Document_And_Entity_Informatio
Document And Entity Information | 3 Months Ended | |
Mar. 31, 2015 | 7-May-15 | |
Document Information [Line Items] | ||
Entity Registrant Name | MMA CAPITAL MANAGEMENT, LLC | |
Entity Central Index Key | 1003201 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Smaller Reporting Company | |
Trading Symbol | MMAC | |
Entity Common Stock, Shares Outstanding | 6,892,414 | |
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2015 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
ASSETS | ||
Cash and cash equivalents | $30,283 | $29,619 |
Restricted cash (includes $23,876 and $24,186 related to CFVs) | 53,093 | 50,189 |
Bonds available-for-sale (includes $168,274 and $144,611 pledged as collateral and/or restricted) | 220,129 | 222,899 |
Real estate held-for-use, net | 2,619 | 18,417 |
Real estate held-for-sale, net | 25,954 | 10,145 |
Investment in preferred stock (includes $25,000 and $31,371 pledged as collateral) | 31,371 | 31,371 |
Other assets (includes $126 and $161 pledged as collateral and $10,577 and $11,128 related to CFVs) | 74,705 | 74,902 |
Total assets | 657,161 | 668,746 |
LIABILITIES AND EQUITY | ||
Debt (includes $6,712 and $6,712 related to CFVs) | 293,308 | 290,543 |
Accounts payable and accrued expenses | 3,416 | 5,538 |
Other liabilities (includes $32,747 and $31,831 related to CFVs) | 42,927 | 41,870 |
Total liabilities | 349,248 | 347,548 |
Commitments and contingencies | ||
Equity | ||
Noncontrolling interests in CFVs and IHS (net of $575 and $575 of subscriptions receivable) | 215,410 | 229,714 |
Common shareholders’ equity: | ||
Common shares, no par value (7,117,518 and 7,162,221 shares issued and outstanding and 66,784 and 66,106 non-employee directors’ and employee deferred shares issued at March 31, 2015 and December 31, 2014, respectively) | 34,125 | 35,032 |
Accumulated other comprehensive income (“AOCIâ€) | 58,378 | 56,452 |
Total common shareholders’ equity | 92,503 | 91,484 |
Total equity | 307,913 | 321,198 |
Total liabilities and equity | 657,161 | 668,746 |
Consolidated Funds and Ventures [Member] | ||
ASSETS | ||
Restricted cash (includes $23,876 and $24,186 related to CFVs) | 23,876 | 24,186 |
Investments in Lower Tier Property Partnerships related to CFVs | 219,007 | 231,204 |
Other assets (includes $126 and $161 pledged as collateral and $10,577 and $11,128 related to CFVs) | 10,577 | 11,128 |
LIABILITIES AND EQUITY | ||
Debt (includes $6,712 and $6,712 related to CFVs) | 6,712 | 6,712 |
Unfunded equity commitments to Lower Tier Property Partnerships related to CFVs | 9,597 | 9,597 |
Other liabilities (includes $32,747 and $31,831 related to CFVs) | $32,747 | $31,831 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, except Share data, unless otherwise specified | ||
Bonds available-for-sale, pledged as collateral | $168,274 | $144,611 |
Investment in preferred stock pledged as collateral | 25,000 | 31,371 |
Other assets, pledged as collateral | 126 | 161 |
Noncontrolling interests in consolidated funds and ventures, subscriptions receivable | $575 | $575 |
Common shares, shares issued (in shares) | 7,117,518 | 7,162,221 |
Common shares, shares outstanding (in shares) | 7,117,518 | 7,162,221 |
Common shares, non-employee directors' and employee deferred shares (in shares) | 66,784 | 66,106 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Interest income | ||||
Interest income | $4,073 | $5,305 | ||
Interest expense | ||||
Interest expense | 474 | [1] | 1,203 | [1] |
Net interest income | 3,599 | [1] | 4,102 | [1] |
Non-interest revenue | ||||
Income on preferred stock investment | 1,297 | 1,297 | ||
Other income | 2,144 | 853 | ||
Total non-interest revenue | 3,508 | 7,200 | ||
Total revenues, net of interest expense | 7,107 | 11,302 | ||
Operating and other expenses | ||||
Interest expense | 3,196 | [2] | 3,573 | [2] |
Salaries and benefits | 3,272 | 3,329 | ||
General and administrative | 863 | 963 | ||
Professional fees | 1,144 | 1,382 | ||
Other expenses | 107 | 801 | ||
Total operating and other expenses | 17,898 | 21,697 | ||
Net gains (losses) on assets and derivatives | 1,568 | -365 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 0 | 2,003 | ||
Net gains related to CFVs | 0 | 4,813 | ||
Equity in losses from Lower Tier Property Partnerships of CFVs | -5,620 | [3] | -7,539 | [3] |
Net loss from continuing operations before income taxes | -14,843 | -11,486 | ||
Income tax benefit | 146 | 554 | ||
Net income from discontinued operations, net of tax | 72 | 14,479 | ||
Net (loss) income | -14,625 | 3,547 | ||
Loss allocable to noncontrolling interests: | ||||
Loss allocable to noncontrolling interests: | -14,304 | -10,059 | ||
Net (loss) income to common shareholders | -321 | 13,606 | ||
Basic (loss) income per common share: | ||||
Loss from continuing operations (in dollars per share) | ($0.05) | ($0.13) | ||
Income from discontinued operations (in dollars per share) | $0.01 | $1.82 | ||
(Loss) income per common share (in dollars per share) | ($0.04) | $1.69 | ||
Diluted (loss) income per common share: | ||||
Loss from continuing operations (in dollars per share) | ($0.05) | ($0.13) | ||
Income from discontinued operations (in dollars per share) | $0.01 | $1.82 | ||
(Loss) income per common share (in dollars per share) | ($0.04) | $1.69 | ||
Weighted-average common shares outstanding: | ||||
Basic (in shares) | 7,213 | [4] | 8,041 | [4] |
Diluted (in shares) | 7,213 | 8,041 | ||
Bonds [Member] | ||||
Interest income | ||||
Interest income | 3,332 | 5,160 | ||
Interest expense | ||||
Interest expense | 326 | [1] | 1,005 | [1] |
Loans [Member] | ||||
Interest income | ||||
Interest income | 741 | 145 | ||
Non Bond [Member] | ||||
Interest expense | ||||
Interest expense | 148 | [1] | 198 | [1] |
Consolidated Funds and Ventures [Member] | ||||
Non-interest revenue | ||||
Revenue from CFVs | 67 | 5,050 | ||
Operating and other expenses | ||||
Expenses from CFVs | 9,316 | 11,649 | ||
Net gains related to CFVs | 0 | 4,809 | ||
Equity in losses from Lower Tier Property Partnerships of CFVs | -5,693 | -7,428 | ||
Consolidated Funds and Ventures [Member] | Continuing Operations [Member] | ||||
Loss allocable to noncontrolling interests: | ||||
Loss allocable to noncontrolling interests: | 14,304 | 9,909 | ||
Consolidated Funds and Ventures [Member] | Discontinued Operations [Member] | ||||
Loss allocable to noncontrolling interests: | ||||
Loss allocable to noncontrolling interests: | 0 | 150 | ||
Unconsolidated Funds and Ventures [Member] | ||||
Operating and other expenses | ||||
Equity in losses from Lower Tier Property Partnerships of CFVs | $73 | ($110) | ||
[1] | Represents interest expense related to debt which finances interest-bearing assets. See Note 6, “Debt.†| |||
[2] | Represents interest expense related to debt which does not finance interest-bearing assets. See Note 6, “Debt.†| |||
[3] | Majority of the activity was related to CFVs. | |||
[4] | Includes common shares issued and outstanding, as well as non-employee directors’ and employee-deferred shares that have vested, but are not issued and outstanding. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net (loss) income to common shareholders | ($321) | $13,606 |
Net loss allocable to noncontrolling interests | -14,304 | -10,059 |
Net (loss) income | -14,625 | 3,547 |
Bond related changes: | ||
Unrealized net gains | 2,740 | 4,906 |
Reversal of net unrealized gains on sold bonds | -471 | 0 |
Reversal of unrealized gains from AOCI to Net Income due to foreclosure | 0 | -2,003 |
Net change in other comprehensive income due to bonds | 2,269 | 2,903 |
Income tax expense | -211 | -129 |
Foreign currency translation adjustment | -132 | 2 |
Other comprehensive income allocable to common shareholders | 1,926 | 2,776 |
Other comprehensive loss allocable to noncontrolling interests: | ||
Foreign currency translation adjustment | 0 | -988 |
Comprehensive income to common shareholders | 1,605 | 16,382 |
Comprehensive loss to noncontrolling interests | -14,304 | -11,047 |
Comprehensive (loss) income | ($12,699) | $5,335 |
CONSOLIDATED_STATEMENTS_OF_EQU
CONSOLIDATED STATEMENTS OF EQUITY (USD $) | Total | Common Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Parent [Member] | Noncontrolling Interest [Member] |
In Thousands | |||||
Balance at Dec. 31, 2014 | $321,198 | $35,032 | $56,452 | $91,484 | $229,714 |
Balance (in shares) at Dec. 31, 2014 | 7,228 | ||||
Net loss | -14,625 | -321 | 0 | -321 | -14,304 |
Other comprehensive income | 1,926 | 0 | 1,926 | 1,926 | 0 |
Purchases of shares in a subsidiary (including price adjustments on prior purchases) | -159 | -159 | 0 | -159 | 0 |
Common shares (restricted and deferred) issued under employee and non-employee director share plans | 141 | 141 | 0 | 141 | 0 |
Common shares (restricted and deferred) issued under employee and non-employee director share plans (in shares) | 14 | ||||
Common share repurchases | -568 | -568 | 0 | -568 | 0 |
Common share repurchases (in shares) | -58 | ||||
Balance at Mar. 31, 2015 | $307,913 | $34,125 | $58,378 | $92,503 | $215,410 |
Balance (in shares) at Mar. 31, 2015 | 7,184 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net (loss) income | ($14,625) | $3,547 | ||
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||||
Provisions for credit losses and impairment | 7,536 | [1] | 5,164 | [1] |
Net equity in losses from equity investments in partnerships | 5,620 | [1] | 7,539 | [1] |
Net losses (gains) on assets and derivatives | -635 | 9 | ||
Net gains on real estate | -3 | -15,037 | ||
Net gains related to CFVs | 0 | -4,813 | ||
Net gains due to initial real estate consolidation and foreclosure | 0 | -2,003 | ||
Subordinate debt effective yield amortization and interest accruals | 1,868 | 1,743 | ||
Depreciation and other amortization | 585 | [1] | 2,465 | [1] |
Foreign currency loss | 75 | 439 | ||
Stock-based compensation expense | 336 | 979 | ||
Other | -2,402 | -3,161 | ||
Net cash used in operating activities | -1,645 | -3,129 | ||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
Principal payments and sales proceeds received on bonds and loans held for investment | 1,369 | 774 | ||
Advances on and originations of loans held for investment | -105 | 0 | ||
Investments in property partnerships and real estate | -436 | [1] | -4,856 | [1] |
Proceeds from the sale of real estate and other investments | 3 | 37,705 | ||
(Increase) decrease in restricted cash and cash of CFVs | -2,682 | 673 | ||
Capital distributions received from investments in partnerships of CFVs | 54 | 4,199 | ||
Net cash (used in)/provided by investing activities | -1,797 | 38,495 | ||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Proceeds from borrowing activity | 17,475 | 0 | ||
Repayment of borrowings | -12,714 | -3,740 | ||
Payment of debt issuance costs | -87 | 0 | ||
Distributions paid to holders of noncontrolling interests | 0 | -22 | ||
Purchase of treasury stock | -568 | -809 | ||
Net cash provided by/(used in) by financing activities | 4,106 | -4,571 | ||
Net increase in cash and cash equivalents | 664 | 30,795 | ||
Cash and cash equivalents at beginning of period | 29,619 | 66,794 | ||
Cash and cash equivalents at end of period | 30,283 | 97,589 | ||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||||
Interest paid | 1,933 | 3,923 | ||
Income taxes paid | 75 | 165 | ||
Non-cash investing and financing activities: | ||||
Unrealized losses included in other comprehensive income | 1,926 | 2,903 | ||
Debt and liabilities extinguished through sales and collections on bonds and loans | 3,421 | 2,804 | ||
Increase in real estate assets and decrease in bond assets due to foreclosure or initial consolidation of funds and ventures | 0 | 11,058 | ||
Decrease in common equity and increase in liabilities due to adjusted purchase price of noncontrolling interest | $159 | $0 | ||
[1] | Majority of the activity was related to CFVs. |
DESCRIPTION_OF_THE_BUSINESS_AN
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | Note 1—description of the business and BASIS OF PRESENTATION |
MMA Capital Management, LLC, the registrant, was organized in 1996 as a Delaware limited liability company. When used in this Quarterly Report on Form 10-Q for the period ended March 31, 2015 (the “Report”), the “Company,” “MMA,” “we,” “our,” or “us” may refer to the registrant, the registrant and its subsidiaries, or one or more of the registrant’s subsidiaries depending on the context of the disclosure. | |
Description of the Business | |
The Company uses its experience and expertise to partner with institutional capital to create attractive and impactful alternative investment opportunities, to manage them well and to report on them effectively. Beginning in 2015, the Company operates through three reportable segments – United States (“U.S.”) Operations, International Operations and Corporate Operations. | |
U.S. Operations | |
Our U.S. Operations consists of three business lines: Leveraged Bonds, Low-Income Housing Tax Credits (“LIHTCs”) and Other Investments and Obligations. | |
The Leveraged Bonds business line finances affordable housing and infrastructure in the U.S. This business line manages the vast majority of the Company’s bonds and bond related investments (“bonds”) and associated financings. The bond portfolio is comprised primarily of multifamily tax-exempt bonds, but also includes community development district (“CDD”) bonds and other real estate related bond investments. | |
Our LIHTC business consists primarily of secured loan receivables from Morrison Grove Management, LLC (“MGM”) and an option to purchase MGM beginning in 2019. | |
The Other Investments and Obligations business line includes legacy assets and serves as our research and development unit for new business opportunities in the U.S., which has resulted in the creation of a renewable energy capital business that operates as MMA Energy Capital, LLC. | |
International Operations | |
We manage our International Operations through International Housing Solutions S.à r.l. (“IHS”). IHS’s strategy is to raise, invest in, and manage private real estate funds. IHS currently manages three funds: the South Africa Workforce Housing Fund (“SAWHF”), which is a multi-investor fund and is fully invested; IHS Residential Partners I, which is a single-investor fund targeted at the emerging middle class in South Africa; and IHS Fund II, which is a multi-investor fund targeting investments in affordable housing including green housing projects within South Africa and Sub-Saharan Africa. At March 31, 2015, the Company had a 96% interest in IHS and on May 1, 2015, increased its ownership interest to 100%. | |
Corporate Operations | |
Our Corporate Operations segment is responsible for accounting, reporting, compliance and planning which are fundamental to our success as a global fund manager and publicly traded company in the U.S. | |
Use of Estimates | |
The preparation of the Company’s financial statements requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, commitments and contingencies, and revenues and expenses. Management has made significant estimates in certain areas, including the determination of fair values for bonds, derivative financial instruments, guarantee obligations, and certain assets and liabilities of consolidated funds and ventures (“CFVs”). Management has also made significant estimates in the determination of impairment on bonds and real estate investments. Actual results could differ materially from these estimates. | |
Basis of Presentation and Significant Accounting Policies | |
The consolidated financial statements include the accounts of the Company and of entities that are considered to be variable interest entities in which the Company is the primary beneficiary, as well as those entities in which the Company has a controlling financial interest, including wholly owned subsidiaries of the Company. All intercompany transactions and balances have been eliminated in consolidation. Equity investments in unconsolidated entities where the Company has the ability to exercise significant influence over the operations of the entity, but is not considered the primary beneficiary, are accounted for using the equity method of accounting. | |
Reclassification | |
The Company made reclassifications to other assets and debt on its previously issued 2014 consolidated balance sheet as a result of early adopting ASU No. 2015-03, “Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs,” on April 7, 2015, which changes the balance sheet presentation. Consequently, certain footnotes have been revised to reflect this change. | |
New Accounting Guidance | |
Accounting for Debt Issuance Costs | |
On April 7, 2015, the Company adopted ASU No. 2015-03, “Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” This guidance provides an amendment to the accounting guidance related to the presentation of debt issuance costs and is effective for fiscal years beginning after December 15, 2015 with early adoption allowed. This guidance is applied retrospectively to all prior periods. Under the new guidance, debt issuance costs are to be presented as a direct reduction from the related debt liability rather than as an asset. As a result of adopting this guidance, the Company reclassified $2.9 million of debt issuance costs at December 31, 2014, from “Other Assets” to “Debt” on the consolidated balance sheet. | |
BONDS_AVAILABLEFORSALE
BONDS AVAILABLE-FOR-SALE | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Available-For-Sale Securities [Abstract] | |||||||||||||||||
Available-for-sale Securities Disclosure [Text Block] | Note 2—BONDs available-for-sale | ||||||||||||||||
Bonds Available-for-Sale | |||||||||||||||||
The Company has two types of bonds in its portfolio, Mortgage revenue bonds and Other bonds. | |||||||||||||||||
Mortgage revenue bonds are issued by state and local governments or their agencies or authorities to finance multifamily rental housing; typically however, the only source of recourse on these bonds is the collateral, which is either a first mortgage or a subordinate mortgage on the underlying properties. The Company’s rights under the mortgage revenue bonds are defined by the contractual terms of the underlying mortgage loans, which are pledged to the bond issuer and assigned to a trustee for the benefit of bondholders to secure the payment of debt service (any combination of interest and/or principal as set forth in the trust indenture) on the bonds. | |||||||||||||||||
At March 31, 2015, the Company’s subordinate bonds had an aggregate unpaid principal balance (“UPB”) of $39.9 million ($29.9 million fair value). The payment of debt service on our subordinate bonds occurs only after payment of senior obligations that have priority to the cash flow of the underlying collateral. | |||||||||||||||||
Other bonds consists primarily of municipal bonds issued by community development districts or other municipal issuers to finance the development of community infrastructure supporting single-family housing and mixed-use and commercial developments such as storm water management systems, roads and utilities. In some cases these bonds are secured by specific payments or assessments pledged by the issuers or incremental tax revenue generated by the underlying properties. | |||||||||||||||||
The following table summarizes the Company’s bonds and related unrealized losses and unrealized gains at March 31, 2015 and December 31, 2014, respectively. | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
(in thousands) | UPB | Amortized | Gross | Gross | Fair | ||||||||||||
Cost (1) | Unrealized | Unrealized | Value | ||||||||||||||
Gains | Losses (2), (3) | ||||||||||||||||
Mortgage revenue bonds | $ | 191,203 | $ | 125,683 | $ | 43,328 | $ | -782 | $ | 168,229 | |||||||
Other bonds | 53,165 | 34,943 | 16,957 | – | 51,900 | ||||||||||||
Total | $ | 244,368 | $ | 160,626 | $ | 60,285 | $ | -782 | $ | 220,129 | |||||||
December 31, 2014 | |||||||||||||||||
(in thousands) | UPB | Amortized | Gross | Gross | Fair | ||||||||||||
Cost (1) | Unrealized | Unrealized | Value | ||||||||||||||
Gains | Losses (4), (5) | ||||||||||||||||
Mortgage revenue bonds | $ | 192,068 | $ | 126,897 | $ | 41,145 | $ | -858 | $ | 167,184 | |||||||
Other bonds | 57,056 | 38,768 | 16,947 | – | 55,715 | ||||||||||||
Total | $ | 249,124 | $ | 165,665 | $ | 58,092 | $ | -858 | $ | 222,899 | |||||||
-1 | Represents the UPB, net of discounts, deferred costs and fees as well as impairments recognized in earnings. | ||||||||||||||||
-2 | At March 31, 2015, $0.6 million represents the non-credit loss component for certain unrealized losses deemed to be other-than-temporarily impaired and $0.2 million represents unrealized losses that were not considered other-than-temporarily impaired. | ||||||||||||||||
-3 | Represents bonds in a gross unrealized loss position for less than 12 consecutive months that had a fair value of $1.8 million at March 31, 2015, as well as bonds in a gross unrealized loss position for more than 12 consecutive months that had a fair value of $6.1 million at March 31, 2015. | ||||||||||||||||
-4 | At December 31, 2014, $0.6 million represents the non-credit loss component for certain unrealized losses deemed to be other-than-temporarily impaired and $0.3 million represents unrealized losses that were not considered other-than-temporarily impaired. | ||||||||||||||||
-5 | Represents bonds in a gross unrealized loss position for less than 12 consecutive months that had a fair value of $1.8 million at December 31, 2014, as well as bonds in a gross unrealized loss position for more than 12 consecutive months that had a fair value of $6.0 million at December 31, 2014. | ||||||||||||||||
See Note 9, “Fair Value Measurements” which describes the factors contributing to the $2.8 million decrease in the Company’s reported bond fair value. | |||||||||||||||||
Maturity | |||||||||||||||||
Principal payments on bonds are based on amortization tables set forth in the bond documents. If no principal amortization is required during the bond term, the outstanding principal balance is required to be paid in a lump sum payment at maturity or at such earlier time as may be provided under the bond documents. At March 31, 2015, seven bonds (amortized cost of $16.5 million and fair value of $24.4 million) were non-amortizing with principal due in full between February 2030 and August 2048. The remaining bonds are amortizing with stated maturity dates between September 2017 and June 2056. | |||||||||||||||||
Bonds with Lockouts, Prepayment Premiums or Penalties | |||||||||||||||||
Substantially all of the Company’s bonds include provisions that allow the borrowers to prepay the bonds at a premium or at par after a specified date that is prior to the stated maturity date. The following table provides the amount of bonds that were prepayable without restriction, premium or penalty at March 31, 2015, as well as the year in which the remaining portfolio becomes prepayable without restriction, premium or penalty at each period presented. | |||||||||||||||||
(in thousands) | Amortized Cost | Fair Value | |||||||||||||||
31-Mar-15 | $ | 24,789 | $ | 41,058 | |||||||||||||
April 1 through December 31, 2015 | – | – | |||||||||||||||
2016 | 10,154 | 13,548 | |||||||||||||||
2017 | – | – | |||||||||||||||
2018 | 7,335 | 8,384 | |||||||||||||||
2019 | – | – | |||||||||||||||
Thereafter | 118,050 | 156,832 | |||||||||||||||
Bonds that may not be prepaid | 298 | 307 | |||||||||||||||
Total | $ | 160,626 | $ | 220,129 | |||||||||||||
Non-Accrual Bonds | |||||||||||||||||
The carrying value of bonds on non-accrual was $43.8 million and $43.6 million at March 31, 2015 and December 31, 2014, respectively. During the period in which these bonds were on non-accrual, the Company recognized interest income on a cash basis of $0.5 million and $3.0 million for the three months ended March 31, 2015 and 2014, respectively. Interest income not recognized during the period in which these bonds were on non-accrual was $1.1 million and $1.4 million for the three months ended March 31, 2015 and 2014, respectively. | |||||||||||||||||
Bond Aging Analysis | |||||||||||||||||
The following table provides the fair value of bonds available-for-sale that were current with respect to principal and interest payments, as well as those that were past due with respect to either principal or interest payments at March 31, 2015 and December 31, 2014. | |||||||||||||||||
(in thousands) | March 31, | December 31, | |||||||||||||||
2015 | 2014 | ||||||||||||||||
Total current | $ | 176,361 | $ | 179,315 | |||||||||||||
30-59 days past due | – | – | |||||||||||||||
60-89 days past due | – | – | |||||||||||||||
90 days or greater | 43,768 | 43,584 | |||||||||||||||
Total | $ | 220,129 | $ | 222,899 | |||||||||||||
Bond Sales and Redemptions | |||||||||||||||||
The Company recorded cash proceeds of $0.6 million on the sale of a bond participation for the three months ended March 31, 2015. There were no sales or redemptions of bonds for the three months ended March 31, 2014. | |||||||||||||||||
Provided in the table below are realized gains recognized on bonds at the time of sale or redemption reported through “Net gains (losses) on assets and derivatives.” | |||||||||||||||||
For the three months ended | |||||||||||||||||
March 31, | |||||||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||||||
Gains recognized at time of sale | $ | 583 | $ | – | |||||||||||||
INVESTMENTS_IN_PREFERRED_STOCK
INVESTMENTS IN PREFERRED STOCK | 3 Months Ended |
Mar. 31, 2015 | |
Equity [Abstract] | |
Preferred Stock [Text Block] | Note 3—INVESTMENTS IN PREFERRED STOCK |
These investments are prepayable at any time and are comprised of preferred stock investments in a private national mortgage lender and servicer specializing in affordable and market rate multifamily housing, senior housing and healthcare. At March 31, 2015, the carrying value of the preferred stock investments was $31.4 million and the UPB and estimated fair value was $36.6 million with a weighted average pay rate of 14.4%. The Company accounts for the preferred stock using the historical cost approach and tests for impairment at each balance sheet date. An impairment loss is recognized if the carrying amount of the preferred stock is not deemed recoverable. The Company did not have impairments on the preferred stock for the three months ended March 31, 2015 and 2014. | |
