Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |||
Jun. 30, 2014 | Aug. 08, 2014 | Aug. 08, 2014 | Aug. 08, 2014 | |
Class A Common Stock [Member] | Class B Common Stock [Member] | Class C Common Stock [Member] | ||
Document Type | '10-Q | ' | ' | ' |
Amendment Flag | 'false | ' | ' | ' |
Document Period End Date | 30-Jun-14 | ' | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' | ' |
Document Fiscal Period Focus | 'Q2 | ' | ' | ' |
Entity Registrant Name | 'Bimini Capital Management, Inc. | ' | ' | ' |
Entity Central Index Key | '0001275477 | ' | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' | ' |
Entity Voluntary Filers | 'No | ' | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' | ' |
Entity Well Known Seasoned Issuer | 'No | ' | ' | ' |
Entity Common Stock Shares Outstanding | ' | 12,313,758 | 31,938 | 31,938 |
Trading Symbol | 'BMNM | ' | ' | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Mortgage-backed securities, at fair value | ' | ' |
Pledged to counterparties | $907,677,107 | $372,102,248 |
Unpledged | 43,963,577 | 17,238,710 |
Total mortgage-backed securities | 951,640,684 | 389,340,958 |
Cash and cash equivalents | 37,162,543 | 11,959,292 |
Restricted cash | 3,992,200 | 2,557,165 |
Retained interests in securitizations | 3,135,010 | 2,530,834 |
Accrued interest receivable | 4,089,321 | 1,720,726 |
Property and equipment, net | 3,643,358 | 3,663,437 |
Derivative assets, at fair value | 1,199,700 | 0 |
Net Deferred Tax Assets | 2,154,025 | 0 |
Other assets | 2,994,415 | 2,755,234 |
Total Assets | 1,010,011,256 | 414,527,646 |
Liabilities | ' | ' |
Repurchase agreements | 854,026,395 | 353,396,075 |
Junior subordinated notes due to Bimini Capital Trust II | 26,804,440 | 26,804,440 |
Payable for unsettled securities purchased | 6,828,538 | 0 |
Accrued interest payable | 360,506 | 142,055 |
Other Liabilities | 2,338,510 | 826,660 |
Total Liabilities | 890,358,389 | 381,169,230 |
Equity | ' | ' |
Preferred stock | 0 | 0 |
Common stock | 12,359 | 11,574 |
Additional paid in capital | 334,108,498 | 334,810,312 |
Accumulated deficit | -327,379,125 | -333,078,313 |
Stockholders Equity | 6,741,732 | 1,743,573 |
Noncontrolling Interests | 112,911,135 | 31,614,843 |
Total Equity | 119,652,867 | 33,358,416 |
Total Liabilities and Equity | 1,010,011,256 | 414,527,646 |
Variable Interest Entity Primary Beneficiary [Member] | ' | ' |
Mortgage-backed securities, at fair value | ' | ' |
Total mortgage-backed securities | 876,004,251 | 351,222,512 |
Cash and cash equivalents and restricted cash | 36,868,745 | 10,615,027 |
Accrued interest receivable and other assets | 5,513,490 | 1,738,508 |
Liabilities | ' | ' |
Repurchase agreements | 783,700,849 | 318,557,054 |
Payable for unsettled securities purchased | 6,828,538 | 0 |
Accrued interest payable and other liabilities | $2,015,928 | $171,721 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Portfolio Income | ' | ' | ' | ' |
Interest income | $7,119,482 | $2,479,678 | $11,235,494 | $4,005,840 |
Interest expense | 728,277 | 360,853 | 1,182,616 | 607,559 |
Net interest income, before interest on junior subordinated notes | 6,391,205 | 2,118,825 | 10,052,878 | 3,398,281 |
Interest expense on junior subordinated notes | 245,334 | 248,367 | 488,517 | 495,565 |
Net interest income | 6,145,871 | 1,870,458 | 9,564,361 | 2,902,716 |
Unrealized losses on mortgage-backed securities | 9,698,117 | -10,412,972 | 11,266,428 | -10,885,051 |
Realized gains (losses) on mortgage-backed securities | 2,980,121 | -933,940 | 4,049,477 | -873,987 |
(Losses) gains on derivative instruments | -5,873,958 | 7,071,631 | -7,590,975 | 6,596,069 |
Net portfolio income (deficiency) | 12,950,151 | -2,404,823 | 17,289,291 | -2,260,253 |
Other income: | ' | ' | ' | ' |
Gains (losses) on retained interests in securitizations | 2,252,897 | -229,647 | 2,446,586 | 1,755,179 |
Gains on release of loan loss reserves | 0 | 3,037,260 | 0 | 3,037,260 |
Other expense | -10,125 | -6,237 | -20,253 | -8,716 |
Total other income | 2,242,772 | 2,801,376 | 2,426,333 | 4,783,723 |
Expenses | ' | ' | ' | ' |
Compensation and related benefits | 911,134 | 421,727 | 1,357,307 | 852,971 |
Directors fees and liability insurance | 302,950 | 222,305 | 543,512 | 390,707 |
Orchid Island Capital, Inc. IPO expenses | 0 | 546 | 0 | 3,042,333 |
Audit, legal and other professional fees | 688,541 | 366,226 | 1,088,791 | 722,942 |
Direct REIT operating expenses | 114,133 | 98,767 | 229,316 | 233,672 |
Other administrative | 236,354 | 174,603 | 391,075 | 342,231 |
Total expenses | 2,253,112 | 1,284,174 | 3,610,001 | 5,584,856 |
Net income (loss) before income tax (benefit) provision | 12,939,811 | -887,621 | 16,105,623 | -3,061,386 |
Income tax (benefit) provision | 25,601 | 3,386 | -2,131,758 | 39,386 |
Net income (loss) | 12,914,210 | -891,007 | 18,237,381 | -3,100,772 |
Less: Income (loss) attributable to noncontrolling interests | 9,584,234 | -1,091,947 | 12,538,193 | -530,963 |
Net Income (Loss) attributable to Bimini Capital stockholders | $3,329,976 | $200,940 | $5,699,188 | ($2,569,809) |
Class A Common Stock [Member] | ' | ' | ' | ' |
Basic and Diluted Net Income (Loss) Per Share of: | ' | ' | ' | ' |
Basic | $0.27 | $0.02 | $0.47 | ($0.24) |
Diluted | $0.27 | $0.02 | $0.47 | ($0.24) |
Weighted Average Shares Outstanding | ' | ' | ' | ' |
Weighted Average Number Of Basic Shares Outstanding | 12,294,879 | 10,984,756 | 12,071,977 | 10,626,491 |
Weighted Average Number Of Diluted Shares Outstanding | 12,294,879 | 10,984,756 | 12,071,977 | 10,626,491 |
Class B Common Stock [Member] | ' | ' | ' | ' |
Basic and Diluted Net Income (Loss) Per Share of: | ' | ' | ' | ' |
Basic | $0.27 | $0.02 | $0.47 | ($0.24) |
Diluted | $0.27 | $0.02 | $0.47 | ($0.24) |
Weighted Average Shares Outstanding | ' | ' | ' | ' |
Weighted Average Number Of Basic Shares Outstanding | 31,938 | 31,938 | 31,938 | 31,938 |
Weighted Average Number Of Diluted Shares Outstanding | 31,938 | 31,938 | 31,938 | 31,938 |
Consolidated_Statement_of_Stoc
Consolidated Statement of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Additional Paid In Capital [Member] | Retained Earnings [Member] | NoncontrollingInterest [Member] |
Beginning Balances at Dec. 31, 2013 | $33,358,416 | $11,574 | $334,810,312 | ($333,078,313) | $31,614,843 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net income | 18,237,381 | ' | ' | 5,699,188 | 12,538,193 |
Issuance of common shares of Orchid Island Capital, Inc. | 75,115,922 | ' | -1,004,447 | ' | 76,120,369 |
Cash dividends paid to noncontrolling interests | -7,378,350 | ' | ' | ' | -7,378,350 |
Issuance of Class A common shares for equity plan exercises | 205,418 | 527 | 204,891 | ' | ' |
Amortization of equity plan compensation | 16,080 | ' | ' | ' | 16,080 |
Class A common shares sold directly to employees | -98,000 | 258 | 97,742 | ' | ' |
Ending Balances at Jun. 30, 2014 | $119,652,867 | $12,359 | $334,108,498 | ($327,379,125) | $112,911,135 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' |
Net income (loss) | $18,237,381 | ($3,100,772) |
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities: | ' | ' |
Stock based compensation and equity plan amortization | 221,498 | 40,744 |
Depreciation | 54,629 | 60,545 |
Deferred income tax benefit | -2,154,025 | 0 |
(Gains) losses on mortgage-backed securities | -15,315,905 | 11,759,038 |
Gains on retained interests in securitizations | -2,446,586 | -1,755,179 |
Gains on release of loan loss reserves | 0 | -3,037,260 |
Realized and unrealized losses on interest rate swaptions | -1,285,300 | 0 |
Changes in operating assets and liabilities | ' | ' |
Accrued interest receivable | -2,368,595 | -867,636 |
Other assets | -239,673 | 308,535 |
Accrued interest payable | 218,451 | -22,028 |
Other liabilities | 245,850 | -124,413 |
NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES | -2,261,675 | 3,261,574 |
From mortgage-backed securities investments | ' | ' |
Purchases | -1,003,577,756 | -460,089,739 |
Sales | 434,601,973 | 214,734,292 |
Principal repayments | 28,820,992 | 20,974,437 |
Payments received on retained interests in securitizations | 1,842,410 | 1,628,594 |
Increase in restricted cash | -1,435,035 | -8,470,313 |
Purchases of property and equipment | -34,550 | -10,940 |
Purchase of interest rate swaptions, net of margin cash | 1,219,000 | 0 |
NET CASH USED IN INVESTING ACTIVITIES | -541,000,966 | -231,233,669 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' |
Proceeds from repurchase agreements | 3,523,211,129 | 1,972,626,965 |
Principal payments on repurchase agreements | -3,022,580,809 | -1,776,723,801 |
Issuance of common shares of Orchid Island Capital, Inc. | 75,115,922 | 35,400,000 |
Cash dividends paid to noncontrolling interests | 7,378,350 | 1,274,399 |
Class A common shares sold directly to employees | -98,000 | 0 |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 568,465,892 | 230,028,765 |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 25,203,251 | 2,056,670 |
CASH AND CASH EQUIVALENTS, beginning of the period | 11,959,292 | 6,592,561 |
CASH AND CASH EQUIVALENTS, end of the period | 37,162,543 | 8,649,231 |
Cash paid during the period for: | ' | ' |
Interest | 1,452,682 | 1,125,152 |
Income Taxes | 22,267 | 39,386 |
SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ' | ' |
Securities acquisitions settled in later period | $6,828,538 | $0 |
Organization_and_Significant_A
Organization and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Organization and Significant Accounting Policies | ' |
NOTE 1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES | |
Organization and Business Description | |
Bimini Capital Management, Inc., a Maryland corporation (“Bimini Capital”), was formed in September 2003 for the purpose of creating and managing a leveraged investment portfolio consisting of residential mortgage-backed securities (“MBS”). Bimini Capital has elected to be taxed as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended (the “Code”). As a REIT, Bimini Capital is generally not subject to federal income tax on its REIT taxable income provided that it distributes to its stockholders at least 90% of its REIT taxable income on an annual basis. In addition, a REIT must meet other provisions of the Code to retain its special tax status. Bimini Capital’s website is located at http://www.biminicapital.com. | |
As used in this document, discussions related to the “Company”, refer to the consolidated entity, including Bimini Capital, our wholly-owned subsidiaries, and our consolidated variable interest entity (“VIE”). References to “Bimini Capital” and the “parent” refer to Bimini Capital Management, Inc. as a separate entity. | |
On February 20, 2013, Orchid Island Capital, Inc. (“Orchid”) completed the initial public offering (“IPO”) of its common stock. Prior to the completion of its IPO, Orchid was a wholly-owned qualified REIT subsidiary of Bimini Capital. During 2014, Orchid has completed additional offerings of its common stock, and through June 30, 2014, Orchid continues to be consolidated as our VIE. As used in this document, discussions related to REIT qualifying activities include the MBS portfolios of Bimini Capital and Orchid. | |
Discussions related to Bimini Capital’s taxable REIT subsidiaries or non-REIT eligible assets refer to Bimini Advisors, Inc. and its wholly-owned subsidiary, Bimini Advisors, LLC (together “Bimini Advisors”) and MortCo TRS, LLC (“MortCo”) and its consolidated subsidiaries. | |
Consolidation | |
The accompanying consolidated financial statements include the accounts of Bimini Capital, Orchid, Bimini Advisors and MortCo, as well as the wholly-owned subsidiaries of MortCo. All inter-company accounts and transactions have been eliminated from the consolidated financial statements. | |
