Quarterly report pursuant to Section 13 or 15(d)

SEGMENT REPORTING

v2.4.0.8
SEGMENT REPORTING
9 Months Ended
Sep. 30, 2013
Segment Reporting [Abstract]  
SEGMENT REPORTING
2.     SEGMENT REPORTING
 
New Residential conducts its business through the following segments: (i) investments in Excess MSRs, (ii) investments in real estate securities and loans, (iii) investments in consumer loans, and (iv) corporate. The corporate segment consists primarily of general and administrative expenses, the allocation of management fees by Newcastle until the spin-off on May 15, 2013, and the management fees and incentive compensation owed to the Manager by New Residential following the spin-off.
 
Summary financial data on New Residential’s segments is given below, together with a reconciliation to the same data for New Residential as a whole:
 
   
Excess MSRs
   
Real Estate Securities and Loans
   
Consumer Loans
   
Corporate
   
Total
 
Three Months Ended September 30, 2013
                             
Interest income
  $ 9,761     $ 12,120     $     $ 4     $ 21,885  
Interest expense
          3,443                   3,443  
Net interest income
    9,761       8,677             4       18,442  
Impairment
                             
Other income
    20,853       11,213       24,129             56,195  
Operating expenses
    82       104       1       11,305       11,492  
Net income (loss)
  $ 30,532     $ 19,786     $ 24,128     $ (11,301 )   $ 63,145  
 
   
Excess MSRs
   
Real Estate Securities and Loans
   
Consumer Loans
   
Corporate
   
Total
 
Nine Months Ended September 30, 2013
                             
Interest income
  $ 30,541     $ 30,492     $     $ 42     $ 61,075  
Interest expense
          6,993                   6,993  
Net interest income
    30,541       23,499             42       54,082  
Impairment
          3,756                   3,756  
Other income
    85,640       11,271       60,293             157,204  
Operating expenses
    178       256       1,952       19,702       22,088  
Net income (loss)
  $ 116,003     $ 30,758     $ 58,341     $ (19,660 )   $ 185,442  
 
   
Excess MSRs
   
Real Estate Securities and Loans
   
Consumer Loans
   
Corporate
   
Total
 
September 30, 2013
                             
Investments
  $ 665,600     $ 1,894,260     $ 192,498     $     $ 2,752,358  
Cash and cash equivalents
                      172,203       172,203  
Other assets
          6,563             720       7,283  
Total assets
    665,600       1,900,823       192,498       172,923       2,931,844  
Debt
          1,467,934                   1,467,934  
Other liabilities
    82       149,352             53,440       202,874  
Total liabilities
    82       1,617,286             53,440       1,670,808  
GAAP book value
  $ 665,518     $ 283,537     $ 192,498     $ 119,483     $ 1,261,036  
                                         
Investments in equity method investees
  $ 358,032     $     $ 192,498     $     $ 550,530  
 
   
Excess MSRs
   
Real Estate Securities and Loans
   
Consumer Loans
   
Corporate
   
Total
 
Three Months Ended September 30, 2012
                             
Interest income
  $ 9,903     $ 2,392     $     $     $ 12,295  
Interest expense
          298                   298  
Net interest income
    9,903       2,094                   11,997  
Other income
    1,774                         1,774  
Operating expenses
    994                   1,009       2,003  
Net income (loss)
  $ 10,683     $ 2,094     $     $ (1,009 )   $ 11,768  
 
   
Excess MSRs
   
Real Estate Securities and Loans
   
Consumer Loans
   
Corporate
   
Total
 
Nine Months Ended September 30, 2012
                             
Interest income
  $ 16,419     $ 2,392     $     $     $ 18,811  
Interest expense
          298                   298  
Net interest income
    16,419       2,094                   18,513  
Other income
    6,513                         6,513  
Operating expenses
    2,141                   1,955       4,096  
Net income (loss)
  $ 20,791     $ 2,094     $     $ (1,955 )   $ 20,930