As of March 31, 2015, $25.0 million (principal) of the preferred stock investment was the referenced asset for two total return swap (“TRS”) agreements with a maturity date of March 31, 2016. See Note 6, “Debt” for more information. | |
REAL_ESTATE
REAL ESTATE | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Real Estate [Abstract] | ||||||||
Real Estate Disclosure [Text Block] | Note 4—REAL ESTATE | |||||||
The following table summarizes the Company’s real estate at March 31, 2015 and December 31, 2014. | ||||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Real estate held-for-use | $ | 2,619 | $ | 18,417 | ||||
Real estate held-for-sale | 25,954 | 10,145 | ||||||
During the first quarter of 2015, the Company transferred an affordable multifamily property with a carrying basis of $12.2 million as of December 31, 2014 from real estate held-for-use to real estate held-for-sale. This property was sold during the second quarter of 2015 for $12.3 million in net proceeds, resulting in a gain on sale of $0.5 million that will be recognized within continuing operations during the second quarter of 2015. During the first quarter of 2015, the Company also transferred an investment in undeveloped land with a carrying basis of $3.6 million from real estate held-for-investment to real estate held-for-sale. | ||||||||
OTHER_ASSETS
OTHER ASSETS | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Other Assets [Abstract] | ||||||||
Other Assets Disclosure [Text Block] | Note 5—OTHER ASSETS | |||||||
The following table summarizes other assets at March 31, 2015 and December 31, 2014: | ||||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Other assets: | ||||||||
Investments in real estate partnerships | $ | 22,554 | $ | 22,529 | ||||
Investments in IHS-managed funds and ventures | 5,352 | 5,689 | ||||||
Loan receivable held-for-investment | 22,415 | 22,392 | ||||||
Solar facilities (includes other assets such as cash and other receivables) | 3,086 | 3,093 | ||||||
Derivative assets | 3,384 | 2,726 | ||||||
Accrued interest and dividends receivable | 2,421 | 2,672 | ||||||
Asset management fees receivable | 2,909 | 2,454 | ||||||
Other assets | 2,007 | 2,219 | ||||||
Other assets held by CFVs (1) | 10,577 | 11,128 | ||||||
Total other assets | $ | 74,705 | $ | 74,902 | ||||
-1 | For more information see Note 15, “Consolidated Funds and Ventures.” | |||||||
Investments in Real Estate Partnerships | ||||||||
At March 31, 2015, $16.2 million of the reported balance represents the Company’s interest in a real estate venture that was formed during the fourth quarter of 2014. The Company accounts for this investment as an equity investment and does not consolidate the real estate venture because it is not deemed to be the primary beneficiary. The Company made an initial contribution of $8.8 million (representing 80% of the real estate venture’s initial capital). The Company has rights to a preferred return on its capital contribution, as well as rights to share in excess cash flows of the real estate venture. | ||||||||
At March 31, 2015, the majority of the remaining balance ($6.4 million) represents a 33% interest in a partnership that was formed to take a deed-in-lieu of foreclosure on land that was collateral for a loan held by the Company. The Company accounts for its interest as an equity investment and does not consolidate the partnership because the Company is not deemed to be the primary beneficiary. | ||||||||
The following table displays the total assets and liabilities held by the real estate partnerships in which the Company held an equity investment at March 31, 2015 and December 31, 2014: | ||||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Investment in real estate partnerships: | ||||||||
Total assets (primarily real estate) | $ | 83,326 | $ | 83,021 | ||||
Total liabilities | 35,469 | 34,856 | ||||||
The following table displays the net loss for the three months ended March 31, 2015 and 2014, for the real estate partnerships: | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
(in thousands) | 2015 | 2014 | ||||||
Net loss | $ | -302 | $ | -186 | ||||
Investments in IHS-managed Funds and Ventures | ||||||||
At March 31, 2015, the Company held equity co-investments ranging from 2% to 5% in three IHS-managed funds and ventures (SAWHF, IHS Residential Partners I and IHS Fund II). IHS provides asset management services to each of these investment vehicles in return for asset management fees. For each investment vehicle, IHS also has rights to investment returns on its equity co-investment as well as carried interest which is contingent upon the residual values of the assets held by each investment vehicle. | ||||||||
The Company accounts for its interest in SAWHF, IHS Residential Partners I and IHS Fund II as equity investments because the Company is not deemed to be the primary beneficiary. At March 31, 2015, the carrying basis of the Company’s investment in SAWHF and IHS Residential Partners I was $3.6 and $1.8 million, respectively. At March 31, 2015, the Company had no equity investment basis in IHS Fund II because no capital had been called. | ||||||||
The following table displays the total assets and liabilities held by the three IHS-managed funds and ventures in which the Company held an equity investment at March 31, 2015 and December 31, 2014, respectively: | ||||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Total assets | $ | 277,708 | $ | 276,007 | ||||
Total liabilities | 111,082 | 104,863 | ||||||
The following table displays the net income for the three months ended March 31, 2015 for the three IHS-managed funds and ventures. The net income for the three months ended March 31, 2014 was related only to IHS Residential Partners I because at that time the Company consolidated SAWHF and thus its equity investment in SAWHF was eliminated in consolidation. | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
(in thousands) | 2015 | 2014 | ||||||
Net income | $ | 1,747 | $ | 100 | ||||
Loans Held for Investment | ||||||||
The following table summarizes loans held for investment at March 31, 2015 and December 31, 2014: | ||||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Cost basis | $ | 40,186 | $ | 40,163 | ||||
Allowance for loan losses | -17,771 | -17,771 | ||||||
Loans held for investment, net | $ | 22,415 | $ | 22,392 | ||||
At March 31, 2015 and December 31, 2014, loans held for investment had an UPB of $40.8 million and $40.9 million, respectively, as well as deferred fees and other basis adjustments of $0.6 million and $0.7 million, respectively. At March 31, 2015 and December 31, 2014, loans that were specifically impaired had an UPB of $18.4 and were not accruing interest. | ||||||||
At March 31, 2015 and December 31, 2014 there were no loans still accruing interest that were 90 days or more past due in either principal or interest. | ||||||||
At March 31, 2015, the Company’s two loans to MGM consisted of a $17.3 million (legal principal balance) bridge loan (“Bridge Loan”) and a $13.2 million (legal principal balance) term loan (“Term Loan”). | ||||||||
At March 31, 2015, the Bridge Loan and the Term Loan had a reported basis of $14.4 million and $0.2 million, respectively. These loans resulted in the recognition of $0.5 million of interest income during the three months ended March 31, 2015. At March 31, 2015, the Company had off-balance sheet loans receivable related to the seller financing it provided to MGM of $15.9 million. Interest collected during the three months ended March 31, 2015 on the seller financing was $0.3 million and was recorded as a deferred gain through “Other liabilities.” | ||||||||
The Bridge Loan, designated as held for investment, has an interest rate of 10% and amortizes based on MGM’s excess cash flow. The Bridge Loan matured on December 31, 2014, but was extended to March 31, 2015 for a 1% ($0.2 million) extension fee that was recognized as income during the first quarter of 2015 and was capitalized into the balance of the Term Loan. Currently, the Bridge Loan remains outstanding. The Company is actively engaged in discussions with MGM and based on those discussions expects the Bridge Loan to be repaid in the near future. | ||||||||
The Term Loan, designated held for sale, is non-amortizing, has a maturity date of September 30, 2024 and has an annual interest rate of 12%, of which 8% is to be paid quarterly and 4% is payable at the loan’s maturity. | ||||||||
Unfunded Loan Commitments | ||||||||
Unfunded loan commitments are agreements to fund construction or renovation of properties securing certain loans. There were no unfunded loan commitments at March 31, 2015 and December 31, 2014. | ||||||||
Solar Facilities | ||||||||
At March 31, 2015, the Company owned five solar facilities that were designated as held for investment. These facilities generate energy that is sold under long-term power contracts to the owner or lessee of the properties on which the projects are built. The useful life of these solar facilities is generally 20 years. | ||||||||
DEBT
DEBT | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||
Debt Disclosure [Text Block] | Note 6—DEBT | ||||||||||||||||
As previously discussed in Note 1, “Description of the Business and Basis of Presentation,” we have revised the presentation for December 31, 2014 due to the Company’s early adoption of ASU No. 2015-03. | |||||||||||||||||
The table below summarizes outstanding debt balances and the associated weighted-average interest rate based on amounts due within one year or after one year at March 31, 2015 and December 31, 2014: | |||||||||||||||||
(dollars in thousands) | March 31, | Weighted-Average | December 31, | Weighted-Average | |||||||||||||
2015 | Effective Interest | 2014 | Effective Interest | ||||||||||||||
Rate at | Rate at | ||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||
Asset Related Debt (1) | |||||||||||||||||
Notes payable and other debt – bond related (2) | |||||||||||||||||
Due within one year | $ | 1,301 | 1.50% | $ | 776 | 1.40% | |||||||||||
Due after one year | 99,944 | 1.4 | 86,499 | 1.4 | |||||||||||||
Notes payable and other debt – non-bond related | |||||||||||||||||
Due within one year | 1,383 | 9.8 | 1,753 | 9.8 | |||||||||||||
Due after one year | 4,074 | 10 | 4,374 | 10 | |||||||||||||
Total asset related debt | $ | 106,702 | 1.8 | $ | 93,402 | 2 | |||||||||||
Other Debt (1) | |||||||||||||||||
Subordinate debentures (3) | |||||||||||||||||
Due within one year | $ | 16,032 | 7 | $ | 14,088 | 7 | |||||||||||
Due after one year | 133,621 | 7.2 | 133,893 | 7.2 | |||||||||||||
Notes payable and other debt | |||||||||||||||||
Due within one year | 26,074 | 4.5 | 37,811 | 4.4 | |||||||||||||
Due after one year | 4,167 | 2.7 | 4,637 | 2.8 | |||||||||||||
Total other debt | $ | 179,894 | 6.7 | $ | 190,429 | 6.5 | |||||||||||
Total asset related debt and other debt | $ | 286,596 | 4.9 | $ | 283,831 | 5 | |||||||||||
Debt related to CFVs (4) | |||||||||||||||||
Due within one year | $ | 6,712 | 5.3 | $ | 6,712 | 5.3 | |||||||||||
Due after one year | – | – | – | – | |||||||||||||
Total debt related to CFVs | $ | 6,712 | 5.3 | $ | 6,712 | 5.3 | |||||||||||
Total debt | $ | 293,308 | 4.9 | $ | 290,543 | 5 | |||||||||||
-1 | Asset related debt is debt which finances interest-bearing assets and the interest expense from this debt is included in “Net interest income” on the consolidated statements of operations. Other debt is debt which does not finance interest-bearing assets and the interest expense from this debt is included in “Interest expense” under “Operating and other expenses” on the consolidated statements of operations. | ||||||||||||||||
-2 | Included in notes payable and other debt – bond related are unamortized debt issuance costs of $0.1 million and less than $0.1 million at March 31, 2015 and December 31, 2014, respectively. | ||||||||||||||||
-3 | The subordinate debt balances include a net adjustment of $9.2 million and $7.2 million at March 31, 2015 and December 31, 2014, respectively. These adjustments are comprised of net premiums due to effective interest adjustments of $12.0 million and $10.1 million at March 31, 2015 and December 31, 2014, respectively, offset by debt issuance costs of $2.8 million at March 31, 2015 and December 31, 2014. | ||||||||||||||||
-4 | This debt is related to one of the consolidated LIHTC Funds that was reinstated during the fourth quarter of 2014 because the related mortgage note receivable was assigned from MMA to a third party. | ||||||||||||||||
Covenant Compliance and Debt Maturities | |||||||||||||||||
The following table summarizes principal payment commitments across all debt agreements at March 31, 2015: | |||||||||||||||||
(in thousands) | Asset Related Debt | CFVs | Total Debt | ||||||||||||||
and Other Debt | Related Debt | ||||||||||||||||
2015 | $ | 18,879 | $ | 6,712 | $ | 25,591 | |||||||||||
2016 | 41,099 | – | 41,099 | ||||||||||||||
2017 | 14,438 | – | 14,438 | ||||||||||||||
2018 | 67,081 | – | 67,081 | ||||||||||||||
2019 | 11,509 | – | 11,509 | ||||||||||||||
Thereafter | 124,554 | – | 124,554 | ||||||||||||||
Net premium and debt issue costs | 9,036 | – | 9,036 | ||||||||||||||
Total | $ | 286,596 | $ | 6,712 | $ | 293,308 | |||||||||||
Included in the 2015 principal payments for asset related debt and other debt is $1.1 million of debt that has come due and remains payable; however, the Company has a forbearance agreement with the lender such that it is not pursuing any remedies. The forbearance agreement expires June 30, 2016. The Company is not in default under any of its other debt arrangements. | |||||||||||||||||
Included in the 2015 principal payments are $15.4 million of subordinate debt interim principal payments that the Company expects to pay just before or as part of a restructuring that remains in negotiations. See Subordinate Debt below for more information. | |||||||||||||||||
Asset Related Debt | |||||||||||||||||
Notes Payable and Other Debt – Bond Related | |||||||||||||||||
At March 31, 2015, this debt was comprised of TRS financing agreements on bonds available-for-sale. | |||||||||||||||||
During the first quarter of 2015, the Company entered into a TRS financing agreement with a notional amount of $17.5 million using an existing bond as the referenced asset. Under the terms of the TRS agreement, the counterparty is required to pay the Company an amount equal to the interest payments received on the underlying bonds (notional amount of $17.5 million with a pay rate of 6.75% at March 31, 2015) and the Company is required to pay the counterparty a rate of Securities Industry and Financial Markets Association (“SIFMA”) 7-day municipal swap index plus a spread. As of March 31, 2015, the spread was 150 basis points (“bps”) resulting in a pay rate of 152 bps. | |||||||||||||||||
Interest expense on notes payable and other debt – bond related totaled $0.3 million and $1.0 million for the three months ended March 31, 2015 and 2014, respectively. | |||||||||||||||||
Other Debt | |||||||||||||||||
Subordinate Debt | |||||||||||||||||
The table below provides a summary of the key terms of the subordinate debt issued by MMA Financial Inc. (“MFI”) and MMA Financial Holdings, Inc. (“MFH”) and held by third parties at March 31, 2015: | |||||||||||||||||
(dollars in thousands) | |||||||||||||||||
Issuer | Principal | Net Premium | Carrying | Interim | Maturity Date | Coupon Interest Rate | |||||||||||
and Debt | Value | Principal | |||||||||||||||
Issuance Costs | Payments | ||||||||||||||||
MFI | $ | 28,515 | $ | -171 | $ | 28,344 | Amortizing | December 2027 and December 2033 | 8.00% | ||||||||
MFH | 33,286 | 3,031 | 36,317 | $4,689 due March 2015 | 30-Mar-35 | 0.75% to March 2015, then 3-month LIBOR plus 3.3% | |||||||||||
MFH | 30,116 | 2,545 | 32,661 | $4,242 due May 2015 | 30-Apr-35 | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |||||||||||
MFH | 17,219 | 1,350 | 18,569 | $2,305 due May 2015 | 30-Jul-35 | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |||||||||||
MFH | 31,308 | 2,454 | 33,762 | $4,191 due May 2015 | 30-Jul-35 | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |||||||||||
$ | 140,444 | $ | 9,209 | $ | 149,653 | ||||||||||||
The Company continues to be actively engaged in discussions with the lenders to restructure MFH’s subordinate debt to include a reduction to the annual interest rate of 3-month London Interbank Offer Rate (“LIBOR”) plus 330 bps and to require on-going principal amortization. It is expected that the interim principal amortization payments for all of the MFH tranches as reflected in the table above will be paid just before or as part of the restructuring. | |||||||||||||||||
Interest expense on the subordinate debt totaled $2.7 million and $2.5 million for the three months ended March 31, 2015 and 2014, respectively. | |||||||||||||||||
Notes Payable and Other Debt | |||||||||||||||||
This debt is mainly comprised of TRS financing arrangements on the Company’s preferred stock investments. During the first quarter of 2015, the Company repaid $11.6 million of this debt and $25.0 million was extended and now matures on March 31, 2016. The debt is non-amortizing and bears an interest rate of 3-month LIBOR plus 400 bps (4.3% at March 31, 2015), which resets quarterly. | |||||||||||||||||
Letters of Credit | |||||||||||||||||
The Company had no letters of credit outstanding at March 31, 2015. | |||||||||||||||||
DERIVATIVE_FINANCIAL_INSTRUMEN
DERIVATIVE FINANCIAL INSTRUMENTS | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Note 7—DERIVATIVE FINANCIAL INSTRUMENTS | |||||||||||||
The following table summarizes the Company’s derivative assets and liabilities fair value balances at March 31, 2015 and December 31, 2014. | ||||||||||||||
Fair Value | ||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||
(in thousands) | Assets | Liabilities | Assets | Liabilities | ||||||||||
Total return swaps | $ | 3,276 | $ | 592 | $ | 2,539 | $ | 35 | ||||||
Interest rate cap | 108 | – | 187 | – | ||||||||||
Interest rate swap | – | 767 | – | 718 | ||||||||||
Total derivative financial instruments | $ | 3,384 | $ | 1,359 | $ | 2,726 | $ | 753 | ||||||
The following table summarizes the derivative notional amounts at March 31, 2015 and December 31, 2014. | ||||||||||||||
Notional | ||||||||||||||
(in thousands) | March 31, | December 31, | ||||||||||||
2015 | 2014 | |||||||||||||
Total return swaps | $ | 86,401 | $ | 90,184 | ||||||||||
Interest rate cap | 45,000 | 45,000 | ||||||||||||
Interest rate swap | 7,231 | 7,749 | ||||||||||||
Total derivative financial instruments | $ | 139,132 | $ | 142,933 | ||||||||||
The following table summarizes derivative activity for the three months ended March 31, 2015 and 2014. | ||||||||||||||
Realized/Unrealized Gains (Losses) for | ||||||||||||||
the three months ended March 31, | ||||||||||||||
(in thousands) | 2015 | 2014 | ||||||||||||
Total return swaps (1) | $ | 1,191 | $ | – | ||||||||||
Interest rate cap | -79 | -251 | ||||||||||||
Interest rate swap (2) | -127 | -105 | ||||||||||||
Total | $ | 985 | $ | -356 | ||||||||||
-1 | The cash paid and received on TRSs designated as derivatives is settled on a net basis and recorded through “Net gains (losses) on assets and derivatives.” Net cash received was $1.0 million for the three months ended March 31, 2015. | |||||||||||||
-2 | The cash paid and received on the interest rate swap is settled on a net basis and recorded through “Net gains (losses) on assets and derivatives.” Net cash paid was $0.1 million for the three months ended March 31, 2015 and 2014. | |||||||||||||
TRSs | ||||||||||||||
As of March 31, 2015, the Company had 10 bond related TRS agreements. Under the terms of the TRS agreements, the counterparty is required to pay the Company an amount equal to the interest payments received on the underlying bonds (notional amount of $85.1 million with a weighted average pay rate of 6.0% at March 31, 2015). The Company is required to pay the counterparty a rate of SIFMA 7-day municipal swap index plus a spread on the TRS (notional amount of $86.4 million with a weighted average pay rate of 1.4% at March 31, 2015). | ||||||||||||||
Interest rate cap | ||||||||||||||
At March 31, 2015 and December 31, 2014, the Company had one interest rate cap contract that terminates on January 2, 2019 to protect the Company against rising interest rates associated with certain TRS agreements. The notional amount on the interest rate cap was $45.0 million at March 31, 2015 and December 31, 2014 and protects us on $45.0 million of our floating rate debt in the event SIFMA 7-day municipal swap index rises to 250 bps or higher. | ||||||||||||||
Interest rate swap | ||||||||||||||
At March 31, 2015 and December 31, 2014, the Company had one interest rate swap contract. Under the terms of the agreement, the counterparty is required to pay the Company SIFMA 7-day municipal swap index plus 250 bps (pay rate of 252 bps at March 31, 2015) and the Company is required to pay the counterparty a fixed interest rate of 6.5%. | ||||||||||||||
FINANCIAL_INSTRUMENTS
FINANCIAL INSTRUMENTS | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Investments, All Other Investments [Abstract] | ||||||||||||||
Financial Instruments Disclosure [Text Block] | Note 8—Financial Instruments | |||||||||||||
The following table provides information about financial assets and liabilities not carried at fair value on the consolidated balance sheets. This table excludes non-financial assets and liabilities. | ||||||||||||||
The fair value estimates are made at a discrete point in time based on relevant market information and information about the financial instruments. A description of how the Company estimates fair values is provided below. These estimates are subjective in nature, involve uncertainties and significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. | ||||||||||||||
As required by generally accepted accounting principles (“GAAP”), assets and liabilities are classified into levels based on the lowest level of input that is significant to the fair value measurement. The determination of which level an asset or liability gets classified into is based on the following fair value hierarchy: | ||||||||||||||
· | Level 1: Quoted prices in active markets for identical instruments. | |||||||||||||
· | Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which significant inputs or significant value drivers are observable in active markets. | |||||||||||||
· | Level 3: Valuations derived from valuation techniques in which significant inputs or significant value drivers are unobservable. | |||||||||||||
March 31, 2015 | ||||||||||||||
Carrying | Fair Value | |||||||||||||
(in thousands) | Amount | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Investments in preferred stock | $ | 31,371 | $ | – | $ | – | $ | 36,613 | ||||||
Loans receivable | 22,587 | – | – | 21,779 | ||||||||||
Liabilities: | ||||||||||||||
Notes payable and other debt, bond related | 101,245 | – | – | 101,377 | ||||||||||
Notes payable and other debt, non-bond related | 35,698 | – | – | 31,572 | ||||||||||
Notes payable and other debt related to CFVs | 6,712 | – | – | – | ||||||||||
Subordinate debt issued by MFH | 121,309 | – | – | 45,035 | ||||||||||
Subordinate debt issued by MFI | 28,344 | – | – | 28,515 | ||||||||||
December 31, 2014 | ||||||||||||||
Carrying | Fair Value | |||||||||||||
(in thousands) | Amount | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Investments in preferred stock | $ | 31,371 | $ | – | $ | – | $ | 36,613 | ||||||
Loans receivable | 22,564 | – | – | 21,689 | ||||||||||
Liabilities: | ||||||||||||||
Notes payable and other debt, bond related | 87,275 | – | – | 87,325 | ||||||||||
Notes payable and other debt, non-bond related | 48,575 | – | – | 44,085 | ||||||||||
Notes payable and other debt related to CFVs | 6,712 | – | – | – | ||||||||||
Subordinate debt issued by MFH | 119,441 | – | – | 44,718 | ||||||||||
Subordinate debt issued by MFI | 28,540 | – | – | 28,714 | ||||||||||
Investment in preferred stock –The Company estimates fair value by using the terms and conditions of the preferred stock as compared to other, best available market benchmarks. | ||||||||||||||
Loans receivable –The Company estimates fair value by discounting the expected cash flows using current market yields for similar loans. Loans receivable are recorded through “Other assets.” | ||||||||||||||
Notes payable and other debt – The Company estimates fair value by discounting contractual cash flows using a market rate of interest or by estimating the fair value of the collateral supporting the debt arrangement, taking into account credit risk. | ||||||||||||||
Subordinate debt – The Company estimates the fair value of the subordinate debt issued by MFI by using best available market benchmarks, taking into account credit risk. The fair value of the subordinate debt issued by MFH was estimated using an internal valuation model, taking into consideration credit risk. There can be no assurance that the Company could repurchase the remaining subordinated debt issued by MFH at the estimated fair value reflected in the table above or that the debt would trade at that price. | ||||||||||||||
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||
Fair Value Disclosures [Text Block] | Note 9—FAIR VALUE MEASUREMENTS | |||||||||||||
Recurring Valuations | ||||||||||||||
The following tables present assets and liabilities that are measured at fair value on a recurring basis at March 31, 2015 and December 31, 2014. | ||||||||||||||
March 31, | Fair Value Measurement Levels | |||||||||||||
(in thousands) | 2015 | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Bonds available-for-sale | $ | 220,129 | $ | – | $ | – | $ | 220,129 | ||||||
Derivative assets | 3,384 | – | 108 | 3,276 | ||||||||||