ASC Topic 810, Consolidation (“ASC 810”), requires the consolidation of a VIE by an enterprise if it is deemed the primary beneficiary of the VIE. Further, ASC 810 requires a qualitative assessment to determine the primary beneficiary of a VIE and ongoing assessments of whether an enterprise is the primary beneficiary of a VIE as well as additional disclosures for entities that have variable interests in VIEs. | |
At the time of Orchid’s IPO and as of June 30, 2014, management has concluded Orchid is a VIE because Orchid's equity holders lack the ability through voting rights to make decisions about its activities that have a significant effect on the success of Orchid. Management has also concluded that Bimini Capital is the primary beneficiary of Orchid because, under the management agreement between Bimini Advisors and Orchid, Bimini Capital has the power to direct the activities of Orchid that most significantly impact its economic performance. As a result, subsequent to Orchid’s IPO and through June 30, 2014, the Company has continued to consolidate Orchid in its Consolidated Financial Statements. While the results of operations of Orchid are included in the Company’s Consolidated Financial Statements, net loss attributable to Bimini Capital stockholders does not include the portion attributable to noncontrolling interests. Additionally, noncontrolling interests in Orchid are recorded in our Consolidated Balance Sheets and our Consolidated Statement of Equity within the equity section but separate from the stockholders’ equity. | |
Assets recognized as a result of consolidating Orchid do not represent additional assets that could be used to satisfy claims against Bimini Capital’s assets. Conversely, liabilities recognized as a result of consolidating Orchid do not represent additional claims on Bimini Capital’s assets; rather, they represent claims against the assets of Orchid. Creditors and stockholders of Orchid have no recourse to the assets of Bimini Capital. | |
As further described in Note 7, Bimini Capital has a common share investment in a trust used in connection with the issuance of Bimini Capital’s junior subordinated notes. Pursuant to ASC 810, Bimini Capital’s common share investment in the trust has not been consolidated in the financial statements of Bimini Capital, and accordingly, this investment has been accounted for on the equity method. | |
Liquidity | |
Material losses incurred by the Company in 2006 and 2007 attributable to the former mortgage origination operations of MortCo significantly reduced Bimini Capital’s equity capital base and the size of its MBS portfolio when compared to pre-2006 levels. Litigation costs stemming from both the former operations of MortCo and Bimini Capital itself caused the Company’s overhead to be high in relation to its portfolio size. The smaller capital base made it difficult to generate sufficient net interest income to cover expenses. | |
Beginning in 2007, to respond to the losses and their impact on our capital base, the Company took significant steps to reduce the leverage in its balance sheet, reduce its debt service costs, reduce expenses, settle various litigation matters, and alter its investment strategy for holding MBS securities. In addition, the Company evaluated and pursued capital raising opportunities for Orchid. After pursuing several efforts to raise capital at Orchid, Orchid completed its initial public offering of common stock on February 20, 2013. Bimini Capital and Bimini Advisors acted as sponsor to Orchid by agreeing to fund all underwriting, legal and other costs of the offering, which totaled approximately $3.0 million during the year ended December 31, 2013. Orchid has no obligation or intent to reimburse Bimini Capital and Bimini Advisors, either directly or indirectly, for the offering costs; therefore, they were expensed in the Company’s consolidated statement of operations. As of March 31, 2014, Orchid reached $100 million of stockholders equity for the first time. As a result, in accordance with the management agreement between Bimini Advisors and Orchid, Bimini Advisors will begin to allocate certain overhead costs to Orchid on a pro rata basis commencing on July 1, 2014. As a stockholder of Orchid, Bimini Capital will continue to share in distributions, if any, paid by Orchid to its stockholders. | |
At June 30, 2014, the Company had cash and cash equivalents of approximately $37.2 million, an MBS portfolio of approximately $951.6 million and equity capital base of approximately $119.7 million, including approximately $6.7 million attributable to the stockholders of Bimini Capital and $112.9 million attributable to noncontrolling interests. The Company generated cash flows of approximately $37.7 million from principal and interest payments on its MBS portfolio and approximately $1.8 million from retained interests in securitizations during the six months ended June 30, 2014. However, if cash resources are, at any time, insufficient to satisfy the Company’s liquidity requirements, such as when cash flow from operations are materially negative, the Company may be required to pledge additional assets to meet margin calls, liquidate assets, sell additional debt or equity securities or pursue other financing alternatives. | |
Basis of Presentation | |
The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the six and three month periods ended June 30, 2014 are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. | |
The consolidated balance sheet at December 31, 2013 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by GAAP for complete consolidated financial statements. For further information, refer to the financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. | |
Use of Estimates | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates affecting the accompanying financial statements include the fair values of MBS, Eurodollar futures contracts, interest rate swaption, retained interests and asset valuation allowances. | |
Statement of Comprehensive Income (Loss) | |
In accordance with FASB ASC Topic 220, Comprehensive Income, a statement of comprehensive income has not been included as the Company has no items of other comprehensive income. Comprehensive income (loss) is the same as net income (loss) for all periods presented. | |
Cash and Cash Equivalents and Restricted Cash | |
Cash and cash equivalents include cash on deposit with financial institutions and highly liquid investments with original maturities of three months or less. Restricted cash of approximately $3,992,000 and approximately $2,557,000 at June 30, 2014 and December 31, 2013, respectively, represents cash held by a broker as margin on Eurodollar futures contracts. | |
The Company maintains cash balances at three banks, and, at times, balances may exceed federally insured limits. The Company has not experienced any losses related to these balances. The Federal Deposit Insurance Corporation insures up to $250,000 per depositor at each financial institution. At June 30, 2014, the Company’s cash deposits exceeded federally insured limits by approximately $36.1 million. Restricted cash balances are uninsured, but are held in separate customer accounts that are segregated from the general funds of the counterparty. The Company uses large, well-known bank and derivative counterparties and believes that it is not exposed to significant credit risk on cash and cash equivalents or restricted cash balances. | |
Mortgage-Backed Securities | |
The Company invests primarily in mortgage pass-through (“PT”) certificates, collateralized mortgage obligations, and interest-only (“IO”) securities and inverse interest-only (“IIO”) securities representing interest in or obligations backed by pools of mortgage-backed loans (collectively, “MBS”). These investments meet the requirements to be classified as available for sale under ASC 320-10-25, Debt and Equity Securities (which requires the securities to be carried at fair value on the balance sheet with changes in fair value charged to other comprehensive income, a component of stockholders’ equity). However, the Company has elected to account for its investment in MBS under the fair value option. Electing the fair value option requires the Company to record changes in fair value in the consolidated statement of operations, which, in management’s view, more appropriately reflects the results of our operations for a particular reporting period and is consistent with the underlying economics and how the portfolio is managed. | |
The Company records MBS transactions on the trade date. Security purchases that have not settled as of the balance sheet date are included in the MBS balance with an offsetting liability recorded, whereas securities sold that have not settled as of the balance sheet date are removed from the MBS balance with an offsetting receivable recorded. | |
The fair value of the Company’s investment in MBS is governed by FASB ASC Topic 820, Fair Value Measurement. The definition of fair value in FASB ASC Topic 820 focuses on the price that would be received to sell the asset or paid to transfer the liability in an orderly transaction between market participants at the measurement date. The fair value measurement assumes that the transaction to sell the asset or transfer the liability either occurs in the principal market for the asset or liability, or in the absence of a principal market, occurs in the most advantageous market for the asset or liability. Estimated fair values for MBS are based on the average of third-party broker quotes received and/or independent pricing sources when available. | |
Income on PT MBS is based on the stated interest rate of the security. Premiums or discounts present at the date of purchase are not amortized. For IO securities, the income is accrued based on the carrying value and the effective yield. The difference between income accrued and the interest received on the security is characterized as a return of investment and serves to reduce the asset’s carrying value. At each reporting date, the effective yield is adjusted prospectively from the reporting period based on the new estimate of prepayments and the contractual terms of the security. For IIO securities, effective yield and income recognition calculations also take into account the index value applicable to the security. Changes in fair value of MBS during each reporting period are recorded in earnings and reported as unrealized gains or losses on mortgage-backed securities in the accompanying consolidated statements of operations. | |
Retained Interests in Securitizations | |
From 2004 to 2006, MortCo participated in securitization transactions as part of its mortgage origination business. Retained interests in the securitization transactions were initially recorded at their fair value when issued by MortCo. Subsequent adjustments to fair value are reflected in earnings. Quoted market prices for these assets are generally not available, so the Company estimates fair value based on the present value of expected future cash flows using management’s best estimates of key assumptions, which include expected credit losses, prepayment speeds, weighted-average life, and discount rates commensurate with the inherent risks of the asset. | |
Derivative Financial Instruments | |
The Company uses derivative instruments to manage interest rate risk, facilitate asset/liability strategies and manage other exposures, and it may continue to do so in the future. The principal instruments that the Company has used to date are Eurodollar futures contracts and options to enter in interest rate swaps (“interest rate swaptions”), but it may enter into other transactions in the future. The Company has elected to not treat any of its derivative financial instruments as hedges. FASB ASC Topic 815, Derivatives and Hedging, requires that all derivative instruments be carried at fair value. Changes in fair value are recorded in earnings for each period. | |
