Holding Company Only Financial Statements

12 Months Ended

Dec. 31, 2019

Condensed Financial Information Disclosure [Abstract]

Holding Company Only Financial Statements

Holding Company Only Financial Statements

The following are the unconsolidated financial statements for the Holding Company on a stand-alone basis. These condensed financial statements should be read in conjunction with the Consolidated Financial Statements and Notes thereto. The Holding Company's principal sources of funds are cash dividends paid by the Bank to the Holding Company.

Flagstar Bancorp, Inc.

Condensed Unconsolidated Statements of Financial Condition

(Dollars in millions)

	December 31,
	2019			2018
	(Dollars in millions)
Assets
Cash and cash equivalents	$	233		$	201
Investment in subsidiaries (1)	2,031			1,836
Other assets	47			52
Total assets	$	2,311		$	2,089
Liabilities and Stockholders’ Equity
Liabilities
Long term debt	$	496		$	495
Other liabilities	27			24
Total liabilities	523			519
Stockholders’ Equity
Common stock	1			1
Additional paid in capital	1,533			1,522
Accumulated other comprehensive loss	1			(47		)
Retained earnings	303			94
Treasury Stock	(50		)	—
Total stockholders’ equity	1,788			1,570
Total liabilities and stockholders’ equity	$	2,311		$	2,089

(1) Includes unconsolidated trusts of $7 million for December 31, 2019 and 2018.

Flagstar Bancorp, Inc.

Condensed Unconsolidated Statements of Operations

(Dollars in millions) 

	For the Years Ended December 31,
	2019			2018			2017
	(Dollars in millions)
Income
Interest	$	4		$	1		$	—
Cash dividends received from subsidiaries	100			—			—
Total	104			1			—
Expenses
Interest	$	28		$	27		$	25
General and administrative	6			7			9
Total	34			34			34
Net income (loss) before undistributed income of subsidiaries	70			(33		)	(34		)
Equity in undistributed income of subsidiaries	142			212			110
Net income before income taxes	212			179			76
Provision (benefit) for income taxes	(6		)	(8		)	13
Net income	218			187			63
Other comprehensive income loss (1)	48			(31		)	(9		)
Comprehensive income	$	266		$	156		$	54

(1) See Consolidated Statements of Comprehensive Income for other comprehensive income (loss) detail.

Flagstar Bancorp, Inc.

Condensed Unconsolidated Statements of Cash Flows

(Dollars in millions) 

	For the Years Ended December 31,
	2019			2018			2017
	(Dollars in millions)
Net income	$	218		$	187		$	63
Adjustments to reconcile net loss to net cash provided by operating activities
Equity in undistributed (income) loss of subsidiaries	(241		)	(177		)	47
Dividends received from subsidiaries	104			—			—
Other	(1		)	(15		)	11
Stock-based compensation	11			10			5
Net cash used in operating activities	91			5			126
Investing Activities
Net cash provided by investing activities	—			—			—
Financing Activities
Accelerated share repurchase	(50		)	—			—
Dividends declared and paid	(9		)	—			—
Net cash used in financing activities	(59		)	—			—
Net increase in cash and cash equivalents	32			5			126
Cash and cash equivalents, beginning of year	201			196			70
Cash and cash equivalents, end of year	$	233		$	201		$	196