Liabilities: | ||||||||||||||
Derivative liabilities | $ | 1,359 | $ | – | $ | – | $ | 1,359 | ||||||
December 31, | Fair Value Measurement Levels | |||||||||||||
(in thousands) | 2014 | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Bonds available-for-sale | $ | 222,899 | $ | – | $ | – | $ | 222,899 | ||||||
Derivative assets | 2,726 | – | 187 | 2,539 | ||||||||||
Liabilities: | ||||||||||||||
Derivative liabilities | $ | 753 | $ | – | $ | – | $ | 753 | ||||||
The following table presents activity for assets and liabilities measured at fair value on a recurring basis using Level 3 inputs for the three months ended March 31, 2015. | ||||||||||||||
(in thousands) | Bonds | Derivative | Derivative | |||||||||||
Available- | Assets | Liabilities | ||||||||||||
for-sale | ||||||||||||||
Balance, January 1, 2015 | $ | 222,899 | $ | 2,539 | $ | -753 | ||||||||
Net (losses) gains included in earnings | -969 | 737 | -606 | |||||||||||
Net change in other comprehensive income (1) | 2,269 | – | – | |||||||||||
Impact from settlements | -4,070 | – | – | |||||||||||
Balance, March 31, 2015 | $ | 220,129 | $ | 3,276 | $ | -1,359 | ||||||||
-1 | This amount includes $2.8 million of unrealized net holding gains arising during the period, offset by the reversal of $0.5 million of unrealized gains related to bonds that were redeemed. | |||||||||||||
The following table provides the amount included in earnings related to the activity presented in the table above, as well as additional realized losses recognized at derivative settlement for the three months ended March 31, 2015. | ||||||||||||||
(in thousands) | Net gains on | Equity in Losses | Net gains on | |||||||||||
bonds (1) | from Lower Tier | derivatives (1) | ||||||||||||
Property | ||||||||||||||
Partnerships | ||||||||||||||
(“LTPP”) | ||||||||||||||
Change in unrealized (losses) gains related to assets and liabilities still held at March 31 2015 | $ | – | $ | -969 | $ | 131 | ||||||||
Additional realized gains recognized | 583 | – | 933 | |||||||||||
Total gains (losses) reported in earnings | $ | 583 | $ | -969 | $ | 1,064 | ||||||||
-1 | Amounts are reflected through “Net gains (losses) on assets and derivatives” on the consolidated statements of operations. | |||||||||||||
The following table presents activity for assets and liabilities measured at fair value on a recurring basis using Level 3 inputs for the three months ended March 31, 2014. | ||||||||||||||
(in thousands) | Bonds | Derivative | ||||||||||||
Available-for- | Liabilities | |||||||||||||
sale | ||||||||||||||
Balance, January 1, 2014 | $ | 195,332 | $ | -626 | ||||||||||
Net losses included in earnings | -948 | -27 | ||||||||||||
Net change in other comprehensive income (1) | 4,906 | – | ||||||||||||
Bonds eliminated due to real estate consolidation and foreclosure | -11,058 | – | ||||||||||||
Impact from settlements | -3,349 | – | ||||||||||||
Balance, March 31, 2014 | $ | 184,883 | $ | -653 | ||||||||||
-1 | This amount represents $4.9 million of unrealized net holding gains arising during the period. | |||||||||||||
The following table provides the amount included in earnings related to the activity presented in the table above, as well as additional realized losses recognized at derivative settlement for the three months ended March 31, 2014. | ||||||||||||||
(in thousands) | Equity in losses | Net losses on | ||||||||||||
from LTPPs | derivatives (1) | |||||||||||||
Change in unrealized losses related to assets and liabilities still held at March 31, 2014 | $ | -948 | $ | -27 | ||||||||||
Additional realized losses recognized | – | -78 | ||||||||||||
Total losses reported in earnings | $ | -948 | $ | -105 | ||||||||||
-1 | Amounts are reflected through “Net gains (losses) on assets and derivatives” on the consolidated statements of operations. | |||||||||||||
The following methods or assumptions were used to estimate the fair value of these recurring financial instruments: | ||||||||||||||
Bonds Available-for-sale – If a bond is performing and payment of full principal and interest is not deemed at risk, then the Company estimates fair value using a discounted cash flow methodology; specifically, the Company discounts contractual principal and interest payments, adjusted for expected prepayments. The discount rate is based on expected investor yield requirements adjusted for bond attributes such as the expected term of the bond, debt service coverage ratio, geographic location and bond size. The weighted average discount rate for the performing bond portfolio was 6.1% and 6.3% at March 31, 2015 and December 31, 2014, respectively, for performing bonds still held in the portfolio at March 31, 2015. If observable market quotes are available, the Company will estimate the fair value based on such quoted prices. | ||||||||||||||
For non-performing bonds and certain performing bonds where payment of full principal and interest is deemed at risk, the Company estimates fair value by discounting the property’s expected cash flows and residual proceeds using estimated market discount and capitalization rates, less estimated selling costs. The weighted average discount rate was 7.8% and 7.9% at March 31, 2015 and December 31, 2014, respectively, for the bonds remaining in our portfolio at March 31, 2015. The weighted average capitalization rate was 6.7% and 6.8% at March 31, 2015 and December 31, 2014, respectively, for the bonds remaining in our portfolio at March 31, 2015. However, to the extent available, the Company may estimate fair value based on a sale agreement, a letter of intent to purchase, an appraisal or other third-party indications of fair value. | ||||||||||||||
The discount rates and capitalization rates discussed above are significant inputs to bond valuations and are unobservable in the market. To the extent discount rates and capitalization rates were to increase (decrease) in isolation the corresponding estimated bond values would decrease (increase). | ||||||||||||||
The lack of liquidity in the bond markets in which the Company transacts, coupled with the significant judgments that are inherent in our valuation methodologies, results in a risk that if the Company needed to sell bonds, the price it is able to realize may be lower than the carrying value (i.e., the fair value) of such bonds. | ||||||||||||||
Derivative Financial Instruments – The Company estimates fair value, taking into consideration credit risk, based on internal models and based on third party models using either a Level 2 or a Level 3 approach depending on the nature of the derivative contract. | ||||||||||||||
Non-recurring Valuations | ||||||||||||||
At March 31, 2015 and December 31, 2014, the Company had no assets that were measured at fair value on a non-recurring basis. | ||||||||||||||
GUARANTEES_AND_COLLATERAL
GUARANTEES AND COLLATERAL | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Guarantees And Collateral [Abstract] | |||||||||||||||||
Guarantees And Collateral [Text Block] | Note 10—GUARANTEES AND COLLATERAL | ||||||||||||||||
Guarantees | |||||||||||||||||
Guarantee obligations are recorded through “Other liabilities.” | |||||||||||||||||
The following table summarizes guarantees at March 31, 2015 and December 31, 2014: | |||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||
(in thousands) | Maximum | Carrying | Maximum | Carrying | |||||||||||||
Exposure | Amount | Exposure | Amount | ||||||||||||||
Indemnification contracts | $ | 13,209 | $ | 781 | $ | 13,209 | $ | 864 | |||||||||
Through the indemnification contracts outlined in the table above, the Company guarantees the investor yields on certain third party LIHTC Funds and property performance on certain third party LTPPs. The Company made no cash payments related to these indemnification agreements for the three months ended March 31, 2015 and 2014. The carrying amount represents the amount of unamortized fees received related to these guarantees with no additional amounts recognized as management does not believe it is probable that the Company will have to make payments under these indemnifications. | |||||||||||||||||
The Company’s maximum exposure under its indemnification contracts represents the maximum loss the Company could incur under its guarantee agreements and is not indicative of the likelihood of the expected loss under the guarantee. The Company also has guarantees associated with certain consolidated LIHTC Funds. See Note 15, “Consolidated Funds and Ventures” for information on these guarantees. | |||||||||||||||||
Collateral and restricted assets | |||||||||||||||||
The following table summarizes assets that are either pledged or restricted for the Company’s use at March 31, 2015 and December 31, 2014. This table also reflects certain assets held by CFVs in order to reconcile to the Company’s consolidated balance sheets. | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
(in thousands) | Restricted | Bonds | Investment | Other | Total | ||||||||||||
Cash | Available- | in Preferred | Assets | Assets | |||||||||||||
for-sale | stock | Pledged | |||||||||||||||
Debt and derivatives – total return swaps | $ | 14,224 | $ | 168,274 | $ | 25,000 | $ | – | $ | 207,498 | |||||||
Other (1) | 14,993 | – | – | 126 | 15,119 | ||||||||||||
CFVs (2) | 23,876 | – | – | 10,577 | 34,453 | ||||||||||||
Total | $ | 53,093 | $ | 168,274 | $ | 25,000 | $ | 10,703 | $ | 257,070 | |||||||
December 31, 2014 | |||||||||||||||||
(in thousands) | Restricted | Bonds | Investment | Other | Total | ||||||||||||
Cash | Available- | in Preferred | Assets | Assets | |||||||||||||
for-sale | stock | Pledged | |||||||||||||||
Debt and derivatives – total return swaps | $ | 11,010 | $ | 144,611 | $ | 31,371 | $ | – | $ | 186,992 | |||||||
Other (1) | 14,993 | – | – | 161 | 15,154 | ||||||||||||
CFVs (2) | 24,186 | – | – | 11,128 | 35,314 | ||||||||||||
Total | $ | 50,189 | 144,611 | 31,371 | 11,289 | 237,460 | |||||||||||
-1 | The Company pledges collateral in connection with various guarantees that it has provided. | ||||||||||||||||
-2 | These are assets held by consolidated LIHTC Funds. | ||||||||||||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Commitments and Contingencies Disclosure [Abstract] | |||||
Commitments and Contingencies Disclosure [Text Block] | Note 11—Commitments and Contingencies | ||||
Operating Leases | |||||
As of March 31, 2015, the Company had three non-cancelable operating leases that expire between 2016 and 2018. These leases require the Company to pay property taxes, maintenance and other costs. The Company recognized net rental expense of $0.1 million and $0.2 million for the three months ended March 31, 2015 and 2014, respectively. | |||||
The following table summarizes the future minimum rental commitments on the three non-cancelable operating leases at | |||||
March 31, 2015: | |||||
(in thousands) | |||||
2015 | $ | 325 | |||
2016 | 107 | ||||
2017 | 75 | ||||
2018 | 34 | ||||
2019 | – | ||||
Total minimum future rental commitments | $ | 541 | |||
Litigation | |||||
From time to time, the Company and its subsidiaries are named as defendants in various litigation matters arising in the ordinary course of business. These proceedings may include claims for substantial or indeterminate compensatory or punitive damages, or for injunctive or declaratory relief. | |||||
The Company establishes reserves for litigation matters when a loss is probable and can be reasonably estimated. Once established, reserves may be adjusted when new information is obtained. | |||||
It is the opinion of the Company’s management that adequate provisions have been made for losses with respect to litigation matters and other claims that existed at March 31, 2015. Management believes the ultimate resolution of these matters is not likely to have a material effect on its financial position, results of operations or cash flows. Assessment of the potential outcomes of these matters involves significant judgment and is subject to change, based on future developments, which could result in significant changes. | |||||
Shareholder Matters | |||||
The Company is a defendant in a purported class action lawsuit and two derivative suits originally filed in 2008. The plaintiffs in the class action lawsuit claim to represent a class of investors in the Company’s shares who allegedly were injured by misstatements in press releases and SEC filings between May 3, 2004 and January 28, 2008. The plaintiffs sought unspecified damages for themselves and the shareholders of the class they purported to represent. In the derivative suits, the plaintiffs claimed, among other things, that the Company was injured because its directors and certain named officers did not fulfill duties regarding the accuracy of its financial disclosures. Both the class action and the derivative cases were brought in the United States District Court for the District of Maryland. The Company filed a motion to dismiss the class action, and in June 2012, the Court issued a ruling dismissing all of the counts alleging any knowing or intentional wrongdoing by the Company or its affiliates, directors and officers. The plaintiffs appealed the Court’s ruling and on March 7, 2014, the United States Court of Appeals for the Fourth Circuit unanimously affirmed the lower Court’s ruling. As a result of these rulings, the only counts remaining in the class action relate to the Company’s dividend reinvestment plan and the plaintiffs in the derivative cases have voluntarily dismissed their case outright. | |||||
The parties have engaged in settlement discussions leading to a settlement agreement. On April 20, 2015, the parties submitted the agreement and related documents to the United States District Court for the Districted of Maryland for approval. The agreement provides for payments to the class of up to $676,820 and attorneys’ fees of up to $150,000 for the plaintiffs’ counsel. The settlement is a claims-made settlement, in which payments will be made only to those plaintiffs who submit a claim and whose claim is approved, thus the final settlement amount to the class could be less than the amount stated above. Similarly, the court must approve the plaintiffs’ counsel’s attorneys’ fees, thus the final amount could be less than stated. | |||||
The Company does not expect to directly incur any settlement costs, as all costs, including both class payments and plaintiffs’ attorneys’ fees, will be paid directly by the insurance company. As a result, the Company released the litigation reserve of $0.5 million during the first quarter of 2015. | |||||
EQUITY
EQUITY | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Stockholders' Equity Note [Abstract] | ||||||||||||||
Stockholders' Equity Note Disclosure [Text Block] | Note 12—EQUITY | |||||||||||||
Common Share Information | ||||||||||||||
The following table provides a summary of net income to common shareholders as well as information pertaining to weighted average shares used in the per share calculations as presented on the consolidated statements of operations for the three months ended March 31, 2015 and 2014. | ||||||||||||||
For the three months ended | ||||||||||||||
March 31, | ||||||||||||||
(in thousands) | 2015 | 2014 | ||||||||||||
Net loss from continuing operations | $ | -393 | $ | -1,023 | ||||||||||
Net income from discontinued operations | 72 | 14,629 | ||||||||||||
Net (loss) income to common shareholders | $ | -321 | $ | 13,606 | ||||||||||
Basic weighted-average shares (1) | 7,213 | 8,041 | ||||||||||||
Common stock equivalents (2) (3) (4) | – | – | ||||||||||||
Diluted weighted-average shares | 7,213 | 8,041 | ||||||||||||
-1 | Includes common shares issued and outstanding, as well as non-employee directors’ and employee deferred shares that have vested, but are not issued and outstanding. | |||||||||||||
-2 | At March 31, 2015, 410,000 stock options were in the money and had a potential dilutive share impact of 297,780. In addition, 31,250 unvested employee deferred shares had a potential dilutive share impact of 10,417 for the three months ended March 31, 2015. For the three months ended March 31, 2015, the Company had a net loss from continuing operations and thus, any incremental shares would be anti-dilutive. | |||||||||||||
-3 | At March 31, 2014, 410,000 stock options were in the money and had a potential dilutive share impact of 270,626 for the three months ended March 31, 2014. In addition, 41,667 unvested employee deferred shares had a potential dilutive share impact of 20,833 for the three months ended March 31, 2014. For the three months ended March 31, 2014, the Company had a net loss from continuing operations and thus, any incremental shares would be anti-dilutive. | |||||||||||||
-4 | For the three months ended March 31, 2015, the average number of options excluded from the calculations of diluted earnings per share was 60,211, because of their anti-dilutive effect (i.e. these stock options were not in the money). For the three months ended March 31, 2014, the average number of options excluded from the calculations of diluted earnings per share was 60,211 because of their anti-dilutive effect (i.e. these stock options were not in the money). | |||||||||||||
Common Shares | ||||||||||||||
Effective September 29, 2014, the Company executed a one-for-five reverse stock split. All share and per share information has been adjusted to reflect the reverse stock split. | ||||||||||||||
As of March 31, 2015, our Board had authorized total stock repurchases of up to 2.05 million shares. Between April 1, 2015 and May 7, 2015, the Company repurchased 225,104 shares at an average price of $10.00. As of May 7, 2015, the Company had repurchased 1.6 million shares at an average price of $8.42 since the plan’s inception. At its May 7, 2015 meeting, the Board amended the maximum price at which management is authorized to purchase shares based on an assessment of the economic benefit of such purchases to the Company. Effective at the filing of this Report and until modified by further action by the Board, that price is $12.76 per share. | ||||||||||||||
Effective May 5, 2015, the Company adopted a Tax Benefits Rights Agreement (“Rights Plan”). In connection with adopting the Rights Plan, the Company declared a distribution of one right per common share to shareholders of record as of May 15, 2015. The rights will not trade apart from the current common shares until the distribution date, as defined in the Rights Plan. Under the Rights Plan, should a new investor acquire greater than a 4.9% stake in the Company, all existing shareholders other than the new 4.9% holder will be provided the opportunity to acquire new shares for a nominal cost, thereby significantly diluting the ownership interest of the acquiring person. The Rights Plan will run for a period of five years, or until the Board determines the plan is no longer required, whichever comes first. | ||||||||||||||
Noncontrolling Interests | ||||||||||||||
The following table summarizes the noncontrolling interests at March 31, 2015 and December 31, 2014: | ||||||||||||||
(in thousands) | March 31, | December 31, | ||||||||||||
2015 | 2014 | |||||||||||||
CFVs (LIHTC Funds) | $ | 215,807 | $ | 230,111 | ||||||||||
IHS | -397 | -397 | ||||||||||||
Total | $ | 215,410 | $ | 229,714 | ||||||||||
LIHTC Funds | ||||||||||||||
At March 31, 2015 and December 31, 2014, the noncontrolling interest holders were comprised of the limited partners as well as the GP in 11 guaranteed LIHTC Funds. The decline in the noncontrolling interest balance was primarily a result of a $12.2 million reduction in the LIHTC Funds’ investment balance due to net operating losses and impairment charges that were recognized during the three months ended March 31, 2015. | ||||||||||||||
IHS | ||||||||||||||
At March 31, 2015 and December 31, 2014, 3.7% of IHS was held by a third party. | ||||||||||||||
AOCI Allocable to Common Shareholders | ||||||||||||||
The following table summarizes the net change in AOCI allocable to common shareholders for the three months ended March 31, 2015. | ||||||||||||||
(in thousands) | Bonds | Income Tax | Foreign | AOCI | ||||||||||
Available-for- | Expense | Currency | ||||||||||||
Sale | Translation | |||||||||||||
Balance, January 1, 2015 | $ | 57,234 | $ | -150 | $ | -632 | $ | 56,452 | ||||||
Unrealized net gains (losses) | 2,740 | – | -132 | 2,608 | ||||||||||
Reversal of unrealized gains on redeemed bonds | -471 | – | – | -471 | ||||||||||
Income tax expense | – | -211 | – | -211 | ||||||||||
Net change in other comprehensive income | 2,269 | -211 | -132 | 1,926 | ||||||||||
Balance, March 31, 2015 | $ | 59,503 | $ | -361 | $ | -764 | $ | 58,378 | ||||||
The following table summarizes the net change in AOCI allocable to common shareholders for the three months ended March 31, 2014. | ||||||||||||||
(in thousands) | Bonds | Income Tax | Foreign | AOCI | ||||||||||
Available-for- | Expense | Currency | ||||||||||||
Sale | Translation | |||||||||||||
Balance, January 1, 2014 | $ | 36,868 | $ | – | $ | -209 | $ | 36,659 | ||||||
Unrealized net gains | 4,906 | – | 2 | 4,908 | ||||||||||
Reversal of unrealized gains from AOCI to Net Income due to foreclosure | -2,003 | – | – | -2,003 | ||||||||||
Income tax expense | – | -129 | – | -129 | ||||||||||
Net change in other comprehensive income | 2,903 | -129 | 2 | 2,776 | ||||||||||
Balance, March 31, 2014 | $ | 39,771 | $ | -129 | $ | -207 | $ | 39,435 | ||||||
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 13—STOCK-BASED COMPENSATION | |||||||||||||||||||
The Company has stock-based compensation plans (“Plans”) for Non-employee Directors (“Non-employee Directors’ Stock-Based Compensation Plans”) and stock-based incentive compensation plans for employees (“Employees’ Stock-Based Compensation Plans”). All share and per share information has been adjusted to reflect the one-for-five reverse stock split to shareholders on September 29, 2014. | ||||||||||||||||||||
Total compensation expense recorded for these Plans was as follows for the three months ended March 31, 2015 and 2014: | ||||||||||||||||||||
For the three months ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
(in thousands) | 2015 | 2014 | ||||||||||||||||||
Employees’ Stock-Based Compensation Plans | $ | 299 | $ | 942 | ||||||||||||||||
Non-employee Directors’ Stock-Based Compensation Plans | 74 | 75 | ||||||||||||||||||
Total | $ | 373 | $ | 1,017 | ||||||||||||||||
Employees’ Stock-Based Compensation Plans | ||||||||||||||||||||
As of March 31, 2015, there were 374,187 share awards available to be issued under Employees’ Stock-Based Compensation Plans. While each existing Employees’ Stock-Based Compensation Plan has been approved by the Company’s Board of Directors, not all of the Plans have been approved by the Company’s shareholders. The non-shareholder approved Plans are currently restricted to the issuance of only stock options. As a result, of the 374,187 shares available under the plans, only 10,047 are available to be issued in the form of either stock options or shares; all remaining share awards must be issued in the form of stock options. | ||||||||||||||||||||
Employee Common Stock Options | ||||||||||||||||||||
The Company measures the fair value of unvested options with time-based vesting and all vested options (both time-based and performance based), using a lattice model for purposes of recognizing compensation expense. The Company believes the lattice model provides a better estimate of the fair value of these options as, according to Financial Accounting Standards Board’s (“FASB”) Accounting Standards Codification Topic 718, “the design of a lattice model more fully reflects the substantive characteristics of a particular employee share option.” Because options granted with stock price targets contain a “market condition” under FASB’s Accounting Standards Codification Topic 718, a Monte Carlo simulation is used to simulate future stock price movements for the Company. The Company believes a Monte Carlo simulation provides a better estimate of the fair value for unvested options granted with specific stock price targets as the model’s flexibility allows for the fair value to account for the vesting provisions as well as the different probabilities of stock price outcomes. | ||||||||||||||||||||
The following table summarizes option activity under the Employees’ Stock-Based Compensation Plans: | ||||||||||||||||||||
(in thousands, except per option data) | Number of | Weighted- | Weighted- | Aggregate | Period End | |||||||||||||||
Options | average | average | Intrinsic | Liability (2) | ||||||||||||||||
Exercise | Remaining | Value (1) | ||||||||||||||||||
Price per | Contractual Life | |||||||||||||||||||
Option | per Option | |||||||||||||||||||
(in years) | ||||||||||||||||||||
Outstanding at January 1, 2014 | 416 | $ | 3.52 | 7.3 | $ | 1,644 | $ | 1,785 | ||||||||||||
Forfeited/Expired in 2014 | – | |||||||||||||||||||
Outstanding at December 31, 2014 | 416 | 3.52 | 6.3 | 3,196 | 3,281 | |||||||||||||||
Forfeited/Expired in 2015 | – | |||||||||||||||||||
Outstanding at March 31, 2015 | 416 | 3.52 | 6.1 | 3,458 | 3,536 | |||||||||||||||
Number of options that were exercisable at: | ||||||||||||||||||||
31-Dec-14 | 325 | 4 | 6.1 | |||||||||||||||||
31-Mar-15 | 362 | 3.77 | 6 | |||||||||||||||||
-1 | Intrinsic value is based on outstanding options. | |||||||||||||||||||
-2 | Only options that were amortized based on a vesting schedule have a liability balance. These options were 415,615; 412,100; and 378,173; at March 31, 2015, December 31, 2014 and January 1, 2014, respectively. | |||||||||||||||||||
The value of employee options increased by $0.3 million during the three months ended March 31, 2015 and was recognized as additional compensation expense. | ||||||||||||||||||||
Employee Deferred Shares | ||||||||||||||||||||
The following table summarizes the deferred shares granted to employees. The grants outstanding at March 31, 2015 have both time and price vesting requirements, with a portion of the shares vesting over the next 12 months. Also, a portion of the shares vest if over a 30-day period, the average share price is at least $10.00. The remaining shares vest if that average share price is at least $12.50. | ||||||||||||||||||||