Holding derivatives creates exposure to credit risk related to the potential for failure on the part of counterparties to honor their commitments. In addition, the Company may be required to post collateral based on any declines in the market value of the derivatives. In the event of default by a counterparty, the Company may have difficulty recovering its collateral and may not receive payments provided for under the terms of the agreement. To mitigate this risk, the Company uses well-established commercial banks as counterparties. | |
Financial Instruments | |
FASB ASC Topic 825, Financial Instruments, requires disclosure of the fair value of financial instruments for which it is practicable to estimate that value, either in the body of the financial statements or in the accompanying notes. MBS, Eurodollar futures contracts, interest rate swaptions, retained interests in securitization transactions and mortgage loans held for sale are accounted for at fair value in the consolidated balance sheets. The methods and assumptions used to estimate fair value for these instruments are presented in Note 13 of the financial statements. | |
The estimated fair value of cash and cash equivalents, restricted cash, accrued interest receivable, other assets, repurchase agreements, payable for unsettled securities purchased, accrued interest payable and other liabilities generally approximates their carrying value as of June 30, 2014 and December 31, 2013, due to the short-term nature of these financial instruments. | |
It is impractical to estimate the fair value of the Company’s junior subordinated notes. Currently, there is a limited market for these types of instruments and the Company is unable to ascertain what interest rates would be available to the Company for similar financial instruments. Information regarding carrying amount, effective interest rate and maturity date for these instruments is presented in Note 7 to the consolidated financial statements. | |
Property and Equipment, net | |
Property and equipment, net, consists of computer equipment with a depreciable life of 3 years, office furniture and equipment with depreciable lives of 8 to 20 years, land which has no depreciable life, and buildings and improvements with depreciable lives of 30 years. Property and equipment is recorded at acquisition cost and depreciated using the straight-line method over the estimated useful lives of the assets. | |
Repurchase Agreements | |
The Company finances the acquisition of the majority of its PT MBS through the use of repurchase agreements under master repurchase agreements. Pursuant to ASC Topic 860, Transfers and Servicing, the Company accounts for repurchase transactions as collateralized financing transactions, which are carried at their contractual amounts, including accrued interest, as specified in the respective agreements. | |
Share-Based Compensation | |
The Company follows the provisions of FASB ASC topic 718, Compensation – Stock Compensation, to account for stock and stock-based awards. For stock and stock-based awards issued to employees, a compensation charge is recorded against earnings over the vesting period based on the fair value of the award. Payments pursuant to dividend equivalent rights, which are granted along with certain equity based awards, are charged to stockholders’ equity when declared. The Company applies a zero forfeiture rate for its equity based awards, as such awards have been granted to a limited number of employees and historical forfeitures have been minimal. A significant forfeiture, or an indication that significant forfeitures may occur, would result in a revised forfeiture rate which would be accounted for prospectively as a change in an estimate. For transactions with non-employees in which services are performed in exchange for the Company’s common stock or other equity instruments, the transactions are recorded on the basis of the fair value of the service received or the fair value of the equity instruments issued, whichever is more readily measurable at the date of issuance. | |
Earnings Per Share | |
The Company follows the provisions of FASB ASC Topic 260, Earnings Per Share, which requires companies with complex capital structures, common stock equivalents or two (or more) classes of securities that participate in dividend distributions to present both basic and diluted earnings per share (“EPS”) on the face of the consolidated statement of operations. Basic EPS is calculated as income available to common stockholders divided by the weighted average number of common shares outstanding during the period. Diluted EPS is calculated using the “if converted” method for common stock equivalents. However, the common stock equivalents are not included in computing diluted EPS if the result is anti-dilutive. | |
Outstanding shares of Class B Common Stock, participating and convertible into Class A Common Stock, are entitled to receive dividends in an amount equal to the dividends declared on each share of Class A Common Stock if, as and when authorized and declared by the Board of Directors. Accordingly, shares of the Class B Common Stock are included in the computation of basic EPS using the two-class method and, consequently, are presented separately from Class A Common Stock. | |
The shares of Class C Common Stock are not included in the basic EPS computation as these shares do not have participation rights. The outstanding shares of Class B and Class C Common Stock are not included in the computation of diluted EPS for the Class A Common Stock as the conditions for conversion into shares of Class A Common Stock were not met. | |
Income Taxes | |
Bimini Capital has elected to be taxed as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended (the “Code”), and Orchid, until the closing of its IPO on February 20, 2013, was a “qualified REIT subsidiary” of Bimini Capital under the Code. Beginning with its short tax period commencing on February 20, 2013 and ending December 31, 2013, Orchid has qualified and elected to be taxed as a REIT, and filed a REIT tax return separate from Bimini Capital. REITs are generally not subject to federal income tax on their REIT taxable income provided that they distribute to their stockholders at least 90% of their REIT taxable income on an annual basis. In addition, a REIT must meet other provisions of the Code to retain its tax status. At June 30, 2014, management believes that the Company has complied with Code requirements and Bimini Capital continues to qualify as a REIT. As further described in Note 11, Income Taxes, Bimini Advisors and MortCo are taxpaying entities for income tax purposes and are taxed separately from Bimini Capital and Orchid. | |
The Company’s U.S. federal income tax returns for years ended on or after December 31, 2010 remain open for examination. Although management believes its calculations for tax returns are correct and the positions taken thereon are reasonable, the final outcome of tax audits could be materially different from the tax returns filed by the Company, and those differences could result in significant costs or benefits to the Company. | |
The Company measures, recognizes and presents its uncertain tax positions in accordance with FASB ASC 740, Income Taxes. Under that guidance, the Company assesses the likelihood, based on their technical merit, that tax positions will be sustained upon examination based on the facts, circumstances and information available at the end of each period. The measurement of uncertain tax positions is adjusted when new information is available, or when an event occurs that requires a change. | |
Reclassifications | |
Certain prior period amounts have been reclassified to conform to the current period presentations. | |
Recent Accounting Pronouncements | |
In June 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-12, Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period. ASU 2014-12 requires that performance targets that affect vesting and that could be achieved after the requisite service period be treated as performance conditions. The effective date of ASU 2014-12 is for interim and annual reporting periods beginning after December 15, 2015. The ASU is not expected to materially impact the Company’s consolidated financial statements. | |
In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures. ASU 2014-11 amends the accounting guidance for repurchase-to-maturity transactions and repurchase agreements executed as repurchase financings, and requires additional disclosure about certain transactions by the transferor. ASU 2014-11 is effective for certain transactions that qualify for sales treatment for the first interim or annual period beginning after December 15, 2014. The new disclosure requirements for repurchase agreements, securities lending transactions and repurchase-to-maturity transactions that qualify for secured borrowing treatment is effective for annual periods beginning after December 15, 2014 and for interim periods beginning after March 15, 2015. We currently record our repurchase arrangements as secured borrowings and do not anticipate that ASU 2014-11 will have a material impact on the Company’s consolidated financial statements. | |
In July 2013, the FASB issued ASU 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. This new standard requires the netting of unrecognized tax benefits against a deferred tax asset for a loss or other carryforward that would apply in settlement of the uncertain tax positions. Under the new standard, unrecognized tax benefits will be netted against all available same-jurisdiction loss or other tax carryforwards that would be utilized, rather than only against carryforwards that are created by the unrecognized tax benefits. The ASU is effective beginning January 1, 2014 on either a prospective or retrospective basis. The guidance represents a change in financial statement presentation only and the adoption of this ASU did not have a material impact on the Company’s consolidated financial results. | |
In June 2013, the FASB issued ASU 2013-08, Financial Services – Investment Companies (Topic 946): Amendments to the Scope, Measurement, and Disclosure Requirements. The amendments in this Update modify the guidance for determining whether an entity is an investment company, update the measurement requirements for noncontrolling interests in other investment companies and require additional disclosures for investment companies under US GAAP. The amendments in the Update develop a two-tiered approach for the assessment of whether an entity is an investment company which requires an entity to possess certain fundamental characteristics while allowing judgment in assessing other typical characteristics. The amendments in this Update also revise the measurement guidance in Topic 946 such that investment companies must measure noncontrolling ownership interests in other investment companies at fair value, rather than applying the equity method of accounting to such interests. The new guidance became effective beginning January 1, 2014. The adoption of this ASU did not have a material impact on the Company’s consolidated financial statements. | |
