Indebtedness (Tables)

9 Months Ended

Sep. 30, 2018

Notes Payable



						Successor				Predecessor
						September 30, 2018				December 31, 2017
Advance Facilities	Interest Rate	Maturity Date	Collateral	Capacity Amount		Outstanding		Collateral Pledged		Outstanding			Collateral pledged
Nationstar agency advance receivables trust	LIBOR+1.9% to 2.6%	November 2019	Servicing advance receivables	$	575	$	232	$	271	$	416		$	492
Nationstar mortgage advance receivable trust	LIBOR+1.5% to 6.5%	August 2021	Servicing advance receivables	325		264		333		230			287
Nationstar agency advance financing facility	LIBOR+1.9% to 7.4%	January 2019	Servicing advance receivables	150		67		78		102			117
MBS servicer advance facility (2014)	CPRATE+3.0%	January 2019	Servicing advance receivables	125		33		145		44			140
MBS advance financing facility	LIBOR + 2.5%	March 2019	Servicing advance receivables	—		—		—		63			64
Advance facilities principal amount						596		$	827	855			$	1,100
Unamortized debt issuance costs						—				—
Advance facilities, net						$	596			$	855

						Successor				Predecessor
						September 30, 2018				December 31, 2017
Warehouse Facilities	Interest Rate	Maturity Date	Collateral	Capacity Amount		Outstanding		Collateral Pledged		Outstanding			Collateral pledged
$1,200 warehouse facility	LIBOR+1.9% to 3.8%	November 2018	Mortgage loans or MBS	$	1,200	$	664	$	730	$	889		$	960
$1,000 warehouse facility	LIBOR+1.6% to 2.5%	September 2019	Mortgage loans or MBS	1,000		220		225		299			308
$950 warehouse facility	LIBOR+2.0% to 3.5%	November 2018	Mortgage loans or MBS	950		661		735		721			785
$600 warehouse facility	LIBOR+2.5%	February 2019	Mortgage loans or MBS	600		263		285		333			347
$500 warehouse facility	LIBOR+1.5% to 2.8%	August 2019	Mortgage loans or MBS	500		160		164		233			239
$500 warehouse facility	LIBOR+1.8% to 2.8%	November 2018	Mortgage loans or MBS	500		291		320		305			337
$500 warehouse facility	LIBOR+2.0% to 3.5%	April 2019	Mortgage loans or MBS	500		218		233		246			272
$300 warehouse facility	LIBOR+2.3%	January 2019	Mortgage loans or MBS	300		89		111		116			141
$250 Warehouse Facility	LIBOR+2.0% to 2.3%	September 2020	Mortgage loans or MBS	250		177		182		—			—
$200 warehouse facility	LIBOR+1.6%	April 2019	Mortgage loans or MBS	200		43		44		80			81
$200 warehouse facility	LIBOR+4.0%	June 2020	Mortgage loans or MBS	200		100		198		50			50
$150 warehouse facility	LIBOR+4.3%	December 2018	Mortgage loans or MBS	150		—		98		—			—
$50 warehouse facility	LIBOR+4.5%	August 2020	Mortgage loans or MBS	50		—		44		10			10
$40 warehouse facility	LIBOR+3.0%	November 2018	Mortgage loans or MBS	40		2		3		4			6
Warehouse facilities principal amount						2,888		$	3,372	3,286			$	3,536
Unamortized debt issuance costs						—				(1		)
Warehouse facilities, net						$	2,888			$	3,285

Pledged Collateral:
Mortgage loans, net						$	1,595	$	1,481	$	1,852		$	1,680
Reverse mortgage interests, net						1,193		1,342		1,434			1,575
MSR and other collateral						100		549		—			281

Schedule of Unsecured Senior Notes

Unsecured senior notes consist of the following.



	Successor			Predecessor
	September 30, 2018			December 31, 2017
$950 face value, 8.125% interest rate payable semi-annually, due July 2023⁽¹⁾	$	950		$	—
$750 face value, 9.125% interest rate payable semi-annually, due July 2026⁽¹⁾	750			—
$600 face value, 6.500% interest rate payable semi-annually, due July 2021⁽²⁾	592			595
$300 face value, 6.500% interest rate payable semi-annually, due June 2022⁽²⁾	206			206
$475 face value, 6.500% interest rate payable semi-annually, due August 2018⁽³⁾	—			364
$400 face value, 7.875% interest rate payable semi-annually, due October 2020⁽⁴⁾	—			397
$375 face value, 9.625% interest rate payable semi-annually, due May 2019⁽⁴⁾	—			323
Unsecured senior notes principal amount	2,498			1,885
Unamortized debt issuance costs, net of premium, and discount	(41		)	(11		)
Unsecured senior notes, net	$	2,457		$	1,874

⁽¹⁾On July 13, 2018, Merger Sub issued $950 aggregate principal amount of the 8.125% Notes due 2023 and $750 aggregate principal amount of the 9.125% Notes due 2026. The proceeds from the New Notes were used, together with the proceeds from the issuance of WMIH’s common stock and WMIH’s cash and restricted cash on hand, to consummate the Merger with Nationstar and the refinancing of certain Nationstar’s existing debt and to pay related fees and expenses. At the consummation of the acquisition, Merger Sub merged with and into Nationstar with Nationstar assuming the obligations under the New Notes.

⁽²⁾ In June 2018, the Predecessor entered into a supplemental indenture to, among other things, modify the definition of “Change of Control” to provide that the Merger will not constitute a change of control which would otherwise trigger redemption obligations.

⁽³⁾ The note of the Predecessor was paid off in August 2018.

⁽⁴⁾The notes of the Predecessor were redeemed in August 2018.

Schedule of Maturities of Long-term Debt

As of September 30, 2018, the expected maturities of the Company's unsecured senior notes based on contractual maturities are as follows.



Year Ending December 31,	Amount
2018	$	—
2019	—
2020	—
2021	592
2022	206
Thereafter	1,700
Total	$	2,498

Schedule of Other Nonrecourse Debt

Other nonrecourse debt consists of the following.



						Successor		Predecessor
						September 30, 2018		December 31, 2017
	Issue Date	Maturity Date	Class of Note	Securitized Amount		Outstanding		Outstanding
Participating interest financing⁽¹⁾	—	—	—	$	—	$	6,021	$	7,111
Securitization of nonperforming HECM loans
Trust 2016-2	June 2016	June 2026	A, M1, M2	—		—		94
Trust 2016-3	August 2016	August 2026	A, M1, M2	—		—		138
Trust 2017-1	May 2017	May 2027	A, M1, M2	193		151		213
Trust 2017-2	September 2017	September 2027	A, M1, M2	308		258		365
Trust 2018-1	March 2018	March 2028	A, M1, M2, M3, M4, M5	348		329		—
Trust 2018-2	August 2018	August 2028	A, M1, M2, M3, M4, M5	298		292		—
Nonrecourse debt - legacy assets	November 2009	October 2039	A	112		32		42
Other nonrecourse debt principal amount						7,083		7,963
Unamortized debt issuance costs, net of premium, and issuance discount⁽²⁾						82		51
Other nonrecourse debt, net						$	7,165	$	8,014

⁽¹⁾Amounts represent the Company's participating interest in GNMA HMBS securitized portfolios.

⁽²⁾ The Predecessor amount includes a premium of $62 as of December 31, 2017.