(in thousands, except per share data) | Deferred Share | Weighted- | Period End | |||||||||||||||||
Grants | average Grant | Liability | ||||||||||||||||||
Date Share | ||||||||||||||||||||
Price | ||||||||||||||||||||
Balance, January 1, 2015 | 42 | $ | 4.4 | $ | 336 | |||||||||||||||
Granted in 2015 | – | |||||||||||||||||||
Issued in 2015 | 11 | 4.4 | ||||||||||||||||||
Balance, March 31, 2015 | 31 | 4.4 | 276 | |||||||||||||||||
The Company recognized $44,630 of additional compensation expense related to employee deferred shares during the three months ended March 31, 2015, mainly driven by the increase in MMA’s share price and amortization of existing grants. | ||||||||||||||||||||
Non-employee Directors’ Stock-Based Compensation Plans | ||||||||||||||||||||
The Non-employee Directors’ Stock-based Compensation Plans authorize a total of 1,130,000 shares for issuance, of which 434,123 were available to be issued at March 31, 2015. The Non-employee Directors’ Stock-based Compensation Plans provide for grants of non-qualified common stock options, common shares, restricted shares and deferred shares. | ||||||||||||||||||||
On March 12, 2015, the Board adopted the amendment to the Non-employee Director’s Stock-based Compensation Plans providing directors to be paid $60,000 per year, an increase from $50,000 per year for their services; 50% of their compensation is paid in cash and 50% is paid in share based grants. In addition, the Chairman now receives an additional $20,000 per year, the Audit Committee Chair receives an additional $15,000 per year and the other committee chairs receive an additional $10,000 per year. | ||||||||||||||||||||
The table below summarizes director compensation, including cash, vested options and common and deferred shares, for services rendered for the three months ended March 31, 2015 and 2014. The directors are fully vested in the deferred shares at the grant date. | ||||||||||||||||||||
Cash | Common | Deferred | Weighted- | Options | Directors’ Fees | |||||||||||||||
Shares | Shares | average Grant | Vested | Expense | ||||||||||||||||
Granted | Granted | Date Share Price | ||||||||||||||||||
31-Mar-15 | $ | 36,875 | 1,912 | 1,978 | $ | 9.48 | – | $ | 73,750 | |||||||||||
31-Mar-14 | 37,500 | 3,776 | 1,888 | 6.62 | – | 75,000 | ||||||||||||||
DISCONTINUED_OPERATIONS
DISCONTINUED OPERATIONS | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 14—discontinued operations | |||||||
The table below reflects the activity related to the Company’s discontinued operations. During the first quarter of 2014, the Company completed two real estate sales that were treated as discontinued operations prior to the Company’s early adoption of ASU 2014-08 during April 2014. The discontinued operations activity reported during the first quarter of 2015 relates to operations that were disposed of prior to the Company’s adoption of ASU 2014-08. | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
(in thousands) | 2015 | 2014 | ||||||
Income from CFVs (primarily rental income) | $ | – | $ | 279 | ||||
Income from REO operations | – | 302 | ||||||
Expenses from CFVs (primarily operating expenses) | – | -244 | ||||||
Expenses from REO operations | – | -451 | ||||||
Other income | 83 | 83 | ||||||
Other expense | -5 | -28 | ||||||
Income tax expense | -6 | -504 | ||||||
Net income (loss) before disposal activity | 72 | -563 | ||||||
Disposal: | ||||||||
Net gains related to REO | – | 15,037 | ||||||
Net gains related to CFVs | – | 5 | ||||||
Net income from discontinued operations | 72 | 14,479 | ||||||
Loss from discontinued operations allocable to noncontrolling interests | – | 150 | ||||||
Net income to common shareholders from discontinued operations | $ | 72 | $ | 14,629 | ||||
CONSOLIDATED_FUNDS_AND_VENTURE
CONSOLIDATED FUNDS AND VENTURES | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Consolidated Funds and Ventures [Abstract] | |||||||||
Consolidated Funds and Ventures [Text Block] | Note 15—CONSOLIDATED FUNDS AND VENTURES | ||||||||
As previously discussed in our 2014 Form 10-K, the Company no longer consolidates SAWHF or the non-profit entity and its LTPPs as of December 31, 2014. As of December 31, 2014, CFVs was comprised of only LIHTC Funds. | |||||||||
LIHTC Funds | |||||||||
The Company guarantees the investor yield for each of these 11 LIHTC Funds. At March 31, 2015 and December 31, 2014, the Company’s maximum exposure under these guarantees was estimated to be approximately $558.9 million; however, the Company does not anticipate any losses under these guarantees. | |||||||||
The LIHTC Funds’ primary assets are their investments in LTPPs, which are the owners of the affordable housing properties (see Investments in LTPPs in the Asset Summary below). The LIHTC Funds account for these investments using the equity method of accounting. | |||||||||
Asset Summary: | |||||||||
The following section provides more information related to the assets of the consolidated LIHTC Funds at March 31, 2015 and December 31, 2014. | |||||||||
(in thousands) | March 31, | December 31, | |||||||
2015 | 2014 | ||||||||
Cash, cash equivalents and restricted cash | $ | 23,876 | $ | 24,186 | |||||
Investments in Lower Tier Property Partnerships | 219,007 | 231,204 | |||||||
Other assets | 10,577 | 11,128 | |||||||
Total assets of consolidated LIHTC Funds | $ | 253,460 | $ | 266,518 | |||||
All of the assets of the consolidated LIHTC Funds are restricted for use by the specific owner entity and are not available for the Company’s general use. | |||||||||
LIHTC Funds’ Investments in Lower Tier Property Partnerships | |||||||||
The LIHTC Funds’ limited partner investments in LTPPs are accounted for under the equity method because the third party GPs in the LTPPs are deemed to be the primary beneficiary. The following table provides the assets and liabilities of the LTPPs at March 31, 2015 and December 31, 2014: | |||||||||
(in thousands) | March 31, | December 31, | |||||||
2015 | 2014 | ||||||||
LIHTC Funds’ investment in Lower Tier Property Partnerships | $ | 219,007 | $ | 231,204 | |||||
Total assets of Lower Tier Property Partnerships(1) | $ | 1,261,665 | $ | 1,273,903 | |||||
Total liabilities of Lower Tier Property Partnerships (1) | 1,039,414 | 1,035,695 | |||||||
-1 | The assets of the LTPPs are primarily real estate and the liabilities are predominantly mortgage debt. | ||||||||
The Company’s maximum exposure to loss from the LIHTC Funds and the underlying LTPPs relate to the guarantee exposure associated with the LIHTC Funds discussed above and the Company’s bonds that represent the primary mortgage debt obligation owed by certain LTPPs of the LIHTC Funds. The fair value of the Company’s reported bonds secured by properties owned by the LTPPs at March 31, 2015 and December 31, 2014, was $120.4 million and $118.9 million, respectively. | |||||||||
Liability Summary: | |||||||||
The following section provides more information related to the liabilities of the consolidated LIHTC Funds at March 31, 2015 and December 31, 2014. | |||||||||
(in thousands) | March 31, | December 31, | |||||||
2015 | 2014 | ||||||||
Debt (1) | $ | 6,712 | $ | 6,712 | |||||
Unfunded equity commitments to unconsolidated Lower Tier Property Partnerships | 9,597 | 9,597 | |||||||
Other liabilities (2) | 32,747 | 31,831 | |||||||
Total liabilities of consolidated LIHTC Funds | $ | 49,056 | $ | 48,140 | |||||
-1 | At March 31, 2014 and December 31, 2014, this debt had a face amount equal to its carrying value, a weighted average effective interest rate of 5.3%, and was due on demand. | ||||||||
-2 | Represents asset management fee obligations of the LIHTC Funds. | ||||||||
Income Statement Summary: | |||||||||
The following section provides more information related to the income statement of the CFVs for the three months ended March 31, 2015 and 2014. | |||||||||
For the three months ended | |||||||||
March 31, | |||||||||
(in thousands) | 2015 | 2014 | |||||||
Revenue: | |||||||||
Rental and other income from real estate | $ | – | $ | 3,624 | |||||
Interest and other income | 67 | 1,426 | |||||||
Total revenue from CFVs | 67 | 5,050 | |||||||
Expenses: | |||||||||
Depreciation and amortization | 552 | 2,218 | |||||||
Interest expense | 88 | 1,069 | |||||||
Other operating expenses | 1,139 | 2,952 | |||||||
Foreign currency loss | – | 410 | |||||||
Asset impairments | 7,537 | 5,000 | |||||||
Total expenses from CFVs | 9,316 | 11,649 | |||||||
Net gains (losses) related to CFVs: | |||||||||
Investment gains | – | 4,867 | |||||||
Derivative losses | – | -58 | |||||||
Equity in losses from Lower Tier Property Partnerships of CFVs | -5,693 | -7,428 | |||||||
Net loss | -14,942 | -9,218 | |||||||
Net losses allocable to noncontrolling interests in CFVs (1) | 14,304 | 9,853 | |||||||
Net (loss) income allocable to the common shareholders related to CFVs | $ | -638 | $ | 635 | |||||
-1 | Excludes $56,322 of net loss allocable to the minority interest holder in IHS for the three months ended March 31, 2014. These amounts are excluded from this presentation because IHS related activity is not included within CFV income statement activity above. There were no losses allocable to the minority interest holder in IHS for the three months ended March 31, 2015. | ||||||||
The details of Net (loss) income allocable to the common shareholders related to CFVs for the three months ended March 31, 2015 and 2014 are as follows: | |||||||||
For the three months ended | |||||||||
March 31, | |||||||||
(in thousands) | 2015 | 2014 | |||||||
Asset management fees | $ | – | $ | 841 | |||||
Interest income | – | 343 | |||||||
Guarantee fees | 331 | 331 | |||||||
Equity in losses from Lower Tier Property Partnerships | -969 | -949 | |||||||
Equity in income from SAWHF | – | 128 | |||||||
Other expense | – | -59 | |||||||
Net (loss) income allocable to the common shareholders related to CFVs | $ | -638 | $ | 635 | |||||
SEGMENT_INFORMATION
SEGMENT INFORMATION | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||
Segment Reporting Disclosure [Text Block] | Note 16—segment Information | |||||||||||||||||||
Beginning in 2015, the Company operated through three reportable segments: U.S. Operations, International Operations and Corporate Operations. We have revised the presentation for the three months ended March 31, 2014 based on these segments, which had no impact on Net income (loss) to common shareholders. | ||||||||||||||||||||
For the three months ended March 31, 2015 | ||||||||||||||||||||
(in thousands) | U.S. | International | Corporate | CFVs | Income | MMA | ||||||||||||||
Operations | Operations | Allocation | Consolidated | |||||||||||||||||
Reclasses | ||||||||||||||||||||
Total interest income | $ | 4,041 | $ | 19 | $ | 13 | $ | – | $ | – | $ | 4,073 | ||||||||
Total interest expense | -329 | – | -145 | – | – | -474 | ||||||||||||||
Net interest income | 3,712 | 19 | -132 | – | – | 3,599 | ||||||||||||||
Total fee and other income | 2,054 | 1,230 | 488 | – | -331 | -1 | 3,441 | |||||||||||||
Revenue from CFVs | – | – | – | 67 | – | 67 | ||||||||||||||
Total non-interest revenue | 2,054 | 1,230 | 488 | 67 | -331 | 3,508 | ||||||||||||||
Total revenues, net of interest expense | 5,766 | 1,249 | 356 | 67 | -331 | 7,107 | ||||||||||||||
Operating and other expenses: | ||||||||||||||||||||
Interest expense | -515 | -29 | -2,652 | – | – | -3,196 | ||||||||||||||
Operating expenses | -1,612 | -2,082 | -1,585 | – | – | -5,279 | ||||||||||||||
Other expenses, net | -258 | 254 | -103 | – | – | -107 | ||||||||||||||
Expenses from CFVs | – | – | – | -9,647 | 331 | -1 | -9,316 | |||||||||||||
Total operating and other expenses | -2,385 | -1,857 | -4,340 | -9,647 | 331 | -17,898 | ||||||||||||||
Net gains on assets, derivatives and extinguishment of liabilities | 1,568 | – | – | – | – | 1,568 | ||||||||||||||
Equity in (losses) income from unconsolidated funds and ventures | -9 | 82 | – | – | – | 73 | ||||||||||||||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -969 | -2 | – | – | -4,724 | -2 | – | -5,693 | ||||||||||||
Income (loss) from continuing operations before income taxes | 3,971 | -526 | -3,984 | -14,304 | – | -14,843 | ||||||||||||||
Income tax benefit | – | – | 146 | – | – | 146 | ||||||||||||||
Income (loss) from discontinued operations, net of tax | 78 | – | -6 | – | – | 72 | ||||||||||||||
Net income (loss) | 4,049 | -526 | -3,844 | -14,304 | – | -14,625 | ||||||||||||||
Income allocable to noncontrolling interests: | ||||||||||||||||||||
Net losses allocable to noncontrolling interests in CFVs: | ||||||||||||||||||||
Related to continuing operations | – | – | – | 14,304 | – | 14,304 | ||||||||||||||
Net income (loss) to common shareholders | $ | 4,049 | $ | -526 | $ | -3,844 | $ | – | $ | – | $ | -321 | ||||||||
-1 | Represents guarantee fees related to the Company’s LIHTC Funds, which were recognized during the first quarter of 2015 through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, are included in total fee and other income for U.S. Operations. | |||||||||||||||||||
-2 | Represents equity in losses from the Lower Tier Property Partnerships that the Company recognized as an allocation (see Note 15, “Consolidated Funds and Ventures”) because of bonds held by the Company associated with the LTTPs in situations where the carrying amount of the limited partnership investment had reached zero. For purposes of the table above, the Company recognized $1.0 million of losses in U.S. Operations and reduced the CFVs losses by the same amount. | |||||||||||||||||||
For the three months ended March 31, 2014 | ||||||||||||||||||||
(in thousands) | U.S. | International | Corporate | CFVs | Income | MMA | ||||||||||||||
Operations | Operations | Allocation | Consolidated | |||||||||||||||||
Reclasses | ||||||||||||||||||||
Total interest income | $ | 5,638 | $ | 10 | $ | – | $ | – | $ | -343 | -1 | $ | 5,305 | |||||||
Total interest expense | -1,016 | – | -187 | – | – | -1,203 | ||||||||||||||
Net interest income | 4,622 | 10 | -187 | – | -343 | 4,102 | ||||||||||||||
Total fee and other income | 2,246 | 1,046 | 30 | – | -1,172 | -2 | 2,150 | |||||||||||||
Revenue from CFVs | – | – | – | 5,050 | – | 5,050 | ||||||||||||||
Total non-interest revenue | 2,246 | 1,046 | 30 | 5,050 | -1,172 | 7,200 | ||||||||||||||
Total revenues, net of interest expense | 6,868 | 1,056 | -157 | 5,050 | -1,515 | 11,302 | ||||||||||||||
Operating and other expenses: | ||||||||||||||||||||
Interest expense | -805 | -37 | -2,731 | – | – | -3,573 | ||||||||||||||
Operating expenses | -1,891 | -1,705 | -2,078 | – | – | -5,674 | ||||||||||||||
Other expenses | -732 | -33 | -95 | – | 59 | -3 | -801 | |||||||||||||
Expenses from CFVs | – | – | – | -13,233 | 1,584 | -5 | -11,649 | |||||||||||||
Total operating and other expenses | -3,428 | -1,775 | -4,904 | -13,233 | 1,643 | -21,697 | ||||||||||||||
Net losses on assets, derivatives and extinguishment of liabilities | -365 | – | – | – | – | -365 | ||||||||||||||
Net gains transferred into net income from AOCI due to real estate foreclosure | 2,003 | – | – | – | – | 2,003 | ||||||||||||||
Equity in losses from unconsolidated funds and ventures | -62 | -48 | – | – | – | -110 | ||||||||||||||
Net gains related to CFVs | – | – | – | 4,809 | – | 4,809 | ||||||||||||||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -949 | -6 | 128 | – | -6,479 | -6 | -128 | -4 | -7,428 | |||||||||||
Income (loss) from continuing operations before income taxes | 4,067 | -639 | -5,061 | -9,853 | – | -11,486 | ||||||||||||||
Income tax benefit | – | – | 554 | – | – | 554 | ||||||||||||||
Income (loss) from discontinued operations, net of tax | 15,133 | – | -504 | -150 | – | 14,479 | ||||||||||||||
Net income (loss) | 19,200 | -639 | -5,011 | -10,003 | – | 3,547 | ||||||||||||||
Loss allocable to noncontrolling interests: | ||||||||||||||||||||
Net losses allocable to noncontrolling interests in CFVs: | ||||||||||||||||||||
Related to continuing operations | – | 56 | – | 9,853 | – | 9,909 | ||||||||||||||
Related to discontinued operations | – | – | – | 150 | – | 150 | ||||||||||||||
Net income (loss) to common shareholders | $ | 19,200 | $ | -583 | $ | -5,011 | $ | – | $ | – | $ | 13,606 | ||||||||
-1 | Represents interest on bonds that the Company recognized through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, the $0.3 million is reflected in total interest income for the U.S. Operations. | |||||||||||||||||||
-2 | This amount includes $0.7 million of asset management fees recognized by IHS through an income allocation (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, the $0.7 million is reflected in total fee and other income for International Operations. This amount also includes $0.2 million of asset management fees and $0.3 million of guarantee fees both related to the Company’s LIHTC Funds and both recognized during the first quarter of 2014 through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, both are included in total fee and other income for U.S. Operations. | |||||||||||||||||||
-3 | Represents net expenses recognized by the Company through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, these expenses are reflected as additional other expenses for U.S. Operations. | |||||||||||||||||||
-4 | Represents the Company’s share of its equity interest in the SAWHF (i.e., 2.7% of the SAWHF’s first quarter of 2014 net income) which is recognized through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, the $0.1 million is reflected as equity in income of unconsolidated ventures for International Operations. | |||||||||||||||||||
-5 | Represents net expenses of CFVs that were eliminated in consolidation because they were payments or income allocations to MMA. | |||||||||||||||||||
-6 | Represents equity in losses from the Lower Tier Property Partnerships that the Company recognized as an allocation (see Note 15, “Consolidated Funds and Ventures”) because of bonds held by the Company associated with the LTPPs in situations where the carrying amount of the limited partnership investment had reached zero. For purposes of the table above, the Company recognized $0.9 million of losses in U.S. Operations and reduced the CFVs losses by the same amount. | |||||||||||||||||||
The total assets by segment at March 31, 2015 and December 31, 2014 are presented in the table below: | ||||||||||||||||||||
(in thousands) | March 31, | December 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
ASSETS | ||||||||||||||||||||
U.S. Operations | $ | 363,641 | $ | 362,991 | ||||||||||||||||
Corporate Operations | 30,066 | 28,981 | ||||||||||||||||||
International Operations | 10,383 | 10,645 | ||||||||||||||||||
Total segment assets | 404,090 | 402,617 | ||||||||||||||||||
Other adjustments | -389 | -389 | ||||||||||||||||||
Assets of CFVs | 253,460 | 266,518 | ||||||||||||||||||
Total MMA consolidated assets | $ | 657,161 | $ | 668,746 | ||||||||||||||||
BONDS_AVAILABLEFORSALE_Tables
BONDS AVAILABLE-FOR-SALE (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Available-For-Sale Securities [Abstract] | |||||||||||||||||
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | The following table summarizes the Company’s bonds and related unrealized losses and unrealized gains at March 31, 2015 and December 31, 2014, respectively. | ||||||||||||||||
March 31, 2015 | |||||||||||||||||
(in thousands) | UPB | Amortized | Gross | Gross | Fair | ||||||||||||
Cost (1) | Unrealized | Unrealized | Value | ||||||||||||||
Gains | Losses (2), (3) | ||||||||||||||||
Mortgage revenue bonds | $ | 191,203 | $ | 125,683 | $ | 43,328 | $ | -782 | $ | 168,229 | |||||||
Other bonds | 53,165 | 34,943 | 16,957 | – | 51,900 | ||||||||||||
Total | $ | 244,368 | $ | 160,626 | $ | 60,285 | $ | -782 | $ | 220,129 | |||||||
December 31, 2014 | |||||||||||||||||
(in thousands) | UPB | Amortized | Gross | Gross | Fair | ||||||||||||
Cost (1) | Unrealized | Unrealized | Value | ||||||||||||||
Gains | Losses (4), (5) | ||||||||||||||||
Mortgage revenue bonds | $ | 192,068 | $ | 126,897 | $ | 41,145 | $ | -858 | $ | 167,184 | |||||||
Other bonds | 57,056 | 38,768 | 16,947 | – | 55,715 | ||||||||||||
Total | $ | 249,124 | $ | 165,665 | $ | 58,092 | $ | -858 | $ | 222,899 | |||||||
-1 | Represents the UPB, net of discounts, deferred costs and fees as well as impairments recognized in earnings. | ||||||||||||||||
-2 | At March 31, 2015, $0.6 million represents the non-credit loss component for certain unrealized losses deemed to be other-than-temporarily impaired and $0.2 million represents unrealized losses that were not considered other-than-temporarily impaired. | ||||||||||||||||
-3 | Represents bonds in a gross unrealized loss position for less than 12 consecutive months that had a fair value of $1.8 million at March 31, 2015, as well as bonds in a gross unrealized loss position for more than 12 consecutive months that had a fair value of $6.1 million at March 31, 2015. | ||||||||||||||||
-4 | At December 31, 2014, $0.6 million represents the non-credit loss component for certain unrealized losses deemed to be other-than-temporarily impaired and $0.3 million represents unrealized losses that were not considered other-than-temporarily impaired. | ||||||||||||||||
-5 | Represents bonds in a gross unrealized loss position for less than 12 consecutive months that had a fair value of $1.8 million at December 31, 2014, as well as bonds in a gross unrealized loss position for more than 12 consecutive months that had a fair value of $6.0 million at December 31, 2014. | ||||||||||||||||
Bonds Prepayable Without Restriction or Penalty [Table Text Block] | The following table provides the amount of bonds that were prepayable without restriction, premium or penalty at March 31, 2015, as well as the year in which the remaining portfolio becomes prepayable without restriction, premium or penalty at each period presented. | ||||||||||||||||
(in thousands) | Amortized Cost | Fair Value | |||||||||||||||
31-Mar-15 | $ | 24,789 | $ | 41,058 | |||||||||||||
April 1 through December 31, 2015 | – | – | |||||||||||||||
2016 | 10,154 | 13,548 | |||||||||||||||
2017 | – | – | |||||||||||||||
2018 | 7,335 | 8,384 | |||||||||||||||
2019 | – | – | |||||||||||||||
Thereafter | 118,050 | 156,832 | |||||||||||||||
Bonds that may not be prepaid | 298 | 307 | |||||||||||||||
Total | $ | 160,626 | $ | 220,129 | |||||||||||||
Past Due Analysis of Available-for-sale Securities Bonds, Current [Table Text Block] | The following table provides the fair value of bonds available-for-sale that were current with respect to principal and interest payments, as well as those that were past due with respect to either principal or interest payments at March 31, 2015 and December 31, 2014. | ||||||||||||||||
(in thousands) | March 31, | December 31, | |||||||||||||||
2015 | 2014 | ||||||||||||||||
Total current | $ | 176,361 | $ | 179,315 | |||||||||||||
30-59 days past due | – | – | |||||||||||||||
60-89 days past due | – | – | |||||||||||||||
90 days or greater | 43,768 | 43,584 | |||||||||||||||
Total | $ | 220,129 | $ | 222,899 | |||||||||||||
Gain (Loss) on Investments [Table Text Block] | Provided in the table below are realized gains recognized on bonds at the time of sale or redemption reported through “Net gains (losses) on assets and derivatives.” | ||||||||||||||||
For the three months ended | |||||||||||||||||
March 31, | |||||||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||||||
Gains recognized at time of sale | $ | 583 | $ | – | |||||||||||||
REAL_ESTATE_Tables
REAL ESTATE (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Real Estate [Abstract] | ||||||||
Schedule Of Real Estate Investments [Table Text Block] | The following table summarizes the Company’s real estate at March 31, 2015 and December 31, 2014. | |||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Real estate held-for-use | $ | 2,619 | $ | 18,417 | ||||
Real estate held-for-sale | 25,954 | 10,145 | ||||||
OTHER_ASSETS_Tables
OTHER ASSETS (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Schedule of Other Assets [Table Text Block] | The following table summarizes other assets at March 31, 2015 and December 31, 2014: | |||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Other assets: | ||||||||
Investments in real estate partnerships | $ | 22,554 | $ | 22,529 | ||||
Investments in IHS-managed funds and ventures | 5,352 | 5,689 | ||||||
Loan receivable held-for-investment | 22,415 | 22,392 | ||||||
Solar facilities (includes other assets such as cash and other receivables) | 3,086 | 3,093 | ||||||
Derivative assets | 3,384 | 2,726 | ||||||
Accrued interest and dividends receivable | 2,421 | 2,672 | ||||||
Asset management fees receivable | 2,909 | 2,454 | ||||||
Other assets | 2,007 | 2,219 | ||||||
Other assets held by CFVs (1) | 10,577 | 11,128 | ||||||
Total other assets | $ | 74,705 | $ | 74,902 | ||||
-1 | For more information see Note 15, “Consolidated Funds and Ventures.” | |||||||
Equity Method Investments [Table Text Block] | The following table displays the total assets and liabilities held by the real estate partnerships in which the Company held an equity investment at March 31, 2015 and December 31, 2014: | |||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Investment in real estate partnerships: | ||||||||
Total assets (primarily real estate) | $ | 83,326 | $ | 83,021 | ||||
Total liabilities | 35,469 | 34,856 | ||||||
Schedule of Income Loss in Earnings of Unconsolidated Venture [Table Text Block] | The following table displays the net loss for the three months ended March 31, 2015 and 2014, for the real estate partnerships: | |||||||
For the three months ended | ||||||||
March 31, | ||||||||
(in thousands) | 2015 | 2014 | ||||||
Net loss | $ | -302 | $ | -186 | ||||
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | The following table summarizes loans held for investment at March 31, 2015 and December 31, 2014: | |||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Cost basis | $ | 40,186 | $ | 40,163 | ||||
Allowance for loan losses | -17,771 | -17,771 | ||||||