In February 2013, the FASB issued ASU 2013-04, Liabilities (Topic 405) - Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date ("ASU 2013-04"). The objective of this ASU is to provide guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date, except for obligations addressed within existing US GAAP. The amendments in ASU 2013-04 became effective for fiscal years, and interim periods within those years, beginning after December 15, 2013, and should be retrospectively applied to all prior periods presented for those obligations resulting from joint and several liability arrangements within the ASU's scope that exist at the beginning of an entity's fiscal year of adoption. The adoption of this ASU had no impact on the Company’s consolidated financial statements. |
Mortgage_Backed_Securities
Mortgage Backed Securities | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
Mortgage Backed Securities [Abstract] | ' | |||||
Mortgage-Backed Securities | ' | |||||
NOTE 2. MORTGAGE-BACKED SECURITIES | ||||||
The following table presents the Company’s MBS portfolio as of June 30, 2014 and December 31, 2013: | ||||||
(in thousands) | ||||||
30-Jun-14 | 31-Dec-13 | |||||
Pass-Through MBS: | ||||||
Hybrid Adjustable-rate Mortgages | $ | 75,734 | $ | 90,487 | ||
Adjustable-rate Mortgages | 4,650 | 5,334 | ||||
Fixed-rate Mortgages | 820,831 | 267,481 | ||||
Total Pass-Through MBS | 901,215 | 363,302 | ||||
Structured MBS: | ||||||
Interest-Only Securities | 39,608 | 20,443 | ||||
Inverse Interest-Only Securities | 10,818 | 5,596 | ||||
Total Structured MBS | 50,426 | 26,039 | ||||
Total | $ | 951,641 | $ | 389,341 | ||
Included in the table above at June 30, 2014 are $876.0 million of MBS assets that may only be used to settle liabilities of the consolidated VIE. | ||||||
The following table summarizes the Company’s MBS portfolio as of June 30, 2014 and December 31, 2013, according to the contractual maturities of the securities in the portfolio. Actual maturities of MBS investments are generally shorter than stated contractual maturities and are affected by the contractual lives of the underlying mortgages, periodic payments of principal, and prepayments of principal. | ||||||
(in thousands) | ||||||
30-Jun-14 | 31-Dec-13 | |||||
Less than one year | $ | 16 | $ | 46 | ||
Greater than five years and less than ten years | 1,134 | 1,520 | ||||
Greater than or equal to ten years | 950,491 | 387,775 | ||||
Total | $ | 951,641 | $ | 389,341 | ||
The Company generally pledges its MBS assets as collateral under repurchase agreements. At June 30, 2014 and December 31, 2013, the Company had unpledged securities totaling $44.0 million and $17.2 million, respectively. The unpledged balance at June 30, 2014 includes an unsettled security purchase with a fair value of approximately $6.8 million that will be pledged as collateral under a repurchase agreement on its respective settlement date in July 2014. |
Retained_Interests_In_Securiti
Retained Interests In Securitizations | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
Retained Interests In Securitizations [Abstract] | ' | |||||
Retained Interests In Securitizations | ' | |||||
NOTE 3. RETAINED INTERESTS IN SECURITIZATIONS | ||||||
The following table summarizes the estimated fair value of the Company’s retained interests in asset backed securities as of June 30, 2014 and December 31, 2013: | ||||||
(in thousands) | ||||||
Series | Issue Date | 30-Jun-14 | 31-Dec-13 | |||
HMAC 2004-1 | 4-Mar-04 | $ | 19 | $ | - | |
HMAC 2004-2 | 10-May-04 | 589 | - | |||
HMAC 2004-3 | 30-Jun-04 | 977 | 1,518 | |||
HMAC 2004-4 | 16-Aug-04 | 1,192 | 654 | |||
HMAC 2004-5 | 28-Sep-04 | 358 | 359 | |||
Total | $ | 3,135 | $ | 2,531 |
Repurchase_Agreements
Repurchase Agreements | 6 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Disclosure of Repurchase Agreements [Abstract] | ' | |||||||||||
Repurchase Agreements | ' | |||||||||||
NOTE 4. REPURCHASE AGREEMENTS | ||||||||||||
As of June 30, 2014, the Company had outstanding repurchase agreement obligations of approximately $854.0 million with a net weighted average borrowing rate of 0.35%. These agreements were collateralized by MBS with a fair value, including accrued interest, of approximately $911.1 million. As of December 31, 2013, the Company had outstanding repurchase agreement obligations of approximately $353.4 million with a net weighted average borrowing rate of 0.39%. These agreements were collateralized by MBS with a fair value, including accrued interest, of approximately $373.4 million. | ||||||||||||
As of June 30, 2014 and December 31, 2013, the Company’s repurchase agreements had remaining maturities as summarized below: | ||||||||||||
($ in thousands) | ||||||||||||
OVERNIGHT | BETWEEN 2 | BETWEEN 31 | GREATER | |||||||||
(1 DAY OR | AND | AND | THAN | |||||||||
LESS) | 30 DAYS | 90 DAYS | 90 DAYS | TOTAL | ||||||||
30-Jun-14 | ||||||||||||
Fair value of securities pledged, including accrued | ||||||||||||
interest receivable | $ | - | $ | 643,035 | $ | 262,977 | $ | 5,052 | $ | 911,064 | ||
Repurchase agreement liabilities associated with | ||||||||||||
these securities | $ | - | $ | 605,018 | $ | 244,279 | $ | 4,729 | $ | 854,026 | ||
Net weighted average borrowing rate | - | 0.35% | 0.34% | 0.38% | 0.35% | |||||||
31-Dec-13 | ||||||||||||
Fair value of securities pledged, including accrued | ||||||||||||
interest receivable | $ | - | $ | 357,338 | $ | 16,081 | $ | - | $ | 373,419 | ||
Repurchase agreement liabilities associated with | ||||||||||||
these securities | $ | - | $ | 337,977 | $ | 15,419 | $ | - | $ | 353,396 | ||
Net weighted average borrowing rate | - | 0.39% | 0.37% | - | 0.39% | |||||||
As of June 30, 2014, the outstanding repurchase obligations of the consolidated VIE included in the table above was $783.7 million. | ||||||||||||
If, during the term of a repurchase agreement, a lender files for bankruptcy, the Company might experience difficulty recovering its pledged assets, which could result in an unsecured claim against the lender for the difference between the amount loaned to the Company plus interest due to the counterparty and the fair value of the collateral pledged to such lender, including the accrued interest receivable, and cash posted by the Company as collateral, if any. At June 30, 2014 and December 31, 2013, the Company had a maximum amount at risk (the difference between the amount loaned to the Company, including interest payable, and the fair value of securities and cash pledged (if any), including accrued interest on such securities) of approximately $56.7 million and $19.9 million, respectively. At June 30, 2014, the Company did not have an amount at risk with any repurchase agreement counterparty greater than 10% of the Company’s equity. Summary information regarding amounts at risk with individual counterparties greater than 10% of equity at December 31, 2013 is as follows: | ||||||||||||
($ in thousands) | ||||||||||||
% of | Weighted | |||||||||||
Stockholders' | Average | |||||||||||
Amount | Equity | Maturity | ||||||||||
Repurchase Agreement Counterparties | at Risk | at Risk | (in Days) | |||||||||
31-Dec-13 | ||||||||||||
Citigroup Global Markets, Inc. | $ | 5,487 | 16.40% | 11 | ||||||||
At June 30, 2014 and December 31, 2013, Bimini Capital had a maximum amount at risk (the difference between the amount loaned to Bimini Capital, including interest payable, and the fair value of securities and cash pledged (if any), including accrued interest on such securities) of approximately $4.2 million and $1.6 million, respectively. Summary information regarding amounts at risk with individual counterparties greater than 10% of stockholders’ equity attributable to Bimini Capital at June 30, 2014 and December 31, 2013 is as follows: | ||||||||||||
($ in thousands) | ||||||||||||
% of | Weighted | |||||||||||
Stockholders' | Average | |||||||||||
Amount | Equity | Maturity | ||||||||||
Repurchase Agreement Counterparties | at Risk | at Risk | (in Days) | |||||||||
30-Jun-14 | ||||||||||||
ED&F Man Capital Markets Inc. | $ | 1,520 | 22.50% | 65 | ||||||||
JVB Financial Group, LLC | 788 | 11.70% | 11 | |||||||||
Suntrust Robinson Humphrey, Inc. | 776 | 11.50% | 28 | |||||||||
31-Dec-13 | ||||||||||||
Suntrust Robinson Humphrey, Inc. | $ | 715 | 41.00% | 3 | ||||||||
The PrinceRidge Group, LLC | 559 | 32.10% | 21 |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Derivative Financial Instruments [Abstract] | ' | |||||||||||||||
Derivative Financial Instruments | ' | |||||||||||||||
NOTE 5. DERIVATIVE FINANCIAL INSTRUMENTS | ||||||||||||||||
In connection with its interest rate risk management strategy, the Company economically hedges a portion of the cost of its repurchase agreement funding by entering into derivatives, such as Eurodollar futures contracts and an interest rate swaption. The Company has not elected hedging treatment under GAAP, and as such all gains or losses (realized and unrealized) on these instruments are reflected in earnings for all periods presented. | ||||||||||||||||
As of December 31, 2013, such instruments were comprised entirely of Eurodollar futures contracts. Eurodollar futures are cash settled futures contracts on an interest rate, with gains or losses credited or charged to the Company’s account on a daily basis and reflected in earnings as they occur. A minimum balance, or “margin”, is required to be maintained in the account on a daily basis. The Company is exposed to the changes in value of the futures by the amount of margin held by the broker. This margin represents the collateral the Company has posted for its open positions and is recorded on the consolidated balance sheet as part of restricted cash. | ||||||||||||||||
During the six months ended June 30, 2014, the Company was a party to interest rate swaption agreements. At June 30, 2014, the Company had one outstanding swaption agreement which grants the Company the right but not the obligation to enter into an underlying pay fixed interest rate swap (“payer swaption”). The Company may also enter into swaption agreements that provide the Company the option to enter into a receive fixed interest rate swap (“receiver swaption”). | ||||||||||||||||
Derivative Assets (Liability), at Fair Value | ||||||||||||||||
The table below summarizes fair value information about our derivative assets and liability as of June 30, 2014 and December 31, 2013. | ||||||||||||||||
(in thousands) | ||||||||||||||||
Derivative Instruments and Related Accounts | Balance Sheet Location | 30-Jun-14 | 31-Dec-13 | |||||||||||||
Assets | ||||||||||||||||
Eurodollar futures - Margin posted to counterparty | Restricted cash | $ | 3,992 | $ | 2,557 | |||||||||||
Payer swaption | Derivative assets, at fair value | 1,200 | - | |||||||||||||
$ | 5,192 | $ | 2,557 | |||||||||||||
Liability | ||||||||||||||||
Payer swaption - Margin posted by counterparty | Other liabilities | $ | -1,266 | $ | - | |||||||||||
The tables below present information related to the Company’s Eurodollar futures positions at June 30, 2014 and December 31, 2013. | ||||||||||||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Consolidated) | ||||||||||||||||
As of June 30, 2014 | ||||||||||||||||
Repurchase Agreement Funding Hedges | Junior Subordinated Debt Funding Hedges | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity(1) | Rate | Amount | Equity(1) | ||||||||||
2015 | 0.65% | $ | 580,000 | $ | -795 | 0.63% | $ | 26,000 | $ | -222 | ||||||
2016 | 1.54% | 586,500 | 150 | 1.58% | 26,000 | -50 | ||||||||||
2017 | 2.46% | 430,000 | 192 | 2.46% | 26,000 | -7 | ||||||||||
2018 | 2.97% | 420,000 | -457 | 2.92% | 26,000 | -3 | ||||||||||
Total / Weighted Average | 1.71% | $ | 509,733 | $ | -910 | 1.75% | $ | 26,000 | $ | -282 | ||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Consolidated) | ||||||||||||||||
As of December 31, 2013 | ||||||||||||||||
