XML 55 R36.htm IDEA: XBRL DOCUMENT v3.3.1.900
INVESTMENTS IN CONSUMER LOANS, EQUITY METHOD INVESTEES (Tables)
 12 Months Ended
Dec. 31, 2015
Investments In Consumer Loans Equity Method Investees [Abstract]  
Summary of the Investment in the Consumer Loan Companies
The following tables summarize the investment in the Consumer Loan Companies held by New Residential:
 
December 31,
 
2015
 
2014
Consumer Loan Assets (amortized cost basis)
$
1,698,130

 
$
2,088,330

Other Assets
70,469

 
92,051

Debt
(1,912,267
)
 
(2,411,421
)
Other Liabilities
(5,640
)
 
(12,340
)
Equity
$
(149,308
)
 
$
(243,380
)
New Residential’s investment
$
—

 
$
—

New Residential’s ownership
30.0
%
 
30.0
%


 
Year Ended December 31,
 
2015
 
2014
 
2013
Interest income
$
455,479

 
$
534,990

 
$
481,056

Interest expense
(87,000
)
 
(81,706
)
 
(71,639
)
Provision for finance receivable losses
(67,935
)
 
(104,921
)
 
(60,619
)
Other expenses, net
(60,263
)
 
(74,781
)
 
(67,225
)
Change in fair value of debt
—

 
(14,810
)
 
—

Loss on extinguishment of debt
—

 
(21,151
)
 
—

Net income
$
240,281

 
$
237,621

 
$
281,573

New Residential’s equity in net income through October 3, 2014
$
—

 
$
53,840

 
$
82,856

New Residential’s ownership
30.0
%
 
30.0
%
 
30.0
%
Summary of Consumer Loan Investments made through Equity Method Investees
The following is a summary of New Residential’s consumer loan investments made through equity method investees:
 
Unpaid Principal Balance(A)
 
Interest in Consumer Loan Companies
 
Carrying Value(B)
 
Weighted Average Coupon(C)
 
Weighted Average Yield
 
Weighted Average Expected Life (Years)(D)
December 31, 2015
$
2,094,904

 
30.0
%
 
$
1,698,130

 
18.2
%
 
18.1
%
 
3.1
December 31, 2014
$
2,589,748

 
30.0
%
 
$
2,088,330

 
18.1
%
 
16.1
%
 
3.6

(A)
Represents the November 30, 2015 and 2014 balances, respectively.
(B)
Represents the carrying value of the consumer loans held by the Consumer Loan Companies.
(C)
Substantially all of the cash flows received on the loans was required to be used to make payments on the notes described above.
(D)
Weighted Average Expected Life represents the weighted average expected timing of the receipt of expected cash flows for this investment.
Summary of Changes in Investments in Consumer Loans, Equity Method Investees
New Residential’s investments in consumer loans, equity method investees changed as follows:
 
Year Ended December 31,
 
2015
 
2014
Balance at beginning of period
$
—

 
$
215,062

Contributions to equity method investees
—

 
—

Distributions of earnings from equity method investees
—

 
(53,840
)
Distributions of capital from equity method investees
—

 
(215,062
)
Earnings from investments in consumer loan equity method investees
—

 
53,840

Balance at end of period
$
—

 
$
—



 
Year Ended December 31,
 
2015
 
2014
Tax withholding payments on behalf of New Residential, treated as non-cash distributions
$
585

 
$
609

Distributions in excess of basis, treated as gains, excluding tax withholding payments
$
43,369

 
$
91,411