Loans held for investment, net | $ | 22,415 | $ | 22,392 | ||||
IHS Funds and Ventures [Member] | ||||||||
Equity Method Investments [Table Text Block] | The following table displays the total assets and liabilities held by the three IHS-managed funds and ventures in which the Company held an equity investment at March 31, 2015 and December 31, 2014, respectively: | |||||||
(in thousands) | March 31, | December 31, | ||||||
2015 | 2014 | |||||||
Total assets | $ | 277,708 | $ | 276,007 | ||||
Total liabilities | 111,082 | 104,863 | ||||||
Schedule Of Income Loss From Equity Method Investments [Table Text Block] | The following table displays the net income for the three months ended March 31, 2015 for the three IHS-managed funds and ventures. The net income for the three months ended March 31, 2014 was related only to IHS Residential Partners I because at that time the Company consolidated SAWHF and thus its equity investment in SAWHF was eliminated in consolidation. | |||||||
For the three months ended | ||||||||
March 31, | ||||||||
(in thousands) | 2015 | 2014 | ||||||
Net income | $ | 1,747 | $ | 100 | ||||
DEBT_Tables
DEBT (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||
Schedule of Debt [Table Text Block] | The table below summarizes outstanding debt balances and the associated weighted-average interest rate based on amounts due within one year or after one year at March 31, 2015 and December 31, 2014: | ||||||||||||||||
(dollars in thousands) | March 31, | Weighted-Average | December 31, | Weighted-Average | |||||||||||||
2015 | Effective Interest | 2014 | Effective Interest | ||||||||||||||
Rate at | Rate at | ||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||
Asset Related Debt (1) | |||||||||||||||||
Notes payable and other debt – bond related (2) | |||||||||||||||||
Due within one year | $ | 1,301 | 1.50% | $ | 776 | 1.40% | |||||||||||
Due after one year | 99,944 | 1.4 | 86,499 | 1.4 | |||||||||||||
Notes payable and other debt – non-bond related | |||||||||||||||||
Due within one year | 1,383 | 9.8 | 1,753 | 9.8 | |||||||||||||
Due after one year | 4,074 | 10 | 4,374 | 10 | |||||||||||||
Total asset related debt | $ | 106,702 | 1.8 | $ | 93,402 | 2 | |||||||||||
Other Debt (1) | |||||||||||||||||
Subordinate debentures (3) | |||||||||||||||||
Due within one year | $ | 16,032 | 7 | $ | 14,088 | 7 | |||||||||||
Due after one year | 133,621 | 7.2 | 133,893 | 7.2 | |||||||||||||
Notes payable and other debt | |||||||||||||||||
Due within one year | 26,074 | 4.5 | 37,811 | 4.4 | |||||||||||||
Due after one year | 4,167 | 2.7 | 4,637 | 2.8 | |||||||||||||
Total other debt | $ | 179,894 | 6.7 | $ | 190,429 | 6.5 | |||||||||||
Total asset related debt and other debt | $ | 286,596 | 4.9 | $ | 283,831 | 5 | |||||||||||
Debt related to CFVs (4) | |||||||||||||||||
Due within one year | $ | 6,712 | 5.3 | $ | 6,712 | 5.3 | |||||||||||
Due after one year | – | – | – | – | |||||||||||||
Total debt related to CFVs | $ | 6,712 | 5.3 | $ | 6,712 | 5.3 | |||||||||||
Total debt | $ | 293,308 | 4.9 | $ | 290,543 | 5 | |||||||||||
-1 | Asset related debt is debt which finances interest-bearing assets and the interest expense from this debt is included in “Net interest income” on the consolidated statements of operations. Other debt is debt which does not finance interest-bearing assets and the interest expense from this debt is included in “Interest expense” under “Operating and other expenses” on the consolidated statements of operations. | ||||||||||||||||
-2 | Included in notes payable and other debt – bond related are unamortized debt issuance costs of $0.1 million and less than $0.1 million at March 31, 2015 and December 31, 2014, respectively. | ||||||||||||||||
-3 | The subordinate debt balances include a net adjustment of $9.2 million and $7.2 million at March 31, 2015 and December 31, 2014, respectively. These adjustments are comprised of net premiums due to effective interest adjustments of $12.0 million and $10.1 million at March 31, 2015 and December 31, 2014, respectively, offset by debt issuance costs of $2.8 million at March 31, 2015 and December 31, 2014. | ||||||||||||||||
-4 | This debt is related to one of the consolidated LIHTC Funds that was reinstated during the fourth quarter of 2014 because the related mortgage note receivable was assigned from MMA to a third party. | ||||||||||||||||
Schedule of Maturities of Long-term Debt [Table Text Block] | The following table summarizes principal payment commitments across all debt agreements at March 31, 2015: | ||||||||||||||||
(in thousands) | Asset Related Debt | CFVs | Total Debt | ||||||||||||||
and Other Debt | Related Debt | ||||||||||||||||
2015 | $ | 18,879 | $ | 6,712 | $ | 25,591 | |||||||||||
2016 | 41,099 | – | 41,099 | ||||||||||||||
2017 | 14,438 | – | 14,438 | ||||||||||||||
2018 | 67,081 | – | 67,081 | ||||||||||||||
2019 | 11,509 | – | 11,509 | ||||||||||||||
Thereafter | 124,554 | – | 124,554 | ||||||||||||||
Net premium and debt issue costs | 9,036 | – | 9,036 | ||||||||||||||
Total | $ | 286,596 | $ | 6,712 | $ | 293,308 | |||||||||||
Schedule of Subordinate Debt [Table Text Block] | The table below provides a summary of the key terms of the subordinate debt issued by MMA Financial Inc. (“MFI”) and MMA Financial Holdings, Inc. (“MFH”) and held by third parties at March 31, 2015: | ||||||||||||||||
(dollars in thousands) | |||||||||||||||||
Issuer | Principal | Net Premium | Carrying | Interim | Maturity Date | Coupon Interest Rate | |||||||||||
and Debt | Value | Principal | |||||||||||||||
Issuance Costs | Payments | ||||||||||||||||
MFI | $ | 28,515 | $ | -171 | $ | 28,344 | Amortizing | December 2027 and December 2033 | 8.00% | ||||||||
MFH | 33,286 | 3,031 | 36,317 | $4,689 due March 2015 | 30-Mar-35 | 0.75% to March 2015, then 3-month LIBOR plus 3.3% | |||||||||||
MFH | 30,116 | 2,545 | 32,661 | $4,242 due May 2015 | 30-Apr-35 | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |||||||||||
MFH | 17,219 | 1,350 | 18,569 | $2,305 due May 2015 | 30-Jul-35 | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |||||||||||
MFH | 31,308 | 2,454 | 33,762 | $4,191 due May 2015 | 30-Jul-35 | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |||||||||||
$ | 140,444 | $ | 9,209 | $ | 149,653 | ||||||||||||
DERIVATIVE_FINANCIAL_INSTRUMEN1
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | The following table summarizes the Company’s derivative assets and liabilities fair value balances at March 31, 2015 and December 31, 2014. | |||||||||||||
Fair Value | ||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||
(in thousands) | Assets | Liabilities | Assets | Liabilities | ||||||||||
Total return swaps | $ | 3,276 | $ | 592 | $ | 2,539 | $ | 35 | ||||||
Interest rate cap | 108 | – | 187 | – | ||||||||||
Interest rate swap | – | 767 | – | 718 | ||||||||||
Total derivative financial instruments | $ | 3,384 | $ | 1,359 | $ | 2,726 | $ | 753 | ||||||
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | The following table summarizes the derivative notional amounts at March 31, 2015 and December 31, 2014. | |||||||||||||
Notional | ||||||||||||||
(in thousands) | March 31, | December 31, | ||||||||||||
2015 | 2014 | |||||||||||||
Total return swaps | $ | 86,401 | $ | 90,184 | ||||||||||
Interest rate cap | 45,000 | 45,000 | ||||||||||||
Interest rate swap | 7,231 | 7,749 | ||||||||||||
Total derivative financial instruments | $ | 139,132 | $ | 142,933 | ||||||||||
Schedule of Derivative Instruments Included in Trading Activities [Table Text Block] | The following table summarizes derivative activity for the three months ended March 31, 2015 and 2014. | |||||||||||||
Realized/Unrealized Gains (Losses) for | ||||||||||||||
the three months ended March 31, | ||||||||||||||
(in thousands) | 2015 | 2014 | ||||||||||||
Total return swaps (1) | $ | 1,191 | $ | – | ||||||||||
Interest rate cap | -79 | -251 | ||||||||||||
Interest rate swap (2) | -127 | -105 | ||||||||||||
Total | $ | 985 | $ | -356 | ||||||||||
-1 | The cash paid and received on TRSs designated as derivatives is settled on a net basis and recorded through “Net gains (losses) on assets and derivatives.” Net cash received was $1.0 million for the three months ended March 31, 2015. | |||||||||||||
-2 | The cash paid and received on the interest rate swap is settled on a net basis and recorded through “Net gains (losses) on assets and derivatives.” Net cash paid was $0.1 million for the three months ended March 31, 2015 and 2014. | |||||||||||||
FINANCIAL_INSTRUMENTS_Tables
FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Investments, All Other Investments [Abstract] | ||||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | March 31, 2015 | |||||||||||||
Carrying | Fair Value | |||||||||||||
(in thousands) | Amount | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Investments in preferred stock | $ | 31,371 | $ | – | $ | – | $ | 36,613 | ||||||
Loans receivable | 22,587 | – | – | 21,779 | ||||||||||
Liabilities: | ||||||||||||||
Notes payable and other debt, bond related | 101,245 | – | – | 101,377 | ||||||||||
Notes payable and other debt, non-bond related | 35,698 | – | – | 31,572 | ||||||||||
Notes payable and other debt related to CFVs | 6,712 | – | – | – | ||||||||||
Subordinate debt issued by MFH | 121,309 | – | – | 45,035 | ||||||||||
Subordinate debt issued by MFI | 28,344 | – | – | 28,515 | ||||||||||
December 31, 2014 | ||||||||||||||
Carrying | Fair Value | |||||||||||||
(in thousands) | Amount | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Investments in preferred stock | $ | 31,371 | $ | – | $ | – | $ | 36,613 | ||||||
Loans receivable | 22,564 | – | – | 21,689 | ||||||||||
Liabilities: | ||||||||||||||
Notes payable and other debt, bond related | 87,275 | – | – | 87,325 | ||||||||||
Notes payable and other debt, non-bond related | 48,575 | – | – | 44,085 | ||||||||||
Notes payable and other debt related to CFVs | 6,712 | – | – | – | ||||||||||
Subordinate debt issued by MFH | 119,441 | – | – | 44,718 | ||||||||||
Subordinate debt issued by MFI | 28,540 | – | – | 28,714 | ||||||||||
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following tables present assets and liabilities that are measured at fair value on a recurring basis at March 31, 2015 and December 31, 2014. | |||||||||||||
March 31, | Fair Value Measurement Levels | |||||||||||||
(in thousands) | 2015 | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Bonds available-for-sale | $ | 220,129 | $ | – | $ | – | $ | 220,129 | ||||||
Derivative assets | 3,384 | – | 108 | 3,276 | ||||||||||
Liabilities: | ||||||||||||||
Derivative liabilities | $ | 1,359 | $ | – | $ | – | $ | 1,359 | ||||||
December 31, | Fair Value Measurement Levels | |||||||||||||
(in thousands) | 2014 | Level 1 | Level 2 | Level 3 | ||||||||||
Assets: | ||||||||||||||
Bonds available-for-sale | $ | 222,899 | $ | – | $ | – | $ | 222,899 | ||||||
Derivative assets | 2,726 | – | 187 | 2,539 | ||||||||||
Liabilities: | ||||||||||||||
Derivative liabilities | $ | 753 | $ | – | $ | – | $ | 753 | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The following table presents activity for assets and liabilities measured at fair value on a recurring basis using Level 3 inputs for the three months ended March 31, 2015. | |||||||||||||
(in thousands) | Bonds | Derivative | Derivative | |||||||||||
Available- | Assets | Liabilities | ||||||||||||
for-sale | ||||||||||||||
Balance, January 1, 2015 | $ | 222,899 | $ | 2,539 | $ | -753 | ||||||||
Net (losses) gains included in earnings | -969 | 737 | -606 | |||||||||||
Net change in other comprehensive income (1) | 2,269 | – | – | |||||||||||
Impact from settlements | -4,070 | – | – | |||||||||||
Balance, March 31, 2015 | $ | 220,129 | $ | 3,276 | $ | -1,359 | ||||||||
-1 | This amount includes $2.8 million of unrealized net holding gains arising during the period, offset by the reversal of $0.5 million of unrealized gains related to bonds that were redeemed. | |||||||||||||
The following table presents activity for assets and liabilities measured at fair value on a recurring basis using Level 3 inputs for the three months ended March 31, 2014. | ||||||||||||||
(in thousands) | Bonds | Derivative | ||||||||||||
Available-for- | Liabilities | |||||||||||||
sale | ||||||||||||||
Balance, January 1, 2014 | $ | 195,332 | $ | -626 | ||||||||||
Net losses included in earnings | -948 | -27 | ||||||||||||
Net change in other comprehensive income (1) | 4,906 | – | ||||||||||||
Bonds eliminated due to real estate consolidation and foreclosure | -11,058 | – | ||||||||||||
Impact from settlements | -3,349 | – | ||||||||||||
Balance, March 31, 2014 | $ | 184,883 | $ | -653 | ||||||||||
-1 | This amount represents $4.9 million of unrealized net holding gains arising during the period. | |||||||||||||
Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings [Table Text Block] | The following table provides the amount included in earnings related to the activity presented in the table above, as well as additional realized losses recognized at derivative settlement for the three months ended March 31, 2015. | |||||||||||||
(in thousands) | Net gains on | Equity in Losses | Net gains on | |||||||||||
bonds (1) | from Lower Tier | derivatives (1) | ||||||||||||
Property | ||||||||||||||
Partnerships | ||||||||||||||
(“LTPP”) | ||||||||||||||
Change in unrealized (losses) gains related to assets and liabilities still held at March 31 2015 | $ | – | $ | -969 | $ | 131 | ||||||||
Additional realized gains recognized | 583 | – | 933 | |||||||||||
Total gains (losses) reported in earnings | $ | 583 | $ | -969 | $ | 1,064 | ||||||||
-1 | Amounts are reflected through “Net gains (losses) on assets and derivatives” on the consolidated statements of operations. | |||||||||||||
The following table provides the amount included in earnings related to the activity presented in the table above, as well as additional realized losses recognized at derivative settlement for the three months ended March 31, 2014. | ||||||||||||||
(in thousands) | Equity in losses | Net losses on | ||||||||||||
from LTPPs | derivatives (1) | |||||||||||||
Change in unrealized losses related to assets and liabilities still held at March 31, 2014 | $ | -948 | $ | -27 | ||||||||||
Additional realized losses recognized | – | -78 | ||||||||||||
Total losses reported in earnings | $ | -948 | $ | -105 | ||||||||||
-1 | Amounts are reflected through “Net gains (losses) on assets and derivatives” on the consolidated statements of operations. | |||||||||||||
GUARANTEES_AND_COLLATERAL_Tabl
GUARANTEES AND COLLATERAL (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Guarantees [Abstract] | |||||||||||||||||
Schedule of Guarantor Obligations [Table Text Block] | The following table summarizes guarantees at March 31, 2015 and December 31, 2014: | ||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||
(in thousands) | Maximum | Carrying | Maximum | Carrying | |||||||||||||
Exposure | Amount | Exposure | Amount | ||||||||||||||
Indemnification contracts | $ | 13,209 | $ | 781 | $ | 13,209 | $ | 864 | |||||||||
Schedule of Financial Instruments Owned and Pledged as Collateral [Table Text Block] | The following table summarizes assets that are either pledged or restricted for the Company’s use at March 31, 2015 and December 31, 2014. This table also reflects certain assets held by CFVs in order to reconcile to the Company’s consolidated balance sheets. | ||||||||||||||||
March 31, 2015 | |||||||||||||||||
(in thousands) | Restricted | Bonds | Investment | Other | Total | ||||||||||||
Cash | Available- | in Preferred | Assets | Assets | |||||||||||||
for-sale | stock | Pledged | |||||||||||||||
Debt and derivatives – total return swaps | $ | 14,224 | $ | 168,274 | $ | 25,000 | $ | – | $ | 207,498 | |||||||
Other (1) | 14,993 | – | – | 126 | 15,119 | ||||||||||||
CFVs (2) | 23,876 | – | – | 10,577 | 34,453 | ||||||||||||
Total | $ | 53,093 | $ | 168,274 | $ | 25,000 | $ | 10,703 | $ | 257,070 | |||||||
December 31, 2014 | |||||||||||||||||
(in thousands) | Restricted | Bonds | Investment | Other | Total | ||||||||||||
Cash | Available- | in Preferred | Assets | Assets | |||||||||||||
for-sale | stock | Pledged | |||||||||||||||
Debt and derivatives – total return swaps | $ | 11,010 | $ | 144,611 | $ | 31,371 | $ | – | $ | 186,992 | |||||||
Other (1) | 14,993 | – | – | 161 | 15,154 | ||||||||||||
CFVs (2) | 24,186 | – | – | 11,128 | 35,314 | ||||||||||||
Total | $ | 50,189 | 144,611 | 31,371 | 11,289 | 237,460 | |||||||||||
-1 | The Company pledges collateral in connection with various guarantees that it has provided. | ||||||||||||||||
-2 | These are assets held by consolidated LIHTC Funds. | ||||||||||||||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Commitments and Contingencies Disclosure [Abstract] | |||||
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | The following table summarizes the future minimum rental commitments on the three non-cancelable operating leases at | ||||
March 31, 2015: | |||||
(in thousands) | |||||
2015 | $ | 325 | |||
2016 | 107 | ||||
2017 | 75 | ||||
2018 | 34 | ||||
2019 | – | ||||
Total minimum future rental commitments | $ | 541 | |||
EQUITY_Tables
EQUITY (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Stockholders' Equity Note [Abstract] | ||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table provides a summary of net income to common shareholders as well as information pertaining to weighted average shares used in the per share calculations as presented on the consolidated statements of operations for the three months ended March 31, 2015 and 2014. | |||||||||||||
For the three months ended | ||||||||||||||
March 31, | ||||||||||||||
(in thousands) | 2015 | 2014 | ||||||||||||
Net loss from continuing operations | $ | -393 | $ | -1,023 | ||||||||||
Net income from discontinued operations | 72 | 14,629 | ||||||||||||
Net (loss) income to common shareholders | $ | -321 | $ | 13,606 | ||||||||||
Basic weighted-average shares (1) | 7,213 | 8,041 | ||||||||||||
Common stock equivalents (2) (3) (4) | – | – | ||||||||||||
Diluted weighted-average shares | 7,213 | 8,041 | ||||||||||||
-1 | Includes common shares issued and outstanding, as well as non-employee directors’ and employee deferred shares that have vested, but are not issued and outstanding. | |||||||||||||
-2 | At March 31, 2015, 410,000 stock options were in the money and had a potential dilutive share impact of 297,780. In addition, 31,250 unvested employee deferred shares had a potential dilutive share impact of 10,417 for the three months ended March 31, 2015. For the three months ended March 31, 2015, the Company had a net loss from continuing operations and thus, any incremental shares would be anti-dilutive. | |||||||||||||
-3 | At March 31, 2014, 410,000 stock options were in the money and had a potential dilutive share impact of 270,626 for the three months ended March 31, 2014. In addition, 41,667 unvested employee deferred shares had a potential dilutive share impact of 20,833 for the three months ended March 31, 2014. For the three months ended March 31, 2014, the Company had a net loss from continuing operations and thus, any incremental shares would be anti-dilutive. | |||||||||||||
-4 | For the three months ended March 31, 2015, the average number of options excluded from the calculations of diluted earnings per share was 60,211, because of their anti-dilutive effect (i.e. these stock options were not in the money). For the three months ended March 31, 2014, the average number of options excluded from the calculations of diluted earnings per share was 60,211 because of their anti-dilutive effect (i.e. these stock options were not in the money). | |||||||||||||
Non Controlling Interest [Table Text Block] | The following table summarizes the noncontrolling interests at March 31, 2015 and December 31, 2014: | |||||||||||||
(in thousands) | March 31, | December 31, | ||||||||||||
2015 | 2014 | |||||||||||||
CFVs (LIHTC Funds) | $ | 215,807 | $ | 230,111 | ||||||||||
IHS | -397 | -397 | ||||||||||||
Total | $ | 215,410 | $ | 229,714 | ||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table summarizes the net change in AOCI allocable to common shareholders for the three months ended March 31, 2015. | |||||||||||||
(in thousands) | Bonds | Income Tax | Foreign | AOCI | ||||||||||
Available-for- | Expense | Currency | ||||||||||||
Sale | Translation | |||||||||||||
Balance, January 1, 2015 | $ | 57,234 | $ | -150 | $ | -632 | $ | 56,452 | ||||||
Unrealized net gains (losses) | 2,740 | – | -132 | 2,608 | ||||||||||
Reversal of unrealized gains on redeemed bonds | -471 | – | – | -471 | ||||||||||
Income tax expense | – | -211 | – | -211 | ||||||||||
Net change in other comprehensive income | 2,269 | -211 | -132 | 1,926 | ||||||||||
Balance, March 31, 2015 | $ | 59,503 | $ | -361 | $ | -764 | $ | 58,378 | ||||||
The following table summarizes the net change in AOCI allocable to common shareholders for the three months ended March 31, 2014. | ||||||||||||||
(in thousands) | Bonds | Income Tax | Foreign | AOCI | ||||||||||
Available-for- | Expense | Currency | ||||||||||||
Sale | Translation | |||||||||||||
Balance, January 1, 2014 | $ | 36,868 | $ | – | $ | -209 | $ | 36,659 | ||||||
Unrealized net gains | 4,906 | – | 2 | 4,908 | ||||||||||
Reversal of unrealized gains from AOCI to Net Income due to foreclosure | -2,003 | – | – | -2,003 | ||||||||||
Income tax expense | – | -129 | – | -129 | ||||||||||
Net change in other comprehensive income | 2,903 | -129 | 2 | 2,776 | ||||||||||
Balance, March 31, 2014 | $ | 39,771 | $ | -129 | $ | -207 | $ | 39,435 | ||||||
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||
Schedule of Share-based Compensation with Employees and Nonemployees [Table Text Block] | Total compensation expense recorded for these Plans was as follows for the three months ended March 31, 2015 and 2014: | |||||||||||||||||||
For the three months ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
(in thousands) | 2015 | 2014 | ||||||||||||||||||
Employees’ Stock-Based Compensation Plans | $ | 299 | $ | 942 | ||||||||||||||||
Non-employee Directors’ Stock-Based Compensation Plans | 74 | 75 | ||||||||||||||||||
Total | $ | 373 | $ | 1,017 | ||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | The following table summarizes option activity under the Employees’ Stock-Based Compensation Plans: | |||||||||||||||||||
(in thousands, except per option data) | Number of | Weighted- | Weighted- | Aggregate | Period End | |||||||||||||||
Options | average | average | Intrinsic | Liability (2) | ||||||||||||||||
Exercise | Remaining | Value (1) | ||||||||||||||||||
Price per | Contractual Life | |||||||||||||||||||
Option | per Option | |||||||||||||||||||
(in years) | ||||||||||||||||||||
Outstanding at January 1, 2014 | 416 | $ | 3.52 | 7.3 | $ | 1,644 | $ | 1,785 | ||||||||||||
Forfeited/Expired in 2014 | – | |||||||||||||||||||
Outstanding at December 31, 2014 | 416 | 3.52 | 6.3 | 3,196 | 3,281 | |||||||||||||||
Forfeited/Expired in 2015 | – | |||||||||||||||||||
Outstanding at March 31, 2015 | 416 | 3.52 | 6.1 | 3,458 | 3,536 | |||||||||||||||
Number of options that were exercisable at: | ||||||||||||||||||||
31-Dec-14 | 325 | 4 | 6.1 | |||||||||||||||||
31-Mar-15 | 362 | 3.77 | 6 | |||||||||||||||||
-1 | Intrinsic value is based on outstanding options. | |||||||||||||||||||
-2 | Only options that were amortized based on a vesting schedule have a liability balance. These options were 415,615; 412,100; and 378,173; at March 31, 2015, December 31, 2014 and January 1, 2014, respectively. | |||||||||||||||||||
Schedule of Share Based Compensation Deferred Shares Granted To Employees [Table Text Block] | The following table summarizes the deferred shares granted to employees. The grants outstanding at March 31, 2015 have both time and price vesting requirements, with a portion of the shares vesting over the next 12 months. Also, a portion of the shares vest if over a 30-day period, the average share price is at least $10.00. The remaining shares vest if that average share price is at least $12.50. | |||||||||||||||||||
(in thousands, except per share data) | Deferred Share | Weighted- | Period End | |||||||||||||||||
Grants | average Grant | Liability | ||||||||||||||||||
Date Share | ||||||||||||||||||||
Price | ||||||||||||||||||||
Balance, January 1, 2015 | 42 | $ | 4.4 | $ | 336 | |||||||||||||||
Granted in 2015 | – | |||||||||||||||||||
Issued in 2015 | 11 | 4.4 | ||||||||||||||||||
Balance, March 31, 2015 | 31 | 4.4 | 276 | |||||||||||||||||
Schedule of Share-based Compensation, Nonemployee Director Stock Award Plan, Activity [Table Text Block] | The table below summarizes director compensation, including cash, vested options and common and deferred shares, for services rendered for the three months ended March 31, 2015 and 2014. The directors are fully vested in the deferred shares at the grant date. | |||||||||||||||||||
Cash | Common | Deferred | Weighted- | Options | Directors’ Fees | |||||||||||||||
Shares | Shares | average Grant | Vested | Expense | ||||||||||||||||
Granted | Granted | Date Share Price | ||||||||||||||||||
31-Mar-15 | $ | 36,875 | 1,912 | 1,978 | $ | 9.48 | – | $ | 73,750 | |||||||||||
31-Mar-14 | 37,500 | 3,776 | 1,888 | 6.62 | – | 75,000 | ||||||||||||||
DISCONTINUED_OPERATIONS_Tables
DISCONTINUED OPERATIONS (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Table Text Block] | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
(in thousands) | 2015 | 2014 | ||||||
Income from CFVs (primarily rental income) | $ | – | $ | 279 | ||||
Income from REO operations | – | 302 | ||||||
Expenses from CFVs (primarily operating expenses) | – | -244 | ||||||
Expenses from REO operations | – | -451 | ||||||
Other income | 83 | 83 | ||||||
Other expense | -5 | -28 | ||||||
Income tax expense | -6 | -504 | ||||||
Net income (loss) before disposal activity | 72 | -563 | ||||||
Disposal: | ||||||||
Net gains related to REO | – | 15,037 | ||||||
Net gains related to CFVs | – | 5 | ||||||
Net income from discontinued operations | 72 | 14,479 | ||||||