Repurchase Agreement Funding Hedges | Junior Subordinated Debt Funding Hedges | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity(1) | Rate | Amount | Equity(1) | ||||||||||
2014 | 0.40% | $ | 262,500 | $ | -189 | 0.35% | $ | 26,000 | $ | -428 | ||||||
2015 | 0.80% | 275,000 | -146 | 0.80% | 26,000 | -176 | ||||||||||
2016 | 1.90% | 250,000 | 1,367 | 1.74% | 26,000 | 9 | ||||||||||
2017 | 3.03% | 250,000 | 2,291 | - | - | - | ||||||||||
2018 | 3.77% | 250,000 | 1,575 | - | - | - | ||||||||||
Total / Weighted Average | 2.02% | $ | 257,353 | $ | 4,898 | 0.89% | $ | 26,000 | $ | -595 | ||||||
The tables below present information related solely to Bimini Capital’s Eurodollar futures positions at June 30, 2014 and December 31, 2013. | ||||||||||||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Parent-Only) | ||||||||||||||||
Repurchase Agreement Funding Hedges | ||||||||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity | Rate | Amount | Equity(1) | ||||||||||
2015 | 0.63% | $ | 30,000 | $ | -5 | - | $ | - | $ | - | ||||||
2016 | 1.60% | 36,500 | -9 | - | - | - | ||||||||||
2017 | 2.46% | 30,000 | -10 | - | - | - | ||||||||||
2018 | 2.92% | 30,000 | -5 | - | - | - | ||||||||||
Total / Weighted Average | 1.75% | $ | 31,857 | $ | -29 | - | $ | - | $ | - | ||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Parent-Only) | ||||||||||||||||
Junior Subordinated Debt Funding Hedges | ||||||||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity | Rate | Amount | Equity(1) | ||||||||||
2014 | - | $ | - | $ | - | 0.35% | $ | 26,000 | $ | -428 | ||||||
2015 | 0.63% | 26,000 | -222 | 0.80% | 26,000 | -176 | ||||||||||
2016 | 1.58% | 26,000 | -50 | 1.74% | 26,000 | 9 | ||||||||||
2017 | 2.46% | 26,000 | -7 | - | - | - | ||||||||||
2018 | 2.92% | 26,000 | -3 | - | - | - | ||||||||||
Total / Weighted Average | 1.75% | $ | 26,000 | $ | -282 | 0.89% | $ | 26,000 | $ | -595 | ||||||
Open equity represents the cumulative gains (losses) recorded on open futures positions from inception. | ||||||||||||||||
The table below presents information related to the Company’s interest rate swaption position at June 30, 2014. | ||||||||||||||||
($ in thousands) | ||||||||||||||||
Option | Underlying Swap | |||||||||||||||
Fixed | Receive | |||||||||||||||
Fair | Months to | Notional | Pay | Rate | Term | |||||||||||
Expiration | Cost | Value | Expiration | Amount | Rate | (LIBOR) | (Years) | |||||||||
≤ 1 year | $ | 1,520 | $ | 1,200 | 11.5 | $ | 100,000 | 2.38% | 3 Month | 5 | ||||||
Gain (Loss) From Derivative Instruments, Net | ||||||||||||||||
The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for the six and three months ended June 30, 2014 and 2013. | ||||||||||||||||
(in thousands) | ||||||||||||||||
Consolidated | Parent-Only | |||||||||||||||
Six Months Ended June 30, | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Eurodollar futures contracts (short positions) | $ | -6,306 | $ | 6,596 | $ | -170 | $ | 228 | ||||||||
Payer swaptions | -1,285 | - | - | - | ||||||||||||
$ | -7,591 | $ | 6,596 | $ | -170 | $ | 228 | |||||||||
Credit Risk-Related Contingent Features | ||||||||||||||||
The use of derivatives creates exposure to credit risk relating to potential losses that could be recognized in the event that the counterparties to these instruments fail to perform their obligations under the contracts. We minimize this risk by limiting our counterparties for instruments which are not centrally cleared on a registered exchange to major financial institutions with acceptable credit ratings and monitoring positions with individual counterparties. In addition, we may be required to pledge assets as collateral for our derivatives, whose amounts vary over time based on the market value, notional amount and remaining term of the derivative contract. In the event of a default by a counterparty, we may not receive payments provided for under the terms of our derivative agreements, and may have difficulty obtaining our assets pledged as collateral for our derivatives. The cash and cash equivalents pledged as collateral for our derivative instruments are included in restricted cash on our consolidated balance sheets. |
Offsetting_Assets_and_Liabilit
Offsetting Assets and Liabilities | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Offsetting [Abstract] | ' | ||||||||||||
Offsetting Assets And Liabilities [Text Block] | ' | ||||||||||||
NOTE 6. OFFSETTING ASSETS AND LIABILITIES | |||||||||||||
The Company’s derivatives and repurchase agreements are subject to underlying agreements with master netting or similar arrangements, which provide for the right of offset in the event of default or in the event of bankruptcy of either party to the transactions. The Company reports its assets and liabilities subject to these arrangements on a gross basis. | |||||||||||||
The following tables present information regarding those assets and liabilities subject to such arrangements as if the Company had presented them on a net basis as of June 30, 2014 and December 31, 2013. | |||||||||||||
(in thousands) | |||||||||||||
Offsetting of Assets | |||||||||||||
Gross Amount Not Offset | |||||||||||||
in the Balance Sheet | |||||||||||||
Net Amount | Financial | ||||||||||||
Gross Amount | Gross Amount | of Assets | Instruments | Cash | |||||||||
of Recognized | Offset in the | Presented in the | Received as | Received as | Net | ||||||||
Assets | Balance Sheet | Balance Sheet | Collateral | Collateral | Amount | ||||||||
30-Jun-14 | |||||||||||||
Derivative asset - Payer swaption | $ | 1,200 | $ | - | $ | 1,200 | $ | - | $ | -1,200 | $ | - | |
31-Dec-13 | |||||||||||||
Derivative asset | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |
(in thousands) | |||||||||||||
Offsetting of Liabilities | |||||||||||||
Gross Amount Not Offset | |||||||||||||
in the Balance Sheet | |||||||||||||
Net Amount | Financial | ||||||||||||
Gross Amount | Gross Amount | of Liabilities | Instruments | ||||||||||
of Recognized | Offset in the | Presented in the | Posted as | Cash Posted | Net | ||||||||
Liabilities | Balance Sheet | Balance Sheet | Collateral | Collateral | Amount | ||||||||
30-Jun-14 | |||||||||||||
Repurchase Agreements | $ | 854,026 | $ | - | $ | 854,026 | $ | -854,026 | $ | - | $ | - | |
31-Dec-13 | |||||||||||||
Repurchase Agreements | $ | 353,396 | $ | - | $ | 353,396 | $ | -353,396 | $ | - | $ | - | |
The amounts disclosed for collateral received by or posted to the same counterparty are limited to the amount sufficient to reduce the asset or liability presented in the balance sheet to zero in accordance with ASU No. 2011-11, as amended by ASU No. 2013-01. The fair value of the actual collateral received by or posted to the same counterparty typically exceeds the amounts presented. See Notes 4 and 5 for a discussion of collateral posted or received against or for repurchase obligations and derivative instruments. |
Trust_Preferred_Securities
Trust Preferred Securities | 6 Months Ended |
Jun. 30, 2014 | |
Trust Preferred Securities [Abstract] | ' |
Trust Preferred Securities | ' |
NOTE 7. TRUST PREFERRED SECURITIES | |
During 2005, Bimini Capital sponsored the formation of a statutory trust, known as Bimini Capital Trust II (“BCTII”) of which 100% of the common equity is owned by Bimini Capital. It was formed for the purpose of issuing trust preferred capital securities to third-party investors and investing the proceeds from the sale of such capital securities solely in junior subordinated debt securities of Bimini Capital. The debt securities held by BCTII are the sole assets of BCTII. | |
As of June 30, 2014 and December 31, 2013, the outstanding principal balance on the junior subordinated debt securities owed to BCTII was $26.8 million. The BCTII trust preferred securities and Bimini Capital's BCTII Junior Subordinated Notes have a rate of interest that floats at a spread of 3.50% over the prevailing three-month LIBOR rate. As of June 30, 2014, the interest rate was 3.73%. The BCTII trust preferred securities and Bimini Capital's BCTII Junior Subordinated Notes require quarterly interest distributions and are redeemable at Bimini Capital's option, in whole or in part and without penalty, beginning December 15, 2010. Bimini Capital's BCTII Junior Subordinated Notes are subordinate and junior in right of payment of all present and future senior indebtedness. | |
The trust is a VIE because the holders of the equity investment at risk do not have adequate decision making ability over the trust's activities. Since Bimini Capital's investment in the trust's common equity securities was financed directly by the trust as a result of its loan of the proceeds to Bimini Capital, that investment is not considered to be an equity investment at risk. Since Bimini Capital's common share investment in BCTII is not a variable interest, Bimini Capital is not the primary beneficiary of BCTII. Therefore, Bimini Capital has not consolidated the financial statements of BCTII into its financial statements. | |
The accompanying consolidated financial statements present Bimini Capital's BCTII Junior Subordinated Notes issued to the trust as a liability and Bimini Capital's investment in the common equity securities of BCTII as an asset (included in other assets). For financial statement purposes, Bimini Capital records payments of interest on the Junior Subordinated Notes issued to BCTII as interest expense. |
Capital_Stock
Capital Stock | 6 Months Ended | ||||||
Jun. 30, 2014 | |||||||
Capital Stock [Abstract] | ' | ||||||
Capital Stock | ' | ||||||
NOTE 8. CAPITAL STOCK | |||||||
At June 30, 2014 and December 31, 2013, Bimini Capital’s capital stock is comprised of the following: | |||||||
30-Jun-14 | 31-Dec-13 | ||||||
Preferred stock, $0.001 par value; 10,000,000 shares authorized; designated, 1,800,000 | |||||||
shares as Class A Redeemable and 2,000,000 shares as Class B Redeemable; no | |||||||
shares issued and outstanding as of June 30, 2014 and December 31, 2013 | $ | - | $ | - | |||
Class A Common Stock, $0.001 par value; 98,000,000 shares designated: 12,295,182 | |||||||
shares issued and outstanding as of June 30, 2014 and 11,509,756 shares | |||||||
issued and outstanding as of December 31, 2013 | 12,295 | 11,510 | |||||
Class B Common Stock, $0.001 par value; 1,000,000 shares designated, 31,938 shares | |||||||
issued and outstanding as of June 30, 2014 and December 31, 2013 | 32 | 32 | |||||
Class C Common Stock, $0.001 par value; 1,000,000 shares designated, 31,938 shares | |||||||
issued and outstanding as of June 30, 2014 and December 31, 2013 | 32 | 32 | |||||
Issuances of Common Stock | |||||||
The table below presents information related to the Company’s Class A Common Stock issued during the six and three months ended June 30, 2014 and 2013. | |||||||
Six Months Ended June 30, | Three Months Ended June 30, | ||||||
Shares Issued Related To: | 2014 | 2013 | 2014 | 2013 | |||
Directors' compensation | 27,531 | - | 27,531 | - | |||
Vesting incentive plan shares(1) | 500,000 | 16,204 | - | - | |||
Shares sold directly to employees(1) | 257,895 | - | - | - | |||
Total shares of Class A Common Stock issued | 785,426 | 16,204 | 27,531 | - | |||
See Note 9, Stock Incentive Plans, for details of these issuances. | |||||||
There were no issuances of the Company's Class B Common Stock and Class C Common Stock during the six and three months ended June 30, 2014 and 2013. |
Stock_Incentive_Plans
Stock Incentive Plans | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Employee Benefits And Share Based Compensation [Abstract] | ' | |||||||
Stock incentive Plans | ' | |||||||
NOTE 9. STOCK INCENTIVE PLANS | ||||||||
