 
 
 
 
 
(A)
Options expire on the tenth anniversary from date of grant.
(B)
The exercise prices are subject to adjustment in connection with return of capital dividends. A portion of New Residential’s 2018 dividends was deemed to be a return of capital and the exercise prices were adjusted accordingly.
(C)
The Manager assigned certain of its options to its employees as follows:
    
Date of Grant to Manager
 
Range of Exercise
Prices
 
Total Unexercised
Inception to Date
2017
 
$13.95
 
1,130,916

2018
 
$16.54 to $18.01
 
1,159,833

2019
 
$15.13 to $16.67
 
1,270,200

Total
 
 
 
3,560,949


 
The following table summarizes activity in New Residential’s outstanding options:
 
 
Amount
 
Weighted Average Exercise Price
December 31, 2019 outstanding options
 
12,808,916

 
 
Options granted
 
1,619,739

 
$
17.41

Options exercised
 

 
$

Options expired unexercised
 

 
 
March 31, 2020 outstanding options
 
14,428,655

 
See table above

Schedule of Basic and Diluted Earnings Per Share
The following table summarizes the basic and diluted earnings per share calculations:
 
 
Three Months Ended  
 March 31,
 
 
2020
 
2019
Net income (loss)
 
$
(1,607,255
)
 
$
155,912

Noncontrolling interests in income of consolidated subsidiaries
 
(16,162
)
 
10,318

Dividends on preferred stock
 
11,222

 

Net income (loss) attributable to common stockholders
 
$
(1,602,315
)
 
$
145,594

 
 
 
 
 
Basic weighted average shares of common stock outstanding
 
415,589,155

 
388,279,931

Dilutive effect of stock options(A)
 

 
321,144

Diluted weighted average shares of common stock outstanding
 
415,589,155

 
388,601,075

 
 
 
 
 
Basic earnings per share attributable to common stockholders
 
$
(3.86
)
 
$
0.37

Diluted earnings per share attributable to common stockholders
 
$
(3.86
)
 
$
0.37


(A)
Stock options that could potentially dilute basic earnings per share in the future were not included in the computation of diluted earnings per share, for the periods where a loss has been recorded because they would have been anti-dilutive for the period presented.