Loss from discontinued operations allocable to noncontrolling interests | – | 150 | ||||||
Net income to common shareholders from discontinued operations | $ | 72 | $ | 14,629 | ||||
CONSOLIDATED_FUNDS_AND_VENTURE1
CONSOLIDATED FUNDS AND VENTURES (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Consolidated Funds and Ventures [Abstract] | |||||||||
Schedule of More Information Related to Assets Consolidated Fund or Venture [Table Text Block] | The following section provides more information related to the assets of the consolidated LIHTC Funds at March 31, 2015 and December 31, 2014. | ||||||||
(in thousands) | March 31, | December 31, | |||||||
2015 | 2014 | ||||||||
Cash, cash equivalents and restricted cash | $ | 23,876 | $ | 24,186 | |||||
Investments in Lower Tier Property Partnerships | 219,007 | 231,204 | |||||||
Other assets | 10,577 | 11,128 | |||||||
Total assets of consolidated LIHTC Funds | $ | 253,460 | $ | 266,518 | |||||
Assets and Liabilities of Unconsolidated Funds and Ventures [Table Text Block] | The following table provides the assets and liabilities of the LTPPs at March 31, 2015 and December 31, 2014: | ||||||||
(in thousands) | March 31, | December 31, | |||||||
2015 | 2014 | ||||||||
LIHTC Funds’ investment in Lower Tier Property Partnerships | $ | 219,007 | $ | 231,204 | |||||
Total assets of Lower Tier Property Partnerships(1) | $ | 1,261,665 | $ | 1,273,903 | |||||
Total liabilities of Lower Tier Property Partnerships (1) | 1,039,414 | 1,035,695 | |||||||
-1 | The assets of the LTPPs are primarily real estate and the liabilities are predominantly mortgage debt. | ||||||||
Schedule of More Information Related to Liabilities Consolidated Fund and Venture [Table Text Block] | The following section provides more information related to the liabilities of the consolidated LIHTC Funds at March 31, 2015 and December 31, 2014. | ||||||||
(in thousands) | March 31, | December 31, | |||||||
2015 | 2014 | ||||||||
Debt (1) | $ | 6,712 | $ | 6,712 | |||||
Unfunded equity commitments to unconsolidated Lower Tier Property Partnerships | 9,597 | 9,597 | |||||||
Other liabilities (2) | 32,747 | 31,831 | |||||||
Total liabilities of consolidated LIHTC Funds | $ | 49,056 | $ | 48,140 | |||||
-1 | At March 31, 2014 and December 31, 2014, this debt had a face amount equal to its carrying value, a weighted average effective interest rate of 5.3%, and was due on demand. | ||||||||
-2 | Represents asset management fee obligations of the LIHTC Funds. | ||||||||
Schedule of Income Statement of Consolidated Funds and Ventures [Table Text Block] | The following section provides more information related to the income statement of the CFVs for the three months ended March 31, 2015 and 2014. | ||||||||
For the three months ended | |||||||||
March 31, | |||||||||
(in thousands) | 2015 | 2014 | |||||||
Revenue: | |||||||||
Rental and other income from real estate | $ | – | $ | 3,624 | |||||
Interest and other income | 67 | 1,426 | |||||||
Total revenue from CFVs | 67 | 5,050 | |||||||
Expenses: | |||||||||
Depreciation and amortization | 552 | 2,218 | |||||||
Interest expense | 88 | 1,069 | |||||||
Other operating expenses | 1,139 | 2,952 | |||||||
Foreign currency loss | – | 410 | |||||||
Asset impairments | 7,537 | 5,000 | |||||||
Total expenses from CFVs | 9,316 | 11,649 | |||||||
Net gains (losses) related to CFVs: | |||||||||
Investment gains | – | 4,867 | |||||||
Derivative losses | – | -58 | |||||||
Equity in losses from Lower Tier Property Partnerships of CFVs | -5,693 | -7,428 | |||||||
Net loss | -14,942 | -9,218 | |||||||
Net losses allocable to noncontrolling interests in CFVs (1) | 14,304 | 9,853 | |||||||
Net (loss) income allocable to the common shareholders related to CFVs | $ | -638 | $ | 635 | |||||
-1 | Excludes $56,322 of net loss allocable to the minority interest holder in IHS for the three months ended March 31, 2014. These amounts are excluded from this presentation because IHS related activity is not included within CFV income statement activity above. There were no losses allocable to the minority interest holder in IHS for the three months ended March 31, 2015. | ||||||||
Schedule of Net Income to Shareholders Related to Consolidated Funds and Ventures [Table Text Block] | The details of Net (loss) income allocable to the common shareholders related to CFVs for the three months ended March 31, 2015 and 2014 are as follows: | ||||||||
For the three months ended | |||||||||
March 31, | |||||||||
(in thousands) | 2015 | 2014 | |||||||
Asset management fees | $ | – | $ | 841 | |||||
Interest income | – | 343 | |||||||
Guarantee fees | 331 | 331 | |||||||
Equity in losses from Lower Tier Property Partnerships | -969 | -949 | |||||||
Equity in income from SAWHF | – | 128 | |||||||
Other expense | – | -59 | |||||||
Net (loss) income allocable to the common shareholders related to CFVs | $ | -638 | $ | 635 | |||||
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||
Schedule Of Income Statement By Reporting Segments [Table Text Block] | Beginning in 2015, the Company operated through three reportable segments: U.S. Operations, International Operations and Corporate Operations. We have revised the presentation for the three months ended March 31, 2014 based on these segments, which had no impact on Net income (loss) to common shareholders. | |||||||||||||||||||
For the three months ended March 31, 2015 | ||||||||||||||||||||
(in thousands) | U.S. | International | Corporate | CFVs | Income | MMA | ||||||||||||||
Operations | Operations | Allocation | Consolidated | |||||||||||||||||
Reclasses | ||||||||||||||||||||
Total interest income | $ | 4,041 | $ | 19 | $ | 13 | $ | – | $ | – | $ | 4,073 | ||||||||
Total interest expense | -329 | – | -145 | – | – | -474 | ||||||||||||||
Net interest income | 3,712 | 19 | -132 | – | – | 3,599 | ||||||||||||||
Total fee and other income | 2,054 | 1,230 | 488 | – | -331 | -1 | 3,441 | |||||||||||||
Revenue from CFVs | – | – | – | 67 | – | 67 | ||||||||||||||
Total non-interest revenue | 2,054 | 1,230 | 488 | 67 | -331 | 3,508 | ||||||||||||||
Total revenues, net of interest expense | 5,766 | 1,249 | 356 | 67 | -331 | 7,107 | ||||||||||||||
Operating and other expenses: | ||||||||||||||||||||
Interest expense | -515 | -29 | -2,652 | – | – | -3,196 | ||||||||||||||
Operating expenses | -1,612 | -2,082 | -1,585 | – | – | -5,279 | ||||||||||||||
Other expenses, net | -258 | 254 | -103 | – | – | -107 | ||||||||||||||
Expenses from CFVs | – | – | – | -9,647 | 331 | -1 | -9,316 | |||||||||||||
Total operating and other expenses | -2,385 | -1,857 | -4,340 | -9,647 | 331 | -17,898 | ||||||||||||||
Net gains on assets, derivatives and extinguishment of liabilities | 1,568 | – | – | – | – | 1,568 | ||||||||||||||
Equity in (losses) income from unconsolidated funds and ventures | -9 | 82 | – | – | – | 73 | ||||||||||||||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -969 | -2 | – | – | -4,724 | -2 | – | -5,693 | ||||||||||||
Income (loss) from continuing operations before income taxes | 3,971 | -526 | -3,984 | -14,304 | – | -14,843 | ||||||||||||||
Income tax benefit | – | – | 146 | – | – | 146 | ||||||||||||||
Income (loss) from discontinued operations, net of tax | 78 | – | -6 | – | – | 72 | ||||||||||||||
Net income (loss) | 4,049 | -526 | -3,844 | -14,304 | – | -14,625 | ||||||||||||||
Income allocable to noncontrolling interests: | ||||||||||||||||||||
Net losses allocable to noncontrolling interests in CFVs: | ||||||||||||||||||||
Related to continuing operations | – | – | – | 14,304 | – | 14,304 | ||||||||||||||
Net income (loss) to common shareholders | $ | 4,049 | $ | -526 | $ | -3,844 | $ | – | $ | – | $ | -321 | ||||||||
-1 | Represents guarantee fees related to the Company’s LIHTC Funds, which were recognized during the first quarter of 2015 through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, are included in total fee and other income for U.S. Operations. | |||||||||||||||||||
-2 | Represents equity in losses from the Lower Tier Property Partnerships that the Company recognized as an allocation (see Note 15, “Consolidated Funds and Ventures”) because of bonds held by the Company associated with the LTTPs in situations where the carrying amount of the limited partnership investment had reached zero. For purposes of the table above, the Company recognized $1.0 million of losses in U.S. Operations and reduced the CFVs losses by the same amount. | |||||||||||||||||||
For the three months ended March 31, 2014 | ||||||||||||||||||||
(in thousands) | U.S. | International | Corporate | CFVs | Income | MMA | ||||||||||||||
Operations | Operations | Allocation | Consolidated | |||||||||||||||||
Reclasses | ||||||||||||||||||||
Total interest income | $ | 5,638 | $ | 10 | $ | – | $ | – | $ | -343 | -1 | $ | 5,305 | |||||||
Total interest expense | -1,016 | – | -187 | – | – | -1,203 | ||||||||||||||
Net interest income | 4,622 | 10 | -187 | – | -343 | 4,102 | ||||||||||||||
Total fee and other income | 2,246 | 1,046 | 30 | – | -1,172 | -2 | 2,150 | |||||||||||||
Revenue from CFVs | – | – | – | 5,050 | – | 5,050 | ||||||||||||||
Total non-interest revenue | 2,246 | 1,046 | 30 | 5,050 | -1,172 | 7,200 | ||||||||||||||
Total revenues, net of interest expense | 6,868 | 1,056 | -157 | 5,050 | -1,515 | 11,302 | ||||||||||||||
Operating and other expenses: | ||||||||||||||||||||
Interest expense | -805 | -37 | -2,731 | – | – | -3,573 | ||||||||||||||
Operating expenses | -1,891 | -1,705 | -2,078 | – | – | -5,674 | ||||||||||||||
Other expenses | -732 | -33 | -95 | – | 59 | -3 | -801 | |||||||||||||
Expenses from CFVs | – | – | – | -13,233 | 1,584 | -5 | -11,649 | |||||||||||||
Total operating and other expenses | -3,428 | -1,775 | -4,904 | -13,233 | 1,643 | -21,697 | ||||||||||||||
Net losses on assets, derivatives and extinguishment of liabilities | -365 | – | – | – | – | -365 | ||||||||||||||
Net gains transferred into net income from AOCI due to real estate foreclosure | 2,003 | – | – | – | – | 2,003 | ||||||||||||||
Equity in losses from unconsolidated funds and ventures | -62 | -48 | – | – | – | -110 | ||||||||||||||
Net gains related to CFVs | – | – | – | 4,809 | – | 4,809 | ||||||||||||||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -949 | -6 | 128 | – | -6,479 | -6 | -128 | -4 | -7,428 | |||||||||||
Income (loss) from continuing operations before income taxes | 4,067 | -639 | -5,061 | -9,853 | – | -11,486 | ||||||||||||||
Income tax benefit | – | – | 554 | – | – | 554 | ||||||||||||||
Income (loss) from discontinued operations, net of tax | 15,133 | – | -504 | -150 | – | 14,479 | ||||||||||||||
Net income (loss) | 19,200 | -639 | -5,011 | -10,003 | – | 3,547 | ||||||||||||||
Loss allocable to noncontrolling interests: | ||||||||||||||||||||
Net losses allocable to noncontrolling interests in CFVs: | ||||||||||||||||||||
Related to continuing operations | – | 56 | – | 9,853 | – | 9,909 | ||||||||||||||
Related to discontinued operations | – | – | – | 150 | – | 150 | ||||||||||||||
Net income (loss) to common shareholders | $ | 19,200 | $ | -583 | $ | -5,011 | $ | – | $ | – | $ | 13,606 | ||||||||
-1 | Represents interest on bonds that the Company recognized through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, the $0.3 million is reflected in total interest income for the U.S. Operations. | |||||||||||||||||||
-2 | This amount includes $0.7 million of asset management fees recognized by IHS through an income allocation (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, the $0.7 million is reflected in total fee and other income for International Operations. This amount also includes $0.2 million of asset management fees and $0.3 million of guarantee fees both related to the Company’s LIHTC Funds and both recognized during the first quarter of 2014 through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, both are included in total fee and other income for U.S. Operations. | |||||||||||||||||||
-3 | Represents net expenses recognized by the Company through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, these expenses are reflected as additional other expenses for U.S. Operations. | |||||||||||||||||||
-4 | Represents the Company’s share of its equity interest in the SAWHF (i.e., 2.7% of the SAWHF’s first quarter of 2014 net income) which is recognized through an allocation of income (see Note 15, “Consolidated Funds and Ventures”) and for purposes of the table above, the $0.1 million is reflected as equity in income of unconsolidated ventures for International Operations. | |||||||||||||||||||
-5 | Represents net expenses of CFVs that were eliminated in consolidation because they were payments or income allocations to MMA. | |||||||||||||||||||
-6 | Represents equity in losses from the Lower Tier Property Partnerships that the Company recognized as an allocation (see Note 15, “Consolidated Funds and Ventures”) because of bonds held by the Company associated with the LTPPs in situations where the carrying amount of the limited partnership investment had reached zero. For purposes of the table above, the Company recognized $0.9 million of losses in U.S. Operations and reduced the CFVs losses by the same amount. | |||||||||||||||||||
Schedule of Total Assets by Reporting Segments [Table Text Block] | The total assets by segment at March 31, 2015 and December 31, 2014 are presented in the table below: | |||||||||||||||||||
(in thousands) | March 31, | December 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
ASSETS | ||||||||||||||||||||
U.S. Operations | $ | 363,641 | $ | 362,991 | ||||||||||||||||
Corporate Operations | 30,066 | 28,981 | ||||||||||||||||||
International Operations | 10,383 | 10,645 | ||||||||||||||||||
Total segment assets | 404,090 | 402,617 | ||||||||||||||||||
Other adjustments | -389 | -389 | ||||||||||||||||||
Assets of CFVs | 253,460 | 266,518 | ||||||||||||||||||
Total MMA consolidated assets | $ | 657,161 | $ | 668,746 | ||||||||||||||||
DESCRIPTION_OF_THE_BUSINESS_AN1
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION (Details Textual) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Mar. 31, 2015 | 1-May-15 |
Organization, Consolidation and Presentation of Financial Statements [Line Items] | |||
Debt Issuance Cost | $2.90 | ||
IHS [Member] | |||
Organization, Consolidation and Presentation of Financial Statements [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 96.00% | ||
IHS [Member] | Subsequent Event [Member] | |||
Organization, Consolidation and Presentation of Financial Statements [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 100.00% |
BONDS_AVAILABLEFORSALE_Details
BONDS AVAILABLE-FOR-SALE (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | ||
Unpaid Principal Balance | $244,368 | $249,124 | ||
Amortized Cost | 160,626 | [1] | 165,665 | [1] |
Gross Unrealized Gains | 60,285 | 58,092 | ||
Gross Unrealized Losses | -782 | [2],[3] | -858 | [4],[5] |
Fair Value | 220,129 | 222,899 | ||
Mortgage Revenue Bonds [Member] | ||||
Unpaid Principal Balance | 191,203 | 192,068 | ||
Amortized Cost | 125,683 | [1] | 126,897 | [1] |
Gross Unrealized Gains | 43,328 | 41,145 | ||
Gross Unrealized Losses | -782 | [2],[3] | -858 | [4],[5] |
Fair Value | 168,229 | 167,184 | ||
Other Bonds [Member] | ||||
Unpaid Principal Balance | 53,165 | 57,056 | ||
Amortized Cost | 34,943 | [1] | 38,768 | [1] |
Gross Unrealized Gains | 16,957 | 16,947 | ||
Gross Unrealized Losses | 0 | [2],[3] | 0 | [4],[5] |
Fair Value | $51,900 | $55,715 | ||
[1] | Represents the UPB, net of discounts, deferred costs and fees as well as impairments recognized in earnings. | |||
[2] | At March 31, 2015, $0.6 million represents the non-credit loss component for certain unrealized losses deemed to be other-than-temporarily impaired and $0.2 million represents unrealized losses that were not considered other-than-temporarily impaired. | |||
[3] | Represents bonds in a gross unrealized loss position for less than 12 consecutive months that had a fair value of $1.8 million at March 31, 2015, as well as bonds in a gross unrealized loss position for more than 12 consecutive months that had a fair value of $6.1 million at March 31, 2015. | |||
[4] | At December 31, 2014, $0.6 million represents the non-credit loss component for certain unrealized losses deemed to be other-than-temporarily impaired and $0.3 million represents unrealized losses that were not considered other-than-temporarily impaired. | |||
[5] | Represents bonds in a gross unrealized loss position for less than 12 consecutive months that had a fair value of $1.8 million at December 31, 2014, as well as bonds in a gross unrealized loss position for more than 12 consecutive months that had a fair value of $6.0 million at December 31, 2014. |
BONDS_AVAILABLEFORSALE_Details1
BONDS AVAILABLE-FOR-SALE (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Amortized Cost, Bonds that may be prepaid without restrictions, premiums or penalties at March 31, 2015 | ||
Amortized Cost, March 31, 2015 | $24,789 | |
Amortized Cost, April 1 through December 31, 2015 | 0 | |
Amortized Cost, 2016 | 10,154 | |
Amortized Cost, 2017 | 0 | |
Amortized Cost, 2018 | 7,335 | |
Amortized Cost, 2019 | 0 | |
Amortized Cost, Thereafter | 118,050 | |
Amortized Cost, Bonds that may not be prepaid | 298 | |
Amortized Cost, Total | 160,626 | |
Fair Value, Bonds that may be prepaid without restrictions, premiums or penalties at March 31, 2015 | ||
Fair Value, March 31, 2015 | 41,058 | |
Fair Value, April 1 through December 31, 2015 | 0 | |
Fair Value, 2016 | 13,548 | |
Fair Value, 2017 | 0 | |
Fair Value, 2018 | 8,384 | |
Fair Value, 2019 | 0 | |
Fair Value, Thereafter | 156,832 | |
Fair Value, Bonds that may not be prepaid | 307 | |
Fair Value, Total | $220,129 | $222,899 |
BONDS_AVAILABLEFORSALE_Details2
BONDS AVAILABLE-FOR-SALE (Details 2) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Total current | $176,361 | $179,315 |
30-59 days past due | 0 | 0 |
60-89 days past due | 0 | 0 |
90 days or greater | 43,768 | 43,584 |
Total | $220,129 | $222,899 |
BONDS_AVAILABLEFORSALE_Details3
BONDS AVAILABLE-FOR-SALE (Details 3) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Gains recognized at time of sale | $583 | $0 |
BONDS_AVAILABLEFORSALE_Details4
BONDS AVAILABLE-FOR-SALE (Details Textual) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Non Accrual Bonds | $43.80 | $43.60 | |
Non Accrual Bonds Interest Income Cash Basis Method | 0.5 | 3 | |
Interest Income Non Accrual Bonds Not Recognized | 1.1 | 1.4 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 1.8 | 1.8 | |
Available-for-sale Securities, Debt Maturities, after Ten Years, Amortized Cost Basis | 16.5 | ||
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 24.4 | ||
Available For Sale Debt Securities Gross Unrealized Losses Excluding Other Than Temporary Impairments | 0.2 | 0.3 | |
Increase Decrease in Fair Value Of Bonds | 2.8 | ||
Other Than Temporary Impairment Loss Investments Available for sale Securities | 0.6 | 0.6 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 6.1 | 6 | |
Proceeds From Sale or Redemption Of Available For Sale Securities | 0.6 | ||
Subordinate Bonds [Member] | |||
Subordinate Bond Investments Fair Value | 29.9 | ||
Subordinate Bond Investments Unpaid Principal Balance | $39.90 |
INVESTMENTS_IN_PREFERRED_STOCK1
INVESTMENTS IN PREFERRED STOCK (Details Textual) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | |
Preferred Stock, Dividend Rate, Percentage | 14.40% | |
Investment in preferred stock, Carrying value | $31,371,000 | $31,371,000 |
Investment in preferred stock, Estimated fair value | 36,600,000 | |
TRS Financing Arrangements [Member] | ||
Notes Payable, Current | $25,000,000 | |
Debt Instrument, Maturity Date | 31-Mar-16 |
REAL_ESTATE_Details
REAL ESTATE (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Real Estate Held-for-Use | $2,619 | $18,417 |
Real estate held-for-sale | $25,954 | $10,145 |
REAL_ESTATE_Details_Textual
REAL ESTATE (Details Textual) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Subsequent Event [Member] | ||
Proceeds from Sale of Real Estate | $12.30 | |
Gain (Loss) on Disposition of Real Estate, Discontinued Operations | 0.5 | |
Multifamily Property [Member] | ||
Transfer of investment from real estate held-for-use to real estate held-for-sale | 12.2 | |
Undeveloped Land One [Member] | ||
Transfer of investment from real estate held-for-use to real estate held-for-sale | $3.60 |
OTHER_ASSETS_Details
OTHER ASSETS (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Thousands, unless otherwise specified | ||||
Other assets: | ||||
Loan receivable held-for-investment | $22,415 | $22,392 | ||
Derivative assets | 3,384 | 2,726 | ||
Accrued interest and dividends receivable | 2,421 | 2,672 | ||
Asset management fees receivable | 2,909 | 2,454 | ||
Other assets | 2,007 | 2,219 | ||
Total other assets | 74,705 | 74,902 | ||
Real Estate Partnership [Member] | ||||
Other assets: | ||||
Investments | 22,554 | 22,529 | ||
Consolidated Funds and Ventures [Member] | ||||
Other assets: | ||||
Other assets | 10,577 | [1] | 11,128 | [1] |
Solar Facilities [Member] | ||||
Other assets: | ||||
Other assets | 3,086 | 3,093 | ||
IHS Funds and Ventures [Member] | ||||
Other assets: | ||||
Investments | $5,352 | $5,689 | ||
[1] | For more information see Note 15, “Consolidated Funds and Ventures.†|
OTHER_ASSETS_Details_1
OTHER ASSETS (Details 1) (Investment in Real Estate Partnership [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Investment in Real Estate Partnership [Member] | ||
Investment in a real estate partnership: | ||
Total assets (primarily real estate) | $83,326 | $83,021 |
Total liabilities | $35,469 | $34,856 |
OTHER_ASSETS_Details_2
OTHER ASSETS (Details 2) (Investment in Real Estate Partnership [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Investment in Real Estate Partnership [Member] | ||
Net loss | ($302) | ($186) |
OTHER_ASSETS_Details_3
OTHER ASSETS (Details 3) (IHS Funds and Ventures [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
IHS Funds and Ventures [Member] | ||
Total assets | $277,708 | $276,007 |
Total liabilities | $111,082 | $104,863 |
OTHER_ASSETS_Details_4
OTHER ASSETS (Details 4) (IHS Funds and Ventures [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
IHS Funds and Ventures [Member] | ||
Net income | $1,747 | $100 |
OTHER_ASSETS_Details_5
OTHER ASSETS (Details 5) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Cost basis | $40,186 | $40,163 |
Allowance for loan losses | -17,771 | -17,771 |
Loans held for investment, net | $22,415 | $22,392 |
OTHER_ASSETS_Details_Textual
OTHER ASSETS (Details Textual) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | |
Loans and Leases Receivable Unpaid Principal Balance | $40,800,000 | $40,900,000 |
Loans and Leases Receivable, Deferred Income | 600,000 | 700,000 |
Impaired Loan Receivable, Unpaid Principal Balance | 18,400,000 | 18,400,000 |
Equity Method Investments | 31,371,000 | 31,371,000 |
Interest and Fee Income, Loans and Leases | 500,000 | |
Investment in Real Estate Partnerships [Member] | ||
Equity Method Investment, Ownership Percentage | 80.00% | |
Equity Method Investments | 16,200,000 | |
Real Estate Investments, Net | 6,400,000 | |
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions | 33.00% | |
Payments to Acquire Equity Method Investments | 8,800,000 | |
SAWHF [Member] | ||
Equity Method Investments | 3,600,000 | |
IHS Residential Partners One [Member] | ||
Equity Method Investments | 1,800,000 | |
IHS Funds and Ventures [Member] | ||
Real Estate Investments, Net | 5,352,000 | 5,689,000 |
IHS Funds and Ventures [Member] | Minimum [Member] | ||
Equity Method Investment, Ownership Percentage | 2.00% | |
IHS Funds and Ventures [Member] | Maximum [Member] | ||
Equity Method Investment, Ownership Percentage | 5.00% | |
LIHTC Asset Management Operations [Member] | Off-Balance Sheet [Member] | ||
Sale Price Of Off Balance Sheet Loan Receivables | 15,900,000 | |
Interest and Fee Income, Loans and Leases | 300,000 | |
LIHTC Asset Management Operations [Member] | Bridge Loan [Member] | ||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | |
Debt Instrument Extension Fee Percentage | 1.00% | |
Debt Instrument, Maturity Date | 31-Mar-15 | |
Extension Fee | 200,000 | |
Legal Principal Balance of Loan Receivable | 17,300,000 | |
Loans and Leases Receivable Basis | 14,400,000 | |
LIHTC Asset Management Operations [Member] | Term Loan [member] | ||
Debt Instrument, Interest Rate, Stated Percentage | 12.00% | |
Debt Instrument, Maturity Date | 30-Sep-24 | |
Debt Instrument, Interest Rate Terms | 8% is to be paid quarterly and 4% is payable at the loans maturity | |
Legal Principal Balance of Loan Receivable | 13,200,000 | |
Loans and Leases Receivable Basis | $200,000 |
DEBT_Details
DEBT (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Thousands, unless otherwise specified | ||||
Debt, Carrying Value | $293,308 | $290,543 | ||
Debt, Weighted-Average Effective Interest Rate | 4.90% | 5.00% | ||
Subordinated Debt [Member] | ||||
Debt, Carrying Value | 149,653 | |||
Asset Related Debt [Member] | ||||
Debt, Carrying Value | 106,702 | [1] | 93,402 | [1] |
Debt, Weighted-Average Effective Interest Rate | 1.80% | [1] | 2.00% | [1] |
Asset Related Debt [Member] | Bond Related Debt [Member] | Due Within One Year [Member] | ||||
Outstanding Debt Balances, Current | 1,301 | [1],[2] | 776 | [1],[2] |
Debt, Weighted-Average Effective Interest Rate | 1.50% | [1],[2] | 1.40% | [1],[2] |
Asset Related Debt [Member] | Bond Related Debt [Member] | Due After One Year [Member] | ||||
Long Term Debt, Excluding Current Maturities | 99,944 | [1],[2] | 86,499 | [1],[2] |
Debt, Weighted-Average Effective Interest Rate | 1.40% | [1],[2] | 1.40% | [1],[2] |
Asset Related Debt [Member] | Non Bond Related Debt [Member] | Due Within One Year [Member] | ||||
Outstanding Debt Balances, Current | 1,383 | [1] | 1,753 | [1] |
Debt, Weighted-Average Effective Interest Rate | 9.80% | [1] | 9.80% | [1] |
Asset Related Debt [Member] | Non Bond Related Debt [Member] | Due After One Year [Member] | ||||
Long Term Debt, Excluding Current Maturities | 4,074 | [1] | 4,374 | [1] |