On August 12, 2011, Bimini Capital’s shareholders approved the 2011 Long Term Compensation Plan (the “2011 Plan”) to assist the Company in recruiting and retaining employees, directors and other service providers by enabling them to participate in the success of Bimini Capital and to associate their interest with those of the Company and its stockholders. The plan is intended to permit the grant of stock options, stock appreciation rights (“SARs”), stock awards, performance units and other equity-based and incentive awards. The maximum aggregate number of shares of Common Stock that may be issued under the 2011 Plan pursuant to the exercise of options and SARs, the grant of stock awards or other equity-based awards and the settlement of incentive awards and performance units is equal to 4,000,000 shares. | ||||||||
In October 2012, Orchid adopted the 2012 Equity Incentive Plan (the “2012 Plan”) to recruit and retain employees, directors and other service providers, including employees of Bimini Capital and other affiliates. The 2012 Plan provides for the award of stock options, stock appreciation rights, stock award, performance units, other equity-based awards (and dividend equivalents with respect to awards of performance units and other equity-based awards) and incentive awards. The 2012 Plan is administered by the Compensation Committee of Orchid’s Board of Directors except that Orchid’s full Board of Directors will administer awards made to directors who are not employees of Orchid or its affiliates. The 2012 Plan provides for awards of up to an aggregate of 10% of the issued and outstanding shares of Orchid’s common stock (on a fully diluted basis) at the time of the awards, subject to a maximum aggregate 4,000,000 shares of Orchid common stock that may be issued under the Incentive Plan. | ||||||||
Phantom share awards represent a right to receive a share of Bimini Capital's Class A Common Stock. These awards do not have an exercise price and are valued at the fair value of Bimini Capital’s Class A Common Stock at the date of the grant. The grant date value is amortized to compensation expense on a straight-line basis over the vesting period of the respective award. The phantom shares vest, based on the employees’ continuing employment, following a schedule as provided in the individual grant agreements. Compensation expense recognized for phantom shares was approximately $41,000 and $20,000 for the six and three months ended June 30, 2013, respectively. During the six months ended June 30, 2014, there was no compensation expense recognized for the phantom share awards issued, as such awards were in settlement of the 2013 bonus liability accrued at December 31, 2013, as described below. Dividends paid on unsettled awards are charged to stockholders’ equity when declared. | ||||||||
A summary of Bimini’s phantom share activity during six months ended June 30, 2014 and 2013 is presented below: | ||||||||
2014 | 2013 | |||||||
Weighted- | Weighted- | |||||||
Average | Average | |||||||
Grant-Date | Grant-Date | |||||||
Shares | Fair Value | Shares | Fair Value | |||||
Nonvested, at January 1 | - | $ | - | 367,844 | $ | 1.11 | ||
Granted during the period | 500,000 | 0.38 | - | - | ||||
Vested during the period | -500,000 | 0.38 | -16,204 | 0.97 | ||||
Nonvested, at June 30 | - | $ | - | 351,640 | $ | 1.12 | ||
In February 2014, the Compensation Committee of the Board of Directors of Bimini Capital approved certain performance bonuses for members of management. These bonuses were awarded primarily in recognition of management’s capital raising efforts in 2013. The bonuses, which were paid on February 19, 2014 (the “Bonus Date”), consisted of cash and fully vested shares of the Company’s common stock issued under the 2011 Plan. In particular, executive officers received bonuses totaling approximately $422,000, consisting of 500,000 shares of the Company’s common stock with an approximate value of $190,000, and cash of approximately $232,000 which, at the officer’s election, could be used to purchase newly issued shares directly from the Company. Under this election, the officers purchased 257,895 shares of the Company’s common stock. For purposes of these bonuses, shares of the Company’s common stock were valued based on the closing price of the Company’s common stock on the Bonus Date. The expense related to this bonus was accrued at December 31, 2013 and do not affect the results of operations for the six and three months ended June 30, 2014. | ||||||||
A summary of Orchid’s incentive share activity during the six months ended June 30, 2014 is presented below: | ||||||||
Weighted- | Weighted- | |||||||
Average | Average | |||||||
Grant-Date | Remaining | |||||||
Shares | Fair Value | Life | ||||||
Restricted common stock, at January 1, 2014 | - | $ | - | - | ||||
Restricted common stock granted during the period | 26,944 | 12.32 | - | |||||
Vested during the period | -2,944 | 13.06 | - | |||||
Restricted common stock, at June 30, 2014 | 24,000 | $ | 12.23 | 2.8 Years | ||||
On April 25, 2014, Orchid’s Compensation Committee granted each of its non-employee directors 6,000 shares of restricted common stock subject to a three year vesting schedule whereby 2,000 shares of the award vest on the first, second and third anniversaries of the award date. Directors have all the rights of any other Orchid stockholder with respect to the awards, including the right to receive dividends and vote the shares. The awards are subject to forfeiture should the director no longer be a member of the Board of Directors of Orchid prior to the respective vesting dates. In June 2014, the non-employee directors also received a total of 2,944 shares of immediately vested stock awards as part of their compensation for service on Orchid’s board of directors. Compensation expense recognized for restricted shares was approximately $55,000 for both the six and three months ended June 30, 2014. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Commitments And Contingencies | ' |
NOTE 10. COMMITMENTS AND CONTINGENCIES | |
Outstanding Litigation | |
The Company is involved in various lawsuits and claims, both actual and potential, including some that it has asserted against others, in which monetary and other damages are sought. These lawsuits and claims relate primarily to contractual disputes arising out of the ordinary course of the Company’s business. The outcome of such lawsuits and claims is inherently unpredictable. However, management believes that, in the aggregate, the outcome of all lawsuits and claims involving the Company will not have a material effect on the Company’s consolidated financial position or liquidity; however, any such outcome may be material to the results of operations of any particular period in which costs, if any, are recognized. | |
A complaint by a note-holder in Preferred Term Securities XX (“PreTSL XX”) was filed on July 16, 2010 in the Supreme Court of the State of New York, New York County, against Bimini Capital, the Bank of New York Mellon (“BNYM”), PreTSL XX, Ltd. and Hexagon Securities, LLC (“Hexagon”). The complaint, filed by Hildene Capital Management, LLC and Hildene Opportunities Fund, Ltd. (“Hildene”), alleges that Hildene suffered losses as a result of Bimini’s repurchase of all outstanding fixed/floating rate capital securities of Bimini Capital Trust II for less than par value from PreTSL XX in October 2009. Hildene has alleged claims against BNYM for breach of the Indenture, breach of fiduciary duties and breach of covenant of good faith and fair dealing, and claims against Bimini Capital for tortious interference with contract, aiding and abetting breach of fiduciary duty, unjust enrichment and “rescission/illegality.” Hildene also alleged derivative claims brought in the name of Nominal Defendant BNYM. (Subsequently, Hexagon and Nominal Defendant PreTSL XX were voluntarily dismissed without prejudice by Hildene.) PreTSL XX, Ltd. moved to intervene as an additional plaintiff in the action, and Bimini Capital and BNYM opposed that motion. The court granted PreTSL XX, Ltd.’s motion to intervene, and the Appellate Division, First Department affirmed that decision. In May 2013, Hildene voluntarily dismissed its purported derivative claims brought in the name of BNYM, including its claim for “rescission/illegality.” On April 14, 2014 and May 18, 2014, Stipulations of Partial Discontinuance were filed with the court that dismissed all claims between and among Hildene and BNYM, and PreTSL XX and BNYM. The parties have completed discovery and are currently briefing summary judgment motions. A trial date for the action has not yet been scheduled. Bimini Capital denies that the repurchase was improper and intends to continue to defend the suit vigorously. | |
On March 2, 2011, Orchid Island TRS, LLC, formerly known as Opteum Financial Services, LLC and presently known as MortCo, LLC (“Opteum Financial”) and Opteum Mortgage Acceptance Corporation (“Opteum Acceptance”) (collectively referred to herein as “MortCo”) received a cover letter dated March 1, 2011 from Massachusetts Mutual Life Insurance Company (“Mass Mutual”) enclosing a draft complaint against MortCo. In summary, Mass Mutual alleges that it purchased residential mortgage-backed securities offered by MortCo in August 2005 and the first quarter of 2006 and that MortCo made false representations and warranties in connection with the sale of the securities in violation of Mass Gen. Laws Ch. 110A § 410(a)(2) (the “Massachusetts Blue Sky Law”). In its cover letter, Mass Mutual claims it is entitled to damages in excess of $25 million. However, no monetary demand is contained within the draft complaint and the actual damages Mass Mutual claims to have incurred is uncertain. | |
Mass Mutual has not filed the complaint or initiated litigation. Pursuant to its request, on March 14, 2011 Mass Mutual and MortCo entered into a Tolling Agreement through June 1, 2011 so that Mass Mutual could address its allegations against MortCo without incurring litigation costs. Mass Mutual never contacted MortCo to schedule such discussions. On August 22, 2011, the parties extended the Tolling Agreement through June 1, 2013, and on May 31, 2013, the parties extended the Tolling Agreement through December 2, 2013. To date, MortCo is aware of no action taken by Mass Mutual, and the Tolling Agreement appears to have expired by its own terms. MortCo denies Opteum Financial or Opteum Acceptance, individually or collectively, made false representations and warranties in connection with the sale of securities to Mass Mutual. Mass Mutual has taken no action to prosecute its claim against MortCo, and the range of loss or potential loss, if any, cannot reasonably be estimated. Should Mass Mutual initiate litigation, MortCo will defend such litigation vigorously. |
Income_Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
NOTE 11. INCOME TAXES | |
REIT Activities | |
Generally, REITs are not subject to federal income tax on REIT taxable income distributed to its shareholders. REIT taxable income or loss, as generated by qualifying REIT activities, is computed in accordance with the Internal Revenue Code, which is different from the financial statement net income or loss as computed in accordance with GAAP. Depending on the number and size of the various items or transactions being accounted for differently, the differences between the Company’s REIT taxable income or loss and its GAAP financial statement net income or loss can be substantial and each item can affect several years. | |
As of December 31, 2013, Bimini Capital had an estimated REIT tax net operating loss carryforward (“NOL carryforwards” or “NOLs”) of approximately $17.9 million that is immediately available to offset future REIT taxable income. The REIT tax net operating loss carryforwards will expire in years 2028 through 2033. | |
