INTEREST INCOME AND INTEREST EXPENSE (Tables)

3 Months Ended

Mar. 31, 2016

Components of Company's Interest Income and Interest Expense

The table below presents the components of the Company's interest income and interest expense for the quarters ended March 31, 2016 and 2015.

	For the Quarters Ended March 31,
	2016		2015
Interest income:	(dollars in thousands)
Residential Investment Securities	$	315,717	$	478,239
Commercial investment portfolio(1)		70,187		40,336
Reverse repurchase agreements		2,239		539
Total interest income		388,143		519,114
Interest expense:
Repurchase agreements		132,891		102,748
Convertible Senior Notes		-		23,627
Securitized debt of consolidated VIEs		9,033		2,882
Participation sold		158		159
Other		5,365		4
Total interest expense		147,447		129,420
Net interest income	$	240,696	$	389,694
(1) Includes commercial real estate debt, preferred equity and corporate debt.