Debt, Weighted-Average Effective Interest Rate | 10.00% | [1] | 10.00% | [1] |
Other Debt [Member] | ||||
Debt, Carrying Value | 179,894 | [1] | 190,429 | [1] |
Debt, Weighted-Average Effective Interest Rate | 6.70% | [1] | 6.50% | [1] |
Other Debt [Member] | Notes Payable and Other Debt [Member] | Due Within One Year [Member] | ||||
Outstanding Debt Balances, Current | 26,074 | [1] | 37,811 | [1] |
Debt, Weighted-Average Effective Interest Rate | 4.50% | [1] | 4.40% | [1] |
Other Debt [Member] | Notes Payable and Other Debt [Member] | Due After One Year [Member] | ||||
Long Term Debt, Excluding Current Maturities | 4,167 | [1] | 4,637 | [1] |
Debt, Weighted-Average Effective Interest Rate | 2.70% | [1] | 2.80% | [1] |
Other Debt [Member] | Subordinated Debt [Member] | Due Within One Year [Member] | ||||
Outstanding Debt Balances, Current | 16,032 | [1],[3] | 14,088 | [1],[3] |
Debt, Weighted-Average Effective Interest Rate | 7.00% | [1],[3] | 7.00% | [1],[3] |
Other Debt [Member] | Subordinated Debt [Member] | Due After One Year [Member] | ||||
Long Term Debt, Excluding Current Maturities | 133,621 | [1],[3] | 133,893 | [1],[3] |
Debt, Weighted-Average Effective Interest Rate | 7.20% | [1],[3] | 7.20% | [1],[3] |
Debt Related to Consolidated Funds and Ventures [Member] | ||||
Debt, Carrying Value | 6,712 | [4] | 6,712 | [4] |
Debt, Weighted-Average Effective Interest Rate | 5.30% | [4] | 5.30% | [4] |
Debt Related to Consolidated Funds and Ventures [Member] | Due Within One Year [Member] | ||||
Outstanding Debt Balances, Current | 6,712 | [4] | 6,712 | [4] |
Debt, Weighted-Average Effective Interest Rate | 5.30% | [4] | 5.30% | [4] |
Debt Related to Consolidated Funds and Ventures [Member] | Due After One Year [Member] | ||||
Long Term Debt, Excluding Current Maturities | 0 | [4] | 0 | [4] |
Debt, Weighted-Average Effective Interest Rate | 0.00% | [4] | 0.00% | [4] |
Asset Related Debt And Other Debt [Member] | ||||
Debt, Carrying Value | $286,596 | [1] | $283,831 | [1] |
Debt, Weighted-Average Effective Interest Rate | 4.90% | [1] | 5.00% | [1] |
[1] | Asset related debt is debt which finances interest-bearing assets and the interest expense from this debt is included in “Net interest income†on the consolidated statements of operations. Other debt is debt which does not finance interest-bearing assets and the interest expense from this debt is included in “Interest expense†under “Operating and other expenses†on the consolidated statements of operations. | |||
[2] | Included in notes payable and other debt – bond related are unamortized debt issuance costs of $0.1 million and less than $0.1 million at March 31, 2015 and December 31, 2014, respectively. | |||
[3] | The subordinate debt balances include a net adjustment of $9.2 million and $7.2 million at March 31, 2015 and December 31, 2014, respectively. These adjustments are comprised of net premiums due to effective interest adjustments of $12.0 million and $10.1 million at March 31, 2015 and December 31, 2014, respectively, offset by debt issuance costs of $2.8 million at March 31, 2015 and December 31, 2014. | |||
[4] | This debt is related to one of the consolidated LIHTC Funds that was reinstated during the fourth quarter of 2014 because the related mortgage note receivable was assigned from MMA to a third party. |
DEBT_Details_1
DEBT (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
2015 | $25,591 | |
2016 | 41,099 | |
2017 | 14,438 | |
2018 | 67,081 | |
2019 | 11,509 | |
Thereafter | 124,554 | |
Net premium and debt issue costs | 9,036 | |
Total | 293,308 | 290,543 |
Asset Related Debt And Other Debt [Member] | ||
2015 | 18,879 | |
2016 | 41,099 | |
2017 | 14,438 | |
2018 | 67,081 | |
2019 | 11,509 | |
Thereafter | 124,554 | |
Net premium and debt issue costs | 9,036 | |
Total | 286,596 | |
Consolidated Funds and Ventures [Member] | ||
2015 | 6,712 | |
2016 | 0 | |
2017 | 0 | |
2018 | 0 | |
2019 | 0 | |
Thereafter | 0 | |
Net premium and debt issue costs | 0 | |
Total | $6,712 | $6,712 |
DEBT_Details_2
DEBT (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Net Premium and Debt Issuance Costs | $9,036 | |
Carrying Value | 293,308 | 290,543 |
Subordinated Debt [Member] | ||
Principal | 140,444 | |
Net Premium and Debt Issuance Costs | 9,209 | |
Carrying Value | 149,653 | |
Subordinated Debt [Member] | MFI issuer [Member] | ||
Principal | 28,515 | |
Net Premium and Debt Issuance Costs | -171 | |
Carrying Value | 28,344 | |
Interim Principal Payments | Amortizing | |
Maturity Date | December 2027 and December 2033 | |
Coupon Interest Rate | 8.00% | |
Subordinated Debt [Member] | MFH Issuer 1 [Member] | ||
Principal | 33,286 | |
Net Premium and Debt Issuance Costs | 3,031 | |
Carrying Value | 36,317 | |
Interim Principal Payments | $4,689 due March 2015 | |
Maturity Date | 30-Mar-35 | |
Coupon Interest Rate | 0.75% to March 2015, then 3-month LIBOR plus 3.3% | |
Subordinated Debt [Member] | MFH Issuer 2 [Member] | ||
Principal | 30,116 | |
Net Premium and Debt Issuance Costs | 2,545 | |
Carrying Value | 32,661 | |
Interim Principal Payments | $4,242 due May 2015 | |
Maturity Date | 30-Apr-35 | |
Coupon Interest Rate | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |
Subordinated Debt [Member] | MFH Issuer 3 [Member] | ||
Principal | 17,219 | |
Net Premium and Debt Issuance Costs | 1,350 | |
Carrying Value | 18,569 | |
Interim Principal Payments | $2,305 due May 2015 | |
Maturity Date | 30-Jul-35 | |
Coupon Interest Rate | 0.75% to April 2015, then 3-month LIBOR plus 3.3% | |
Subordinated Debt [Member] | MFH Issuer 4 [Member] | ||
Principal | 31,308 | |
Net Premium and Debt Issuance Costs | 2,454 | |
Carrying Value | $33,762 | |
Interim Principal Payments | $4,191 due May 2015 | |
Maturity Date | 30-Jul-35 | |
Coupon Interest Rate | 0.75% to April 2015, then 3-month LIBOR plus 3.3% |
DEBT_Details_Textual
DEBT (Details Textual) (USD $) | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |||
Interest expense | $474,000 | [1] | $1,203,000 | [1] | |
Debt Issuance Cost | 2,900,000 | ||||
Subsequent Event [Member] | |||||
Repayments of Subordinated Debt | 15,400,000 | ||||
TRS Financing Arrangements [Member] | |||||
Debt Instrument, Maturity Date | 31-Mar-16 | ||||
Long-term Debt, Gross | 25,000,000 | ||||
Notes Payable and Other Debt [Member] | |||||
Debt Instrument, Interest Rate During Period | 4.30% | ||||
Debt Instrument, Description of Variable Rate Basis | The debt is non-amortizing and bears an interest rate of 3-month LIBOR plus 400 bps | ||||
Repayments of Long-term Debt | 11,600,000 | ||||
Debt Instrument, Maturity Date | 31-Mar-16 | ||||
Subordinated Debt [Member] | |||||
Net Premium and Debt Issuance Costs | 9,200,000 | 7,200,000 | |||
Interest expense | 2,700,000 | 2,500,000 | |||
Debt Issuance Cost | 2,800,000 | 2,800,000 | |||
Debt Instrument, Increase (Decrease), Net | 12,000,000 | 10,100,000 | |||
Bond Related Debt [Member] | |||||
Underlying Bond Notional Amount | 17,500,000 | ||||
Underlying Bond Interest Rate | 6.75% | ||||
Bond Related Debt [Member] | Notes Payable and Other Debt [Member] | |||||
Debt Instrument, Unamortized Discount | 100,000 | 100,000 | |||
Interest expense | 300,000 | 1,000,000 | |||
Asset Related Debt And Other Debt [Member] | |||||
Debt Instrument, Debt Default, Amount | $1,100,000 | ||||
[1] | Represents interest expense related to debt which finances interest-bearing assets. See Note 6, “Debt.†|
DERIVATIVE_FINANCIAL_INSTRUMEN2
DERIVATIVE FINANCIAL INSTRUMENTS (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | $3,384 | $2,726 |
Derivative Liability | 1,359 | 753 |
Total return swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | 3,276 | 2,539 |
Derivative Liability | 592 | 35 |
Interest rate cap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | 108 | 187 |
Derivative Liability | 0 | 0 |
Interest rate swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | $767 | $718 |
DERIVATIVE_FINANCIAL_INSTRUMEN3
DERIVATIVE FINANCIAL INSTRUMENTS (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | $139,132 | $142,933 |
Total return swaps [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 86,401 | 90,184 |
Interest rate cap [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 45,000 | 45,000 |
Interest rate swap [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | $7,231 | $7,749 |
DERIVATIVE_FINANCIAL_INSTRUMEN4
DERIVATIVE FINANCIAL INSTRUMENTS (Details 2) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss) on Derivative, Net | $985 | ($356) | ||
Total return swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss) on Derivative, Net | 1,191 | [1] | 0 | [1] |
Interest rate cap [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss) on Derivative, Net | -79 | -251 | ||
Interest rate swap [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss) on Derivative, Net | ($127) | [2] | ($105) | [2] |
[1] | The cash paid and received on TRSs designated as derivatives is settled on a net basis and recorded through “Net gains (losses) on assets and derivatives.†Net cash received was $1.0 million for the three months ended March 31, 2015. | |||
[2] | The cash paid and received on the interest rate swap is settled on a net basis and recorded through “Net gains (losses) on assets and derivatives.†Net cash paid was $0.1 million for the three months ended March 31, 2015 and 2014. |
DERIVATIVE_FINANCIAL_INSTRUMEN5
DERIVATIVE FINANCIAL INSTRUMENTS (Details Textual) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Net Interest Payments on Derivatives | $100,000 | $100,000 | |
Derivative, Notional Amount | 139,132,000 | 142,933,000 | |
Net Interest receipts On Derivatives | 1,000,000 | ||
Interest Rate Swap [Member] | |||
Derivative, Notional Amount | 7,231,000 | 7,749,000 | |
Derivative, Fixed Interest Rate | 6.50% | ||
Interest Rate Cap [Member] | |||
Derivative, Notional Amount | 45,000,000 | 45,000,000 | |
Derivative, Maturity Date | 2-Jan-19 | ||
Debt instrument floating rate | 45,000,000 | ||
Total return swaps [Member] | |||
Derivative, Notional Amount | 86,401,000 | 90,184,000 | |
Derivative, Fixed Interest Rate | 6.00% | ||
Derivative, Average Variable Interest Rate | 1.40% | ||
Underlying Bond Notional Amount | $85,100,000 |
FINANCIAL_INSTRUMENTS_Details
FINANCIAL INSTRUMENTS (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments in preferred stock, Carrying Amount | $31,371 | $31,371 |
Investments in preferred stock, Fair Value | 36,600 | |
Loans receivable, Carrying Amount | 22,587 | 22,564 |
Long Term Debt, Carrying Amount | 293,308 | 290,543 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments in preferred stock, Fair Value | 0 | 0 |
Loans receivable, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments in preferred stock, Fair Value | 0 | 0 |
Loans receivable, Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments in preferred stock, Fair Value | 36,613 | 36,613 |
Loans receivable, Fair Value | 21,779 | 21,689 |
Notes Payable and Other Debt [Member] | Bond Related Debt [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Carrying Amount | 101,245 | 87,275 |
Notes Payable and Other Debt [Member] | Bond Related Debt [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Notes Payable and Other Debt [Member] | Bond Related Debt [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Notes Payable and Other Debt [Member] | Bond Related Debt [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 101,377 | 87,325 |
Notes Payable and Other Debt [Member] | Non Bond Related Debt [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Carrying Amount | 35,698 | 48,575 |
Notes Payable and Other Debt [Member] | Non Bond Related Debt [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Notes Payable and Other Debt [Member] | Non Bond Related Debt [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Notes Payable and Other Debt [Member] | Non Bond Related Debt [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 31,572 | 44,085 |
Subordinated Debt [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Carrying Amount | 149,653 | |
Subordinated Debt [Member] | Mma Financial Holdings, Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Carrying Amount | 121,309 | 119,441 |
Subordinated Debt [Member] | MMA Financial Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Carrying Amount | 28,344 | 28,540 |
Subordinated Debt [Member] | Fair Value, Inputs, Level 1 [Member] | Mma Financial Holdings, Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Subordinated Debt [Member] | Fair Value, Inputs, Level 1 [Member] | MMA Financial Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Subordinated Debt [Member] | Fair Value, Inputs, Level 2 [Member] | Mma Financial Holdings, Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Subordinated Debt [Member] | Fair Value, Inputs, Level 2 [Member] | MMA Financial Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Subordinated Debt [Member] | Fair Value, Inputs, Level 3 [Member] | Mma Financial Holdings, Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 45,035 | 44,718 |
Subordinated Debt [Member] | Fair Value, Inputs, Level 3 [Member] | MMA Financial Inc [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 28,515 | 28,714 |
Liabilities of consolidated funds and ventures, Notes payable [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Carrying Amount | 6,712 | 6,712 |
Liabilities of consolidated funds and ventures, Notes payable [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Liabilities of consolidated funds and ventures, Notes payable [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | 0 | 0 |
Liabilities of consolidated funds and ventures, Notes payable [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long Term Debt, Fair Value | $0 | $0 |
FAIR_VALUE_MEASUREMENTS_Detail
FAIR VALUE MEASUREMENTS (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Derivative assets | $3,384 | $2,726 |
Liabilities: | ||
Derivative liabilities | 1,359 | 753 |
Fair Value, Measurements, Recurring [Member] | ||
Assets: | ||
Bonds available-for-sale | 220,129 | 222,899 |
Derivative assets | 3,384 | 2,726 |
Liabilities: | ||
Derivative liabilities | 1,359 | 753 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets: | ||
Bonds available-for-sale | 0 | 0 |
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets: | ||
Bonds available-for-sale | 0 | 0 |
Derivative assets | 108 | 187 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets: | ||
Bonds available-for-sale | 220,129 | 222,899 |
Derivative assets | 3,276 | 2,539 |
Liabilities: | ||
Derivative liabilities | $1,359 | $753 |
FAIR_VALUE_MEASUREMENTS_Detail1
FAIR VALUE MEASUREMENTS (Details 1) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Derivative Assets [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Balance at beginning period | $2,539 | |||
Net (losses) gains included in earnings | 737 | |||
Net change in other comprehensive income | 0 | [1] | ||
Impact from settlements | 0 | |||
Balance at ending period | 3,276 | |||
Bonds Available-for-sale [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Balance at beginning period | 222,899 | 195,332 | ||
Net (losses) gains included in earnings | -969 | -948 | ||
Net change in other comprehensive income | 2,269 | [1] | 4,906 | [2] |
Bonds eliminated due to real estate consolidation and foreclosure | -11,058 | |||
Impact from settlements | -4,070 | -3,349 | ||
Balance at ending period | 220,129 | 184,883 | ||
Derivative Liabilities [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Balance at beginning period | -753 | -626 | ||
Net (losses) gains included in earnings | -606 | -27 | ||
Net change in other comprehensive income | 0 | [1] | 0 | [2] |
Impact from settlements | 0 | 0 | ||
Balance at ending period | ($1,359) | ($653) | ||
[1] | This amount includes $2.8 million of unrealized net holding gains arising during the period, offset by the reversal of $0.5 million of unrealized gains related to bonds that were redeemed. | |||
[2] | This amount represents $4.9 million of unrealized net holding gains arising during the period. |
FAIR_VALUE_MEASUREMENTS_Detail2
FAIR VALUE MEASUREMENTS (Details 2) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Net (Losses) gains on bonds [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Change in unrealized (losses) gains related to assets and liabilities | $0 | [1] | ||
Additional realized gains (losses) recognized | 583 | [1] | ||
Total gains (losses) reported in earnings | 583 | [1] | ||
Equity in losses from Lower Tier Property Partnerships [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Change in unrealized (losses) gains related to assets and liabilities | -969 | |||
Change In Unrealized (Losses) Gains Related To Assets and Liabilities Settled during the period | -948 | |||
Additional realized gains (losses) recognized | 0 | 0 | ||
Total gains (losses) reported in earnings | -969 | -948 | ||
Net (losses) gains on derivatives [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Change in unrealized (losses) gains related to assets and liabilities | 131 | [1] | ||
Change In Unrealized (Losses) Gains Related To Assets and Liabilities Settled during the period | -27 | [1] | ||
Additional realized gains (losses) recognized | 933 | [1] | -78 | [1] |
Total gains (losses) reported in earnings | $1,064 | [1] | ($105) | [1] |
[1] | Amounts are reflected through “Net gains (losses) on assets and derivatives†on the consolidated statements of operations. |
FAIR_VALUE_MEASUREMENTS_Detail3
FAIR VALUE MEASUREMENTS (Details Textual) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Reversal of net unrealized gains on sold/redeemed bonds | $471 | $0 | |
Net unrealized gains (losses) arising during the period | $2,740 | $4,906 | |
Performing Bond Portfolio [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Performing Bonds Weighted Average Discount Rate | 6.10% | 6.30% | |
Non Performing Bond Portfolio [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted Average Capitalization Rate Percent | 6.70% | 6.80% | |
Non Performing Bonds Discount Rate | 7.80% | 7.90% |
GUARANTEES_AND_COLLATERAL_Deta
GUARANTEES AND COLLATERAL (Details) (Indemnification Agreement [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Indemnification Agreement [Member] | ||
Maximum Exposure | $13,209 | $13,209 |
Carrying Amount | $781 | $864 |
GUARANTEES_AND_COLLATERAL_Deta1
GUARANTEES AND COLLATERAL (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Thousands, unless otherwise specified | ||||
Cash, cash equivalents and restricted cash | $53,093 | $50,189 | ||
Bonds Available-for-Sale | 168,274 | 144,611 | ||
Investment in preferred stock, Carrying value | 25,000 | 31,371 | ||
Other Assets | 10,703 | 11,289 | ||
Total Assets Pledged | 257,070 | 237,460 | ||
Total Return Swap [Member] | ||||
Cash, cash equivalents and restricted cash | 14,224 | 11,010 | ||
Bonds Available-for-Sale | 168,274 | 144,611 | ||
Investment in preferred stock, Carrying value | 25,000 | 31,371 | ||
Other Assets | 0 | 0 | ||
Total Assets Pledged | 207,498 | 186,992 | ||
Other Assets [Member] | ||||
Cash, cash equivalents and restricted cash | 14,993 | [1] | 14,993 | [1] |
Bonds Available-for-Sale | 0 | [1] | 0 | [1] |
Investment in preferred stock, Carrying value | 0 | [1] | 0 | [1] |
Other Assets | 126 | [1] | 161 | [1] |
Total Assets Pledged | 15,119 | [1] | 15,154 | [1] |
Consolidated Funds and Ventures [Member] | ||||
Cash, cash equivalents and restricted cash | 23,876 | [2] | 24,186 | [2] |
Bonds Available-for-Sale | 0 | [2] | 0 | [2] |
Investment in preferred stock, Carrying value | 0 | [2] | 0 | [2] |
Other Assets | 10,577 | [2] | 11,128 | [2] |
Total Assets Pledged | $34,453 | [2] | $35,314 | [2] |
[1] | The Company pledges collateral in connection with various guarantees that it has provided. | |||
[2] | These are assets held by consolidated LIHTC Funds. |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
2015 | $325 |
2016 | 107 |
2017 | 75 |
2018 | 34 |
2019 | 0 |
Total minimum future rental commitments | $541 |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details Textual) (USD $) | 3 Months Ended | 1 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | Apr. 20, 2015 | |
Operating Leases, Rent Expense, Net | $100,000 | $200,000 | |
Estimated Litigation Liability, Current | 500,000 | ||
Subsequent Event [Member] | |||
Litigation Settlement, Amount | 676,820 | ||
Litigation Settlement, Expense | $150,000 |
EQUITY_Details
EQUITY (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||||
Net loss from continuing operations | ($393) | ($1,023) | ||
Net income from discontinued operations | 72 | 14,629 | ||
Net (loss) income to common shareholders | ($321) | $13,606 | ||
Basic weighted-average shares | 7,213 | [1] | 8,041 | [1] |
Common stock equivalents | 0 | [2],[3],[4] | 0 | [2],[3],[4] |
Diluted weighted-average shares | 7,213 | 8,041 | ||
[1] | Includes common shares issued and outstanding, as well as non-employee directors’ and employee-deferred shares that have vested, but are not issued and outstanding. | |||
[2] | At March 31, 2015, 410,000 stock options were in the money and had a potential dilutive share impact of 297,780. In addition, 31,250 unvested employee deferred shares had a potential dilutive share impact of 10,417 for the three months ended March 31, 2015. For the three months ended March 31, 2015, the Company had a net loss from continuing operations and thus, any incremental shares would be anti-dilutive. | |||
[3] | At March 31, 2014, 410,000 stock options were in the money and had a potential dilutive share impact of 270,626 for the three months ended March 31, 2014. In addition, 41,667 unvested employee deferred shares had a potential dilutive share impact of 20,833 for the three months ended March 31, 2014. For the three months ended March 31, 2014, the Company had a net loss from continuing operations and thus, any incremental shares would be anti-dilutive. | |||
[4] | For the three months ended March 31, 2015, the average number of options excluded from the calculations of diluted earnings per share was 60,211, because of their anti-dilutive effect (i.e. these stock options were not in the money). For the three months ended March 31, 2014, the average number of options excluded from the calculations of diluted earnings per share was 60,211 because of their anti-dilutive effect (i.e. these stock options were not in the money). |
EQUITY_Details_1
EQUITY (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Noncontrolling interests in: | ||
Minority Interest | $215,410 | $229,714 |
IHS [Member] | ||
Noncontrolling interests in: | ||
Minority Interest | -397 | -397 |
LIHTC Funds [Member] | ||
Noncontrolling interests in: | ||
Minority Interest | $215,807 | $230,111 |
EQUITY_Details_2
EQUITY (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrealized Gains (losses) on Bonds Available-for-Sale, Balance at beginning period | $57,234 | $36,868 |
Unrealized Gains (losses) on Bonds Available-for-Sale, Unrealized gains (losses) arising during the period | 2,740 | 4,906 |
Unrealized Gains (losses) on Bonds Available-for-Sale, Reversal of unrealized gains on sold/redeemed bonds | -471 | -2,003 |
Unrealized Gains (losses) on Bonds Available-for-Sale, Income tax expense | 0 | 0 |
Unrealized Gains (losses) on Bonds Available-for-Sale, Net change in other comprehensive income | 2,269 | 2,903 |
Unrealized Gains (losses) on Bonds Available-for-Sale, Balance at ending period | 59,503 | 39,771 |
Income Tax Expense, Balance at beginning period | -150 | 0 |
Income Tax Expense, Income tax expense | -211 | -129 |
Income Tax Expense, Net change in other comprehensive income | -211 | -129 |
Income Tax Expense, Balance at ending period | -361 | -129 |
Foreign Currency Translation, Balance at beginning period | -632 | -209 |
Foreign Currency Translation, Unrealized net holding gains (losses) arising during period | -132 | 2 |
Foreign Currency Translation, Reversal of unrealized gains on sold/redeemed bonds | 0 | 0 |
Foreign Currency Translation, Income tax expense | 0 | 0 |
Foreign Currency Translation, Net change in other comprehensive income | -132 | 2 |
Foreign Currency Translation, Balance at ending period | -764 | -207 |
Accumulated Other Comprehensive Income Balance at beginning period | 56,452 | 36,659 |
Accumulated Other Comprehensive Income Unrealized net holding gains (losses) arising during period | 2,608 | 4,908 |
Accumulated Other Comprehensive Income Reversal of unrealized gains on sold/redeemed bonds | -471 | -2,003 |
Accumulated Other Comprehensive Income, Income tax expense | -211 | -129 |
Accumulated Other Comprehensive Income Net change in other comprehensive income | 1,926 | 2,776 |
Accumulated Other Comprehensive Income Balance at ending period | $58,378 | $39,435 |
EQUITY_Details_Textual
EQUITY (Details Textual) (USD $) | 3 Months Ended | 1 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | 7-May-15 | Dec. 31, 2014 |
Class of Stock [Line Items] | ||||
Common Stock Equivalents Employee Options | 410,000 | 410,000 | ||
Incremental Common Shares Attributable to Call Options and Warrants | 297,780 | 270,626 | ||
Incremental Common Shares Attributable to Dilutive Effect of Equity Unit Purchase Agreements | 10,417 | 20,833 | ||
Unvested Employee Deferred Shares | 31,250 | 41,667 | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 60,211 | 60,211 | ||
Stockholders' Equity, Reverse Stock Split | one-for-five reverse stock split | |||
Treasury Stock To Be Acquired Maximum Costs Per Share | $12.76 | |||
Subsequent Event [Member] | Stock Repurchase Program [Member] | ||||
Class of Stock [Line Items] | ||||
Stock Repurchased During Period, Shares | 225,104 | |||
Treasury Stock Acquired, Average Cost Per Share | $10 | |||
Subsequent Event [Member] | Stock Repurchase Program 1 [Member] | ||||
Class of Stock [Line Items] | ||||
Stock Repurchased During Period, Shares | 1.6 | |||
Treasury Stock Acquired, Average Cost Per Share | $8.42 | |||
LIHTC Funds [Member] | ||||
Class of Stock [Line Items] | ||||
Investment Balance Declined | $12.20 | |||
Maximum [Member] | ||||
Class of Stock [Line Items] | ||||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 2,050,000 | |||
International Housing Solutions [Member] | ||||