As discussed in Note 1, Orchid was a qualified REIT subsidiary of Bimini Capital until the closing of its IPO and all of its activities were included with the activities of Bimini Capital through that date. Subsequent to the closing of its IPO, Orchid is taxed separately from Bimini Capital. | |
Taxable REIT Subsidiaries | |
As taxable REIT subsidiaries (“TRS”), Bimini Advisors and MortCo are tax paying entities for income tax purposes and are taxed separately from Bimini Capital, Orchid and from each other. Therefore, Bimini Advisors and MortCo each separately report an income tax provision or benefit based on their own taxable activities. For the six months ended June 30, 2014 and 2013, neither TRS had taxable income primarily due to the utilization of NOL carryforwards. | |
The TRS income tax (benefit) provision for the six and three months ended June 30, 2014 and 2013 differs from the amount determined by applying the statutory Federal rate of 35% to the pre-tax income or loss due primarily to the recording of, and adjustments to, the deferred tax asset valuation allowances and the release of the deferred tax valuation allowance related to an intangible asset and NOL carryforwards. | |
Bimini Advisors has available at June 30, 2014 estimated federal and Florida NOL carryforwards of approximately $2.3 million which begin to expire in 2031 and are fully available to offset future federal and Florida taxable income. In connection with Orchid’s IPO, Bimini Advisors paid for, and expensed for GAAP purposes, certain offering costs totaling approximately $3.2 million. For tax purposes, these offering costs created an intangible asset related to the management agreement with a tax basis of $3.2 million. The deferred tax assets related to the NOL carryforwards and the intangible asset at June 30, 2014 total approximately $2.2 million. | |
In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. | |
As of December 31, 2013, the Company did not believe that it had sufficient positive evidence to conclude that the realization of its deferred tax assets was more likely than not; therefore, a valuation allowance was provided for the entire balance of the deferred tax assets. During the six months ended June 30, 2014 the Company re-evaluated this position and determined that, due to increased projected management fee revenue and the ability to allocate certain overhead expenses to Orchid, there is sufficient positive evidence to conclude that the realization of Bimini Advisors’ deferred tax assets is more likely than not. As a result, Bimini Advisors recorded a deferred income tax benefit of approximately $2.2 million related to the release of the valuation allowance. | |
As of June 30, 2014, MortCo has estimated federal NOL carryforwards of approximately $264.9 million and estimated available Florida NOLs of approximately $37.5 million, both of which begin to expire in 2025, and are fully available to offset future federal and Florida taxable income, respectively. The net deferred tax assets for MortCo at June 30, 2014 are approximately $95.3 million. As of June 30, 2014 and December 31, 2013, the Company did not believe that it had sufficient positive evidence to conclude that the realization of MortCo’s deferred tax assets was more likely than not; therefore, a valuation allowance was provided for the entire balance of MortCo’s deferred tax assets. |
Earnings_Per_Share
Earnings Per Share | 6 Months Ended | ||||||||||
Jun. 30, 2014 | |||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||
Earnings Per Share | ' | ||||||||||
NOTE 12. EARNINGS PER SHARE | |||||||||||
Shares of Class B Common Stock, participating and convertible into Class A Common Stock, are entitled to receive dividends in an amount equal to the dividends declared on each share of Class A Common Stock if, and when, authorized and declared by the Board of Directors. Following the provisions of FASB ASC 260, the Class B Common Stock is included in the computation of basic EPS using the two-class method, and consequently is presented separately from Class A Common Stock. Shares of Class B Common Stock are not included in the computation of diluted Class A EPS as the conditions for conversion to Class A Common Stock were not met at June 30, 2014 and 2013. | |||||||||||
Shares of Class C Common Stock are not included in the basic EPS computation as these shares do not have participation rights. Shares of Class C Common Stock are not included in the computation of diluted Class A EPS as the conditions for conversion to Class A Common Stock were not met at June 30, 2014 and 2013. | |||||||||||
Bimini Capital had dividend eligible stock incentive plan shares that were outstanding during the six and three months ended June 30, 2013. The basic and diluted per share computations include these unvested incentive plan shares if there is income available to Class A Common Stock, as they have dividend participation rights. The stock incentive plan shares have no contractual obligation to share in losses. Because there is no such obligation, the incentive plan shares are not included in the basic and diluted EPS computations when no income is available to Class A Common Stock even though they are considered participating securities. | |||||||||||
The table below reconciles the numerator and denominator of EPS for the six and three months ended June 30, 2014 and 2013. | |||||||||||
(in thousands, except per-share information) | |||||||||||
Six Months Ended June 30, | Three Months Ended June 30, | ||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||
Basic and diluted EPS per Class A common share: | |||||||||||
Income (loss) attributable to Class A common shares: | |||||||||||
Basic and diluted | $ | 5,684 | $ | -2,562 | $ | 3,321 | $ | 200 | |||
Weighted average common shares: | |||||||||||
Class A common shares outstanding at the balance sheet date | 12,295 | 10,633 | 12,295 | 10,633 | |||||||
Unvested dividend-eligible stock incentive plan shares | |||||||||||
outstanding at the balance sheet date | - | - | - | 352 | |||||||
Effect of weighting | -223 | -7 | - | - | |||||||
Weighted average shares-basic and diluted | 12,072 | 10,626 | 12,295 | 10,985 | |||||||
Income (loss) per Class A common share: | |||||||||||
Basic and diluted | $ | 0.47 | $ | -0.24 | $ | 0.27 | $ | 0.02 | |||
(in thousands, except per-share information) | |||||||||||
Six Months Ended June 30, | Three Months Ended June 30, | ||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||
Basic and diluted EPS per Class B common share: | |||||||||||
Income (loss) attributable to Class B common shares: | |||||||||||
Basic and diluted | $ | 15 | $ | -8 | $ | 9 | $ | 1 | |||
Weighted average common shares: | |||||||||||
Class B common shares outstanding at the balance sheet date | 32 | 32 | 32 | 32 | |||||||
Weighted average shares-basic and diluted | 32 | 32 | 32 | 32 | |||||||
Income (loss) per Class B common share: | |||||||||||
Basic and diluted | $ | 0.47 | $ | -0.24 | $ | 0.27 | $ | 0.02 | |||
Fair_Value
Fair Value | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||
Fair Value | ' | ||||||||
NOTE 13. FAIR VALUE | |||||||||
Authoritative accounting literature establishes a framework for using fair value to measure assets and liabilities and defines fair value as the price that would be received to sell an asset or paid to transfer a liability (an exit price) as opposed to the price that would be paid to acquire the asset or received to assume the liability (an entry price). A fair value measure should reflect the assumptions that market participants would use in pricing the asset or liability, including the assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset and the risk of non-performance. Required disclosures include stratification of balance sheet amounts measured at fair value based on inputs the Company uses to derive fair value measurements. These stratifications are: | |||||||||
Level 1 valuations, where the valuation is based on quoted market prices for identical assets or liabilities traded in active markets (which include exchanges and over-the-counter markets with sufficient volume), | |||||||||
Level 2 valuations, where the valuation is based on quoted market prices for similar instruments traded in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market, and | |||||||||
Level 3 valuations, where the valuation is generated from model-based techniques that use significant assumptions not observable in the market, but observable based on Company-specific data. These unobservable assumptions reflect the Company’s own estimates for assumptions that market participants would use in pricing the asset or liability. Valuation techniques typically include option pricing models, discounted cash flow models and similar techniques, but may also include the use of market prices of assets or liabilities that are not directly comparable to the subject asset or liability. | |||||||||
The Company’s MBS are valued using Level 2 valuations, and such valuations currently are determined by the Company based on the average of third-party broker quotes and/or by independent pricing sources when available. Because the price estimates may vary, the Company must make certain judgments and assumptions about the appropriate price to use to calculate the fair values. Alternatively, the Company could opt to have the value of all of our MBS positions determined by either an independent third-party or do so internally. | |||||||||
MBS, retained interests, Eurodollar futures contracts and interest rate swaption were recorded at fair value on a recurring basis during the six and three months ended June 30, 2014 and 2013. When determining fair value measurements, the Company considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the asset. When possible, the Company looks to active and observable markets to price identical assets. When identical assets are not traded in active markets, the Company looks to market observable data for similar assets. Fair value measurements for the retained interests are generated by a model that requires management to make a significant number of assumptions. | |||||||||
The following table presents financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2014 and December 31, 2013: | |||||||||
(in thousands) | |||||||||
Quoted Prices | |||||||||
in Active | Significant | ||||||||
Markets for | Other | Significant | |||||||
Identical | Observable | Unobservable | |||||||
Fair Value | Assets | Inputs | Inputs | ||||||
Measurements | (Level 1) | (Level 2) | (Level 3) | ||||||
30-Jun-14 | |||||||||
Mortgage-backed securities | $ | 951,641 | $ | - | $ | 951,641 | $ | - | |
Eurodollar futures contracts | 3,992 | 3,992 | - | - | |||||
Retained interests | 3,135 | - | - | 3,135 | |||||
Payer swaption | 1,200 | - | 1,200 | - | |||||
31-Dec-13 | |||||||||
Mortgage-backed securities | $ | 389,341 | $ | - | $ | 389,341 | $ | - | |
Eurodollar futures contracts | 2,557 | 2,557 | - | - | |||||
Retained interests | 2,531 | - | - | 2,531 | |||||
The following table illustrates a roll forward for all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2014 and 2013: | |||||||||
(in thousands) | |||||||||
Retained Interests | |||||||||
2014 | 2013 | ||||||||
Balances, January 1 | $ | 2,531 | $ | 3,336 | |||||
Gain included in earnings | 2,447 | 1,755 | |||||||
Collections | -1,843 | -1,628 | |||||||
Balances, June 30 | $ | 3,135 | $ | 3,463 | |||||
During the six months ended June 30, 2014 and 2013, there were no transfers of financial assets or liabilities between levels 1, 2 or 3. | |||||||||
