Supplemental Financial Data

6 Months Ended

Jun. 30, 2020

Supplemental Financial Data

Supplemental Financial Data

Note 28 – Supplemental financial data

Summarized financial information of our unconsolidated subsidiaries

In November of 2017, the Company acquired an interest in an SBC loan pool through a joint venture, WFLLA, LLC, which the Company has a 50% interest. Pursuant to the consolidation guidance, we determined our interest in the entity is a VIE, however, we do not consolidate the entity as we determined that we are not the primary beneficiary. WFLLA, LLC holds a 49.9% interest in another company, Girod HoldCo, LLC, whom owns and manages the day-to-day affairs and business associated with the SBC loan pool.

In accordance with Regulation S-X section 10-01(b)-1, unconsolidated entities that meet certain significance tests are required to have supplemental disclosures included in our unaudited interim financial statements, including condensed financial information for the three and six months ended June 30, 2020 and 2019.

Statements of Income	Three Months Ended June 30, 2020				Three Months Ended June 30, 2019
(In Thousands)		Girod HoldCo, LLC		WFLLA, LLC		Girod HoldCo, LLC		WFLLA, LLC
Interest income	$	268	$	134	$	3,678	$	1,835
Realized gains		—		—		430		215
Unrealized gains (losses)		(2,234)		(1,115)		5,091		2,540
Servicing expense and other		(845)		(422)		(1,460)		(733)
Income (loss) before provision for income taxes	$	(2,811)	$	(1,403)	$	7,739	$	3,857

Statements of Income	Six Months Ended June 30, 2020				Six Months Ended June 30, 2019
(In Thousands)		Girod HoldCo, LLC		WFLLA, LLC		Girod HoldCo, LLC		WFLLA, LLC
Interest income	$	649	$	324	$	4,835	$	2,413
Realized gains		149		74		631		315
Unrealized gains (losses)		(4,221)		(2,106)		16,368		8,168
Servicing expense and other		(2,433)		(1,216)		(2,357)		(1,181)
Income (loss) before provision for income taxes	$	(5,856)	$	(2,924)	$	19,477	$	9,715

	Three Months Ended June 30,				Six Months Ended June 30,
(In Thousands)	2020		2019		2020		2019
Income (loss) on unconsolidated joint ventures
WFLLA, LLC	$	(702)	$	1,929	$	(1,462)	$	4,858
Other unconsolidated joint ventures		1,209		154		(1,568)		154
Income (loss) on unconsolidated joint ventures	$	507	$	2,083	$	(3,030)	$	5,012

During the three months ended June 30, 2020 and 2019, the Company recorded $0.5 million and $2.1 million of income, respectively, which is based on our proportional ownership interest in the entities above. During the six months ended June 30, 2020 and 2019, the Company recorded a loss of $3.0 million and $5.0 million of income, respectively. These amounts are reflected in Income on unconsolidated joint ventures within the interim unaudited statement of income.