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Derivative Financial Instruments
 9 Months Ended
Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments
9. Derivative Financial Instruments

Derivative instruments are used as part of the overall strategy to manage exposure to market risks primarily associated with fluctuations in interest rates related to originations. Derivative instruments utilized by the Company primarily include interest rate lock commitments (“IRLCs”), loan purchase commitments (“LPCs”), forward Mortgage Backed Securities (“MBS”) purchase commitments, Eurodollar and Treasury futures and interest rate swap agreements.

Associated with the Company’s derivatives are $0.4 and $12 in collateral deposits on derivative instruments recorded in other assets on the Company’s consolidated balance sheets as of September 30, 2019 and December 31, 2018, respectively. The Company does not offset fair value amounts recognized for derivative instruments with amounts collected or deposited on derivative instruments in the consolidated balance sheets.

The following table provides the outstanding notional balances, fair values of outstanding positions and recorded gains/(losses).
 
 
 
Successor
 
 
 
September 30, 2019
 
Nine Months Ended September 30, 2019
 
Expiration
Dates
 
Outstanding
Notional
 
Fair
Value
 
Recorded Gains/(Losses)
Assets
 
 
 
 
 
 
 
Mortgage loans held for sale
 
 
 
 
 
 
 
Loan sale commitments
2019
 
$
1,508

 
$
35.3

 
$
9.4

Derivative financial instruments
 
 
 
 
 
 
 
IRLCs
2019
 
4,964

 
143.9

 
84.1

Forward MBS trades
2019
 
3,054

 
7.7

 
5.9

LPCs
2019
 
1,397

 
18.2

 
16.5

Eurodollar futures(1)
2020-2021
 
6

 
—

 
—

Liabilities
 
 
 
 
 
 
 
Derivative financial instruments
 
 
 
 
 
 
 
IRLCs(1)
2019
 
15

 
—

 
—

Forward MBS trades
2019
 
5,667

 
15.9

 
(8.0
)
LPCs
2019
 
547

 
3.1

 
2.7

Eurodollar futures(1)
2019-2021
 
8

 
—

 
—



 
 
 
Successor
 
Predecessor
 
 
 
September 30, 2018
 
Two Months Ended September 30, 2018
 
Seven Months Ended July 31, 2018
 
Expiration
Dates
 
Outstanding
Notional
 
Fair
Value
 
Recorded Gains/(Losses)
Assets
 
 
 
 
 
 
 
 
 
Mortgage loans held for sale
 
 
 
 
 
 
 
 
 
Loan sale commitments
2018
 
$
428

 
$
6.9

 
$
(3.7
)
 
$
10.5

Derivative financial instruments
 
 
 
 
 
 
 
 
 
IRLCs
2018
 
1,765

 
57.8

 
(1.8
)
 
0.4

Forward MBS trades
2018
 
3,040

 
12.2

 
9.0

 
0.9

LPCs
2018
 
228

 
1.7

 
0.5

 
0.3

Treasury futures
2018
 
65

 
—

 
—

 
(1.8
)
Eurodollar futures(1)
2018-2021
 
20

 
—

 
—

 
—

Liabilities
 
 
 
 
 
 
 
 
 
Derivative financial instruments
 
 
 
 
 
 
 
 
 
IRLCs(1)
2018
 
3

 
—

 
—

 
—

Forward MBS trades
2018
 
413

 
0.5

 
(1.4
)
 
(1.0
)
LPCs
2018
 
320

 
1.5

 
0.9

 
0.1

Treasury futures(1)
2018
 
53

 
0.1

 
0.1

 
(1.3
)
Eurodollar futures(1)
2020-2021
 
6

 
—

 
—

 
—


(1) 
Fair values or recorded gains/(losses) of derivative instruments are less than $0.1 for the specified dates.