Class of Stock [Line Items] | ||||
Held By Third Party | 3.70% | 3.70% |
STOCKBASED_COMPENSATION_Detail
STOCK-BASED COMPENSATION (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Employees’ Stock-Based Compensation Plans | $299 | $942 |
Non-employee Directors’ Stock-Based Compensation Plans | 74 | 75 |
Total | $373 | $1,017 |
STOCKBASED_COMPENSATION_Detail1
STOCK-BASED COMPENSATION (Details 1) (USD $) | 3 Months Ended | 12 Months Ended | ||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||||
Number of Options Outstanding at beginning of period | 416 | 416 | ||||
Number of Options Forfeited/Expired | 0 | 0 | ||||
Number of Options Outstanding at end of period | 416 | 416 | 416 | |||
Number of options that were exercisable | 362 | 325 | ||||
Weighted average Exercise Price per Option Outstanding at beginning of period | $3.52 | $3.52 | ||||
Weighted average Exercise Price per Option Outstanding at end of period | $3.52 | $3.52 | $3.52 | |||
Weighted average Exercise Price per Option Exercisable | $3.77 | $4 | ||||
Weighted Average Remaining Contractual Life per Option (in years) Outstanding | 6 years 1 month 6 days | 6 years 3 months 18 days | 7 years 3 months 18 days | |||
Weighted average Remaining Contractual Life per Option (in years) Exercisable | 6 years | 6 years 1 month 6 days | ||||
Aggregate Intrinsic Value Outstanding at beginning of period | $3,196 | [1] | $1,644 | [1] | ||
Aggregate Intrinsic Value Outstanding at end of period | 3,458 | [1] | 3,196 | [1] | 1,644 | [1] |
Period End Liability Outstanding at beginning of period | 3,281 | [2] | 1,785 | [2] | ||
Period End Liability Outstanding at end of period | $3,536 | [2] | $3,281 | [2] | $1,785 | [2] |
[1] | Intrinsic value is based on outstanding options. | |||||
[2] | Only options that were amortized based on a vesting schedule have a liability balance. These options were 415,615; 412,100; and 378,173; at March 31, 2015, December 31, 2014 and January 1, 2014, respectively. |
STOCKBASED_COMPENSATION_Detail2
STOCK-BASED COMPENSATION (Details 2) (USD $) | 3 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||||
Period End Liability Outstanding at beginning of period | $3,281 | [1] | $1,785 | [1] | ||
Period End Liability Outstanding at end of period | 3,536 | [1] | 3,281 | [1] | 1,785 | [1] |
Employee Deferred Shares [Member] | ||||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||||
Number of Deferred Shares Outstanding at beginning of period | 42 | |||||
Deferred Share Grants, Granted | 0 | |||||
Deferred Share Grants, Issued | 11 | |||||
Number of Deferred Shares Outstanding at end of period | 31 | |||||
Weighted-average Grant Date Share Price Outstanding at beginning of period | $4.40 | |||||
Weighted-average Grant Date Share Price, Issued | $4.40 | |||||
Weighted-average Grant Date Share Price Outstanding at end of period | $4.40 | |||||
Period End Liability Outstanding at beginning of period | 336 | |||||
Period End Liability Outstanding at end of period | $276 | |||||
[1] | Only options that were amortized based on a vesting schedule have a liability balance. These options were 415,615; 412,100; and 378,173; at March 31, 2015, December 31, 2014 and January 1, 2014, respectively. |
STOCKBASED_COMPENSATION_Detail3
STOCK-BASED COMPENSATION (Details 3) (Non-Employee Directors' Stock-Based Compensation [Member], USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Non-Employee Directors' Stock-Based Compensation [Member] | ||
Share-based Goods and Nonemployee Services Transaction [Line Items] | ||
Cash | $36,875 | $37,500 |
Common Shares Granted | 1,912 | 3,776 |
Deferred Share Grants | 1,978 | 1,888 |
Weighted - average Grant Date Share Price | $9.48 | $6.62 |
Options Vested | 0 | 0 |
Directors' Fees Expense | $73,750 | $75,000 |
STOCKBASED_COMPENSATION_Detail4
STOCK-BASED COMPENSATION (Details Textual) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | |
Mar. 12, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 374,187 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 10,047 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Description | Board adopted the amendment to the Non-employee Director’s Stock-based Compensation Plans providing directors to be paid $60,000 per year, an increase from $50,000 per year for their services | ||||
Employee Stock Option [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Deferred Compensation Arrangement with Individual, Compensation Expense | $300,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 415,615 | 412,100 | 378,173 | ||
Employee Deferred Shares [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Deferred Compensation Arrangement with Individual, Compensation Expense | 44,630 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights | The grants outstanding at March 31, 2015 have both time and price vesting requirements. A portion of the shares vest over the next 12 months. Also, a portion of the shares vest if over a30-day period, the average price requirement of $10.00 per share and $12.50 per share is met. | ||||
Non-Employee Directors' Stock-Based Compensation [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Non Employee Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares, Authorized | 1,130,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 0 | 0 | |||
Share based grants | 50.00% | ||||
Non-Employee Share Based Compensation Arrangement by Share Based Payment Award, Number Of Shares Available To Be Issued | 434,123 | ||||
Rate Of Cash Based Compensation | 50.00% | ||||
Audit Committee Chair [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Additional Stock based Compesation | 15,000 | ||||
Other Committee Chairs [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Additional Stock based Compesation | 10,000 | ||||
Board Of Directors Chairman [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Additional Stock based Compesation | 20,000 |
DISCONTINUED_OPERATIONS_Detail
DISCONTINUED OPERATIONS (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income from REO operations | $0 | $302 |
Expenses from REO operations | 0 | -451 |
Other income | 83 | 83 |
Other expense | -5 | -28 |
Income tax expense | -6 | -504 |
Net income before disposal activity | 72 | -563 |
Disposal: | ||
Net gains related to REO | 0 | 15,037 |
Net income from discontinued operations | 72 | 14,479 |
Loss from discontinued operations allocable to noncontrolling interests | 0 | 150 |
Net income to common shareholders from discontinued operations | 72 | 14,629 |
Consolidated Funds and Ventures [Member] | ||
Income from CFVs (primarily rental income) | 0 | 279 |
Expenses from CFVs (primarily operating expenses) | 0 | -244 |
Disposal: | ||
Net gains related to CFVs | $0 | $5 |
CONSOLIDATED_FUNDS_AND_VENTURE2
CONSOLIDATED FUNDS AND VENTURES (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Investment [Line Items] | ||
Cash, cash equivalents and restricted cash | $53,093 | $50,189 |
Other assets | 74,705 | 74,902 |
Total assets | 657,161 | 668,746 |
Consolidated Funds and Ventures [Member] | ||
Investment [Line Items] | ||
Cash, cash equivalents and restricted cash | 23,876 | 24,186 |
Investments in Lower Tier Property Partnerships | 219,007 | 231,204 |
Other assets | 10,577 | 11,128 |
Total assets | $253,460 | $266,518 |
CONSOLIDATED_FUNDS_AND_VENTURE3
CONSOLIDATED FUNDS AND VENTURES (Details 1) (Consolidated Funds and Ventures [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Thousands, unless otherwise specified | ||||
Consolidated Funds and Ventures [Member] | ||||
Investment [Line Items] | ||||
LIHTC Funds’ investment in Lower Tier Property Partnerships | $219,007 | $231,204 | ||
Total assets of Lower Tier Property Partnerships | 1,261,665 | [1] | 1,273,903 | [1] |
Total liabilities of Lower Tier Property Partnerships | $1,039,414 | [1] | $1,035,695 | [1] |
[1] | The assets of the LTPPs are primarily real estate and the liabilities are predominantly mortgage debt. |
CONSOLIDATED_FUNDS_AND_VENTURE4
CONSOLIDATED FUNDS AND VENTURES (Details 2) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Thousands, unless otherwise specified | ||||
Liabilities of CFVs: | ||||
Debt | $293,308 | $290,543 | ||
Other liabilities | 42,927 | 41,870 | ||
Total liabilities | 349,248 | 347,548 | ||
Consolidated Funds and Ventures [Member] | ||||
Liabilities of CFVs: | ||||
Debt | 6,712 | [1] | 6,712 | [1] |
Unfunded equity commitments to unconsolidated Lower Tier Property Partnerships | 9,597 | 9,597 | ||
Other liabilities | 32,747 | [2] | 31,831 | [2] |
Total liabilities | $49,056 | $48,140 | ||
[1] | At March 31, 2014 and December 31, 2014, this debt had a face amount equal to its carrying value, a weighted average effective interest rate of 5.3%, and was due on demand. | |||
[2] | Represents asset management fee obligations of the LIHTC Funds. |
CONSOLIDATED_FUNDS_AND_VENTURE5
CONSOLIDATED FUNDS AND VENTURES (Details 3) (USD $) | 3 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | |||
Expenses: | ||||
Interest expense | $474,000 | [1] | $1,203,000 | [1] |
Net gains (losses) related to CFVs: | ||||
Equity in losses from Lower Tier Property Partnerships of CFVs | -5,620,000 | [2] | -7,539,000 | [2] |
Net loss | -14,625,000 | 3,547,000 | ||
Consolidated Funds and Ventures [Member] | ||||
Revenue: | ||||
Rental and other income from real estate | 0 | 3,624,000 | ||
Interest and other income | 67,000 | 1,426,000 | ||
Total revenue from CFVs | 67,000 | 5,050,000 | ||
Expenses: | ||||
Depreciation and amortization | 552,000 | 2,218,000 | ||
Interest expense | 88,000 | 1,069,000 | ||
Other operating expenses | 1,139,000 | 2,952,000 | ||
Foreign currency loss | 0 | 410,000 | ||
Asset impairments | 7,537,000 | 5,000,000 | ||
Total expenses from CFVs | 9,316,000 | 11,649,000 | ||
Net gains (losses) related to CFVs: | ||||
Investment gains | 0 | 4,867,000 | ||
Derivative losses | 0 | -58,000 | ||
Equity in losses from Lower Tier Property Partnerships of CFVs | -5,693,000 | -7,428,000 | ||
Net loss | -14,942,000 | -9,218,000 | ||
Net losses allocable to noncontrolling interests in CFVs | 14,304,000 | [3] | 9,853,000 | [3] |
Net (loss) income allocable to the common shareholders related to CFVs | ($638,000) | $635,000 | ||
[1] | Represents interest expense related to debt which finances interest-bearing assets. See Note 6, “Debt.†| |||
[2] | Majority of the activity was related to CFVs. | |||
[3] | Excludes $56,322 of net loss allocable to the minority interest holder in IHS for the three months ended March 31, 2014. These amounts are excluded from this presentation because IHS related activity is not included within CFV income statement activity above. There were no losses allocable to the minority interest holder in IHS for the three months ended March 31, 2015. |
CONSOLIDATED_FUNDS_AND_VENTURE6
CONSOLIDATED FUNDS AND VENTURES (Details 4) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Investment [Line Items] | ||||
Interest income | $4,073 | $5,305 | ||
Equity in income (losses) | -5,620 | [1] | -7,539 | [1] |
Other expense | 107 | 801 | ||
Consolidated Funds and Ventures [Member] | ||||
Investment [Line Items] | ||||
Asset management fees | 0 | 841 | ||
Interest income | 0 | 343 | ||
Guarantee fees | 331 | 331 | ||
Equity in income (losses) | -5,693 | -7,428 | ||
Other expense | 0 | -59 | ||
Net (loss) income allocable to the common shareholders related to CFVs | -638 | 635 | ||
Consolidated Funds and Ventures [Member] | Equity In Losses From Lower Tier Property Partnerships [Member] | ||||
Investment [Line Items] | ||||
Equity in income (losses) | -969 | -949 | ||
Consolidated Funds and Ventures [Member] | Equity In Income From SAWHF [Member] | ||||
Investment [Line Items] | ||||
Equity in income (losses) | $0 | $128 | ||
[1] | Majority of the activity was related to CFVs. |
CONSOLIDATED_FUNDS_AND_VENTURE7
CONSOLIDATED FUNDS AND VENTURES (Details Textual) (USD $) | 3 Months Ended | ||||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |||
Debt, Weighted Average Interest Rate and Cost | 4.90% | 5.00% | |||
Consolidated Funds and Ventures [Member] | |||||
Income (Loss) Attributable To Noncontrolling Interest | $14,304,000 | [1] | $9,853,000 | [1] | |
IHS [Member] | |||||
Income (Loss) Attributable To Noncontrolling Interest | 0 | 56,322 | |||
Lower Tier Property Partnerships Real Estate Held For Use [Member] | |||||
Bond Investment in Lower Tier Property Partnerships | 120,400,000 | 118,900,000 | |||
LIHTC Funds [Member] | |||||
Debt, Weighted Average Interest Rate and Cost | 5.30% | 5.30% | |||
LIHTC Funds [Member] | Consolidated Funds and Ventures [Member] | |||||
Guarantor Obligations, Maximum Exposure, Undiscounted | $558,900,000 | 558,900,000 | |||
[1] | Excludes $56,322 of net loss allocable to the minority interest holder in IHS for the three months ended March 31, 2014. These amounts are excluded from this presentation because IHS related activity is not included within CFV income statement activity above. There were no losses allocable to the minority interest holder in IHS for the three months ended March 31, 2015. |
SEGMENT_INFORMATION_Details
SEGMENT INFORMATION (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Total interest income | $4,073 | $5,305 | ||
Total interest expense | -474 | [1] | -1,203 | [1] |
Net interest income | 3,599 | [1] | 4,102 | [1] |
Total fee and other income | 2,144 | 853 | ||
Total non-interest revenue | 3,508 | 7,200 | ||
Total revenues, net of interest expense | 7,107 | 11,302 | ||
Operating and other expenses: | ||||
Interest expense | -3,196 | [2] | -3,573 | [2] |
Other expenses, net | -107 | -801 | ||
Total operating and other expenses | -17,898 | -21,697 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 0 | 2,003 | ||
Equity in (losses) income from unconsolidated funds and ventures | -5,620 | [3] | -7,539 | [3] |
Net gains related to CFVs | 0 | 4,813 | ||
Income (loss) from continuing operations before income taxes | -14,843 | -11,486 | ||
Income tax benefit | -146 | -554 | ||
Income (loss) from discontinued operations, net of tax | 72 | 14,479 | ||
Net income (loss) | -14,625 | 3,547 | ||
Net losses allocable to noncontrolling interests in CFVs: | -14,304 | -10,059 | ||
Net income (loss) to common shareholders | -321 | 13,606 | ||
US Operations [Member] | ||||
Total interest income | 4,041 | 5,638 | ||
Total interest expense | -329 | -1,016 | ||
Net interest income | 3,712 | 4,622 | ||
Total fee and other income | 2,054 | 2,246 | ||
Revenue from CFVs | 0 | 0 | ||
Total non-interest revenue | 2,054 | 2,246 | ||
Total revenues, net of interest expense | 5,766 | 6,868 | ||
Operating and other expenses: | ||||
Interest expense | -515 | -805 | ||
Operating expenses | -1,612 | -1,891 | ||
Other expenses, net | -258 | -732 | ||
Expenses from CFVs | 0 | 0 | ||
Total operating and other expenses | -2,385 | -3,428 | ||
Net losses on assets, derivatives and extinguishment of liabilities | 1,568 | -365 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 2,003 | |||
Equity in (losses) income from unconsolidated funds and ventures | -9 | -62 | ||
Net gains related to CFVs | 0 | |||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -969 | -949 | ||
Income (loss) from continuing operations before income taxes | 3,971 | 4,067 | ||
Income tax benefit | 0 | 0 | ||
Income (loss) from discontinued operations, net of tax | 78 | 15,133 | ||
Net income (loss) | 4,049 | 19,200 | ||
Net income (loss) to common shareholders | 4,049 | 19,200 | ||
US Operations [Member] | Continuing Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | 0 | ||
US Operations [Member] | Discontinued Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | |||
International Operations [Member] | ||||
Total interest income | 19 | 10 | ||
Total interest expense | 0 | 0 | ||
Net interest income | 19 | 10 | ||
Total fee and other income | 1,230 | 1,046 | ||
Revenue from CFVs | 0 | 0 | ||
Total non-interest revenue | 1,230 | 1,046 | ||
Total revenues, net of interest expense | 1,249 | 1,056 | ||
Operating and other expenses: | ||||
Interest expense | -29 | -37 | ||
Operating expenses | -2,082 | -1,705 | ||
Other expenses, net | 254 | -33 | ||
Expenses from CFVs | 0 | 0 | ||
Total operating and other expenses | -1,857 | -1,775 | ||
Net losses on assets, derivatives and extinguishment of liabilities | 0 | 0 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 0 | |||
Equity in (losses) income from unconsolidated funds and ventures | 82 | -48 | ||
Net gains related to CFVs | 0 | |||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | 0 | 128 | ||
Income (loss) from continuing operations before income taxes | -526 | -639 | ||
Income tax benefit | 0 | 0 | ||
Income (loss) from discontinued operations, net of tax | 0 | 0 | ||
Net income (loss) | -526 | -639 | ||
Net income (loss) to common shareholders | -526 | -583 | ||
International Operations [Member] | Continuing Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | 56 | ||
International Operations [Member] | Discontinued Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | |||
Corporate Segment [Member] | ||||
Total interest income | 13 | 0 | ||
Total interest expense | -145 | -187 | ||
Net interest income | -132 | -187 | ||
Total fee and other income | 488 | 30 | ||
Revenue from CFVs | 0 | 0 | ||
Total non-interest revenue | 488 | 30 | ||
Total revenues, net of interest expense | 356 | -157 | ||
Operating and other expenses: | ||||
Interest expense | -2,652 | -2,731 | ||
Operating expenses | -1,585 | -2,078 | ||
Other expenses, net | -103 | -95 | ||
Expenses from CFVs | 0 | 0 | ||
Total operating and other expenses | -4,340 | -4,904 | ||
Net losses on assets, derivatives and extinguishment of liabilities | 0 | 0 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 0 | |||
Equity in (losses) income from unconsolidated funds and ventures | 0 | 0 | ||
Net gains related to CFVs | 0 | |||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | 0 | 0 | ||
Income (loss) from continuing operations before income taxes | -3,984 | -5,061 | ||
Income tax benefit | 146 | 554 | ||
Income (loss) from discontinued operations, net of tax | -6 | -504 | ||
Net income (loss) | -3,844 | -5,011 | ||
Net income (loss) to common shareholders | -3,844 | -5,011 | ||
Corporate Segment [Member] | Continuing Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | 0 | ||
Corporate Segment [Member] | Discontinued Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | |||
Consolidated Funds and Ventures [Member] | ||||
Total interest income | 0 | 0 | ||
Total interest expense | 0 | 0 | ||
Net interest income | 0 | 0 | ||
Total fee and other income | 0 | 0 | ||
Revenue from CFVs | 67 | 5,050 | ||
Total non-interest revenue | 67 | 5,050 | ||
Total revenues, net of interest expense | 67 | 5,050 | ||
Operating and other expenses: | ||||
Interest expense | 0 | 0 | ||
Operating expenses | 0 | 0 | ||
Other expenses, net | 0 | 0 | ||
Expenses from CFVs | -9,647 | -13,233 | ||
Total operating and other expenses | -9,647 | -13,233 | ||
Net losses on assets, derivatives and extinguishment of liabilities | 0 | 0 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 0 | |||
Equity in (losses) income from unconsolidated funds and ventures | 0 | 0 | ||
Net gains related to CFVs | 4,809 | |||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -4,724 | -6,479 | ||
Income (loss) from continuing operations before income taxes | -14,304 | -9,853 | ||
Income tax benefit | 0 | 0 | ||
Income (loss) from discontinued operations, net of tax | 0 | -150 | ||
Net income (loss) | -14,304 | -10,003 | ||
Net income (loss) to common shareholders | 0 | 0 | ||
Consolidated Funds and Ventures [Member] | Continuing Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 14,304 | 9,853 | ||
Consolidated Funds and Ventures [Member] | Discontinued Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 150 | |||
Income Allocation Reclasses [Member] | ||||
Total interest income | 0 | -343 | [4] | |
Total interest expense | 0 | 0 | ||
Net interest income | 0 | -343 | ||
Total fee and other income | -331 | [5] | -1,172 | [6] |
Revenue from CFVs | 0 | 0 | ||
Total non-interest revenue | -331 | -1,172 | ||
Total revenues, net of interest expense | -331 | -1,515 | ||
Operating and other expenses: | ||||
Interest expense | 0 | 0 | ||
Operating expenses | 0 | 0 | ||
Other expenses, net | 0 | 59 | [7] | |
Expenses from CFVs | 331 | [5] | 1,584 | |
Total operating and other expenses | 331 | 1,643 | ||
Net losses on assets, derivatives and extinguishment of liabilities | 0 | 0 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 0 | |||
Equity in (losses) income from unconsolidated funds and ventures | 0 | 0 | ||
Net gains related to CFVs | 0 | |||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | 0 | -128 | [8] | |
Income (loss) from continuing operations before income taxes | 0 | 0 | ||
Income tax benefit | 0 | 0 | ||
Income (loss) from discontinued operations, net of tax | 0 | 0 | ||
Net income (loss) | 0 | 0 | ||
Net income (loss) to common shareholders | 0 | 0 | ||
Income Allocation Reclasses [Member] | Continuing Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | 0 | ||
Income Allocation Reclasses [Member] | Discontinued Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 0 | |||
MMA Consolidated [Member] | ||||
Total interest income | 4,073 | 5,305 | ||
Total interest expense | -474 | -1,203 | ||
Net interest income | 3,599 | 4,102 | ||
Total fee and other income | 3,441 | 2,150 | ||
Revenue from CFVs | 67 | 5,050 | ||
Total non-interest revenue | 3,508 | 7,200 | ||
Total revenues, net of interest expense | 7,107 | 11,302 | ||
Operating and other expenses: | ||||
Interest expense | -3,196 | -3,573 | ||
Operating expenses | -5,279 | -5,674 | ||
Other expenses, net | -107 | -801 | ||
Expenses from CFVs | -9,316 | -11,649 | ||
Total operating and other expenses | -17,898 | -21,697 | ||
Net losses on assets, derivatives and extinguishment of liabilities | 1,568 | -365 | ||
Net gains transferred into net income from AOCI due to real estate foreclosure | 2,003 | |||
Equity in (losses) income from unconsolidated funds and ventures | 73 | -110 | ||
Net gains related to CFVs | 4,809 | |||
Equity in (losses) gains from Lower Tier Property Partnerships of CFVs | -5,693 | -7,428 | ||
Income (loss) from continuing operations before income taxes | -14,843 | -11,486 | ||
Income tax benefit | 146 | 554 | ||
Income (loss) from discontinued operations, net of tax | 72 | 14,479 | ||
Net income (loss) | -14,625 | 3,547 | ||
Net income (loss) to common shareholders | -321 | 13,606 | ||
MMA Consolidated [Member] | Continuing Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | 14,304 | 9,909 | ||
MMA Consolidated [Member] | Discontinued Operations [Member] | ||||
Operating and other expenses: | ||||
Net losses allocable to noncontrolling interests in CFVs: | $150 | |||
[1] | Represents interest expense related to debt which finances interest-bearing assets. See Note 6, “Debt.†| |||
[2] | Represents interest expense related to debt which does not finance interest-bearing assets. See Note 6, “Debt.†| |||
[3] | Majority of the activity was related to CFVs. | |||
[4] | Represents interest on bonds that the Company recognized through an allocation of income (see Note 15, “Consolidated Funds and Venturesâ€) and for purposes of the table above, the $0.3 million is reflected in total interest income for the U.S. Operations. | |||
[5] | Represents guarantee fees related to the Company’s LIHTC Funds, which were recognized during the first quarter of 2015 through an allocation of income (see Note 15, “Consolidated Funds and Venturesâ€) and for purposes of the table above, are included in total fee and other income for U.S. Operations. | |||
[6] | This amount includes $0.7 million of asset management fees recognized by IHS through an income allocation (see Note 15, “Consolidated Funds and Venturesâ€) and for purposes of the table above, the $0.7 million is reflected in total fee and other income for International Operations. This amount also includes $0.2 million of asset management fees and $0.3 million of guarantee fees both related to the Company’s LIHTC Funds and both recognized during the first quarter of 2014 through an allocation of income (see Note 15, “Consolidated Funds and Venturesâ€) and for purposes of the table above, both are included in total fee and other income for U.S. Operations. | |||
[7] | Represents net expenses recognized by the Company through an allocation of income (see Note 15, “Consolidated Funds and Venturesâ€) and for purposes of the table above, these expenses are reflected as additional other expenses for U.S. Operations. | |||
[8] | Represents the Company’s share of its equity interest in the SAWHF (i.e., 2.7% of the SAWHF’s first quarter of 2014 net income) which is recognized through an allocation of income (see Note 15, “Consolidated Funds and Venturesâ€) and for purposes of the table above, the $0.1 million is reflected as equity in income of unconsolidated ventures for International Operations. |
SEGMENT_INFORMATION_Details_1
SEGMENT INFORMATION (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
ASSETS | $657,161 | $668,746 |
U.S. Operations [Member] | ||
ASSETS | 363,641 | 362,991 |
Corporate Operations [Member] | ||
ASSETS | 30,066 | 28,981 |
International Operations [Member] | ||
ASSETS | 10,383 | 10,645 |
Total Segment [Member] | ||
ASSETS | 404,090 | 402,617 |
Other adjustments [Member] | ||
ASSETS | -389 | -389 |
Consolidated Funds and Ventures [Member] | ||
ASSETS | $253,460 | $266,518 |
SEGMENT_INFORMATION_Details_Te
SEGMENT INFORMATION (Details Textual) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Interest Income, Operating | $4,073 | $5,305 |
SAWHF [Member] | ||
Limited Liability Company (Llc) Or Limited Partnership (Lp), Members Or Limited Partners, Ownership Interest | 2.70% | |
Us Operations [Member] | ||
Equity in (losses) income from Lower Tier Property Partnerships in CFVs | 1,000 | 900 |
LIHTC Funds [Member] | ||
Asset Management Fees | 200 | |
Guaranty Fee Income | 300 | |
Income Allocation Reclasses [Member] | ||
Interest Income, Operating | 300 | |
Equity in (losses) income from Lower Tier Property Partnerships in CFVs | 100 | |
IHS [Member] | ||
Asset Management Fees | $700 |