Our retained interests are valued based on a discounted cash flow approach. These values are sensitive to changes in unobservable inputs, including: estimated prepayment speeds, default rates and loss severity, weighted-average life, and discount rates. Significant increases or decreases in any of these inputs may result in significantly different fair value measurements. | |||||||||
The following table summarizes the significant quantitative information about our level 3 fair value measurements as of June 30, 2014. | |||||||||
Retained interests fair value (in thousands) | $ | 3,135 | |||||||
CPR Range | |||||||||
Prepayment Assumption | (Weighted Average) | ||||||||
Constant Prepayment Rate | 10% (10%) | ||||||||
Severity Range | |||||||||
Default Assumptions | Probability of Default | (Weighted Average) | Range Of Loss Timing | ||||||
Real Estate Owned | 100% | 23.80% - 45.70% (34.50%) | Next 10 Months | ||||||
Loans in Foreclosure | 100% | 23.80% - 45.70% (34.50%) | Month 4 - 13 | ||||||
Loans 90 Day Delinquent | 100% | 45% | Month 11-28 | ||||||
Loans 60 Day Delinquent | 85% | 45% | Month 11-28 | ||||||
Loans 30 Day Delinquent | 75% | 45% | Month 11-28 | ||||||
Current Loans | 2.50% - 4.25% | 45% | Month 29 and Beyond | ||||||
Remaining Life Range | Discount Rate Range | ||||||||
Cash Flow Recognition | Valuation Technique | (Weighted Average) | (Weighted Average) | ||||||
Nominal Cash Flows | Discounted Cash Flow | 9.4 - 16.3 (10.7) | 27.50% (27.50%) | ||||||
Discounted Cash Flows | Discounted Cash Flow | 0.5 - 15.6 (1.0) | 27.50% (27.50%) |
Related_Party_Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2014 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
NOTE 14. RELATED PARTY TRANSACTIONS | |
Frank E. Jaumot is a shareholder in an accounting firm from which the Company receives accounting and tax services. Mr. Jaumot is both a director and a shareholder of Bimini Capital and a shareholder of Orchid. Professional fees incurred with this firm were $52,000 and $67,000 for the six months ended June 30, 2014 and 2013, respectively. |
Variable_Interest_Entities
Variable Interest Entities | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
Variable Interest Entity [Abstract] | ' | |||||||||
Consolidated Variable Interest Entity And Noncontrolling Interest | ' | |||||||||
Note 15. CONSOLIDATED Variable Interest EntitY AND NONCONTROLLING INTERESTs | ||||||||||
As discussed in Note 1, Orchid completed its IPO on February 20, 2013. Bimini Capital owned 100% of the outstanding common stock of Orchid prior to the IPO, and approximately 29.38% immediately after the IPO. Orchid operates as a mortgage REIT and was formed in order to increase Bimini Capital’s assets under management to generate additional revenues to cover operating costs. Orchid entered into a management agreement with Bimini Advisors under which Bimini Advisors will be responsible for administering the business activities and day-to-day operations of Orchid. Bimini Advisors receives a monthly management fee for these services and, commencing as of July 1, 2014, reimbursement for certain overhead expenses. Bimini Capital and Bimini Advisors acted as sponsors of the Orchid IPO and paid approximately $3.0 million of IPO related expenses during the six months ended June 30, 2013. The Company did not provide any further financial support to Orchid in connection with its IPO. | ||||||||||
As discussed in Note 1, Orchid completed additional offerings of its common stock during the six months ended June 30, 2014. As a result of these offerings, at June 30, 2014 Bimini owns approximately 10.2% of the outstanding common stock of Orchid. | ||||||||||
The table below presents the effects of the transactions above on the changes in equity attributable to Bimini Capital stockholders during the six months ended June 30, 2014 and 2013. | ||||||||||
($ in thousands) | ||||||||||
2014 | 2013 | |||||||||
Net income (loss) attributable to Bimini Capital | $ | 5,699 | $ | -2,570 | ||||||
Transfers from the noncontrolling interests | ||||||||||
Increase in Bimini Capital's paid-in capital for the sale of 2,360,000 common shares of Orchid | - | 278 | ||||||||
Decrease in Bimini Capital's paid-in capital for the sale of 6,290,443 common shares of Orchid | ||||||||||
and the effect of the 24,000 shares of unvested restricted shares of Orchid (see Note 9) | -1,004 | - | ||||||||
Change from net income (loss) attributable to Bimini Capital and transfers from noncontrolling interest | $ | 4,695 | $ | -2,292 | ||||||
The noncontrolling interests reported in the Company’s consolidated financial statements represent the portion of equity ownership in Orchid held by stockholders other than Bimini Capital. Noncontrolling interest is presented in the equity section of the consolidated balance sheets, separate from stockholders’ equity attributed to Bimini Capital. Net income of Orchid is allocated between the noncontrolling interests and to Bimini Capital in proportion to their relative ownership interests in Orchid. | ||||||||||
The following is a roll forward of the noncontrolling interest during the six months ended June 30, 2014 and 2013. | ||||||||||
(in thousands) | ||||||||||
2014 | 2013 | |||||||||
Balance, January 1 | $ | 31,615 | $ | - | ||||||
Issuance of common shares of Orchid Island Capital, Inc. | 76,120 | 35,122 | ||||||||
Net income attributed to noncontrolling interest | 12,538 | -531 | ||||||||
Amortization of Orchid Island Capital, Inc. equity plan compensation | 16 | - | ||||||||
Cash dividends paid to noncontrolling interest | -7,378 | -1,275 | ||||||||
Balance, June 30 | $ | 112,911 | $ | 33,316 | ||||||
A VIE is an entity that either (i) has insufficient equity to permit the entity to finance its activities without additional subordinated financial support or (ii) has equity investors who lack the characteristics of a controlling financial interest. A VIE is consolidated by its primary beneficiary. The primary beneficiary has both the power to direct the activities that most significantly impact the entity's economic performance and the obligation to absorb losses or the right to receive benefits from the entity that could potentially be significant to the VIE. | ||||||||||
Management has concluded that, after the close of its IPO, Orchid is a VIE because Orchid's equity holders lack the ability through voting rights to make decisions about its activities that have a significant effect on its success. Management has also concluded that Bimini Capital is the primary beneficiary of Orchid because, under the terms of the management agreement, Bimini Capital has the power to direct the activities of Orchid that most significantly impact its economic performance including asset selection, asset and liability management and investment portfolio risk management. As a result, subsequent to Orchid’s IPO and through June 30, 2014, the Company continued to consolidate Orchid in its Consolidated Financial Statements. This conclusion will be re-evaluated during subsequent reporting periods as the relationship between Bimini Capital and Orchid changes. | ||||||||||
The following table presents the assets and liabilities of Orchid that are reflected on our consolidated balance sheets at June 30, 2014 and December 31, 2013 (excluding intercompany balances). | ||||||||||
(in thousands) | ||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||
ASSETS: | ||||||||||
Mortgage-backed securities, at fair value | ||||||||||
Pledged to counterparties | $ | 833,384 | $ | 335,775 | ||||||
Unpledged | 42,620 | 15,448 | ||||||||
Total mortgage-backed securities | 876,004 | 351,223 | ||||||||
Cash and cash equivalents | 33,285 | 8,169 | ||||||||
Restricted cash | 3,584 | 2,446 | ||||||||
Accrued interest receivable | 3,798 | 1,559 | ||||||||
Derivative asset, at fair value | 1,200 | - | ||||||||
Other assets | 515 | 179 | ||||||||
Total Assets | $ | 918,386 | $ | 363,576 | ||||||
LIABILITIES: | ||||||||||
Repurchase agreements | $ | 783,701 | $ | 318,557 | ||||||
Payable for unsettled security purchased | 6,829 | - | ||||||||
Accrued interest payable | 308 | 91 | ||||||||
Other liabilities | 1,708 | 80 | ||||||||
Total Liabilities | $ | 792,546 | $ | 318,728 | ||||||
The following table summarizes the operating results of Orchid (excluding intercompany transactions) for the six and three months ended June 30, 2014 and for the period beginning February 20, 2013 (the date of its IPO) through June 30, 2013 which are reflected in our consolidated statements of operations for the six and three months ended June 30, 2014 and 2013. | ||||||||||
(in thousands) | ||||||||||
Six Months Ended June 30, | Three Months Ended June 30, | |||||||||
2014 | 2013(1) | 2014 | 2013 | |||||||
Interest income | $ | 10,372 | $ | 3,460 | $ | 6,589 | $ | 2,429 | ||
Interest expense | -1,087 | -459 | -676 | -322 | ||||||
Net interest income | 9,285 | 3,001 | 5,913 | 2,107 | ||||||
Unrealized gains (losses) on mortgage-backed securities | 10,124 | -8,618 | 8,584 | -9,130 | ||||||
Realized gains (losses) on mortgage-backed securities | 3,891 | -824 | 2,980 | -923 | ||||||
(Losses) gains on derivative financial instruments | -7,421 | 6,368 | -5,728 | 6,852 | ||||||
Net portfolio income (deficiency) | 15,879 | -73 | 11,749 | -1,094 | ||||||
Expenses: | ||||||||||
Accrued incentive compensation | 225 | - | 225 | - | ||||||
Directors' fees and liability insurance | 240 | 124 | 156 | 83 | ||||||
Audit, legal and other professional fees | 245 | 152 | 172 | 106 | ||||||
Direct REIT operating expenses | 88 | 74 | 44 | 36 | ||||||
Other administrative | 118 | 53 | 88 | 41 | ||||||
Total expenses | 916 | 403 | 685 | 266 | ||||||
Net income (loss) | $ | 14,963 | $ | -476 | $ | 11,064 | $ | -1,360 | ||
Consists of the period beginning February 20, 2013 through June 30, 2013. |
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Consolidation | ' |
Consolidation | |
The accompanying consolidated financial statements include the accounts of Bimini Capital, Orchid, Bimini Advisors and MortCo, as well as the wholly-owned subsidiaries of MortCo. All inter-company accounts and transactions have been eliminated from the consolidated financial statements. | |
ASC Topic 810, Consolidation (“ASC 810”), requires the consolidation of a VIE by an enterprise if it is deemed the primary beneficiary of the VIE. Further, ASC 810 requires a qualitative assessment to determine the primary beneficiary of a VIE and ongoing assessments of whether an enterprise is the primary beneficiary of a VIE as well as additional disclosures for entities that have variable interests in VIEs. | |
At the time of Orchid’s IPO and as of June 30, 2014, management has concluded Orchid is a VIE because Orchid's equity holders lack the ability through voting rights to make decisions about its activities that have a significant effect on the success of Orchid. Management has also concluded that Bimini Capital is the primary beneficiary of Orchid because, under the management agreement between Bimini Advisors and Orchid, Bimini Capital has the power to direct the activities of Orchid that most significantly impact its economic performance. As a result, subsequent to Orchid’s IPO and through June 30, 2014, the Company has continued to consolidate Orchid in its Consolidated Financial Statements. While the results of operations of Orchid are included in the Company’s Consolidated Financial Statements, net loss attributable to Bimini Capital stockholders does not include the portion attributable to noncontrolling interests. Additionally, noncontrolling interests in Orchid are recorded in our Consolidated Balance Sheets and our Consolidated Statement of Equity within the equity section but separate from the stockholders’ equity. | |
Assets recognized as a result of consolidating Orchid do not represent additional assets that could be used to satisfy claims against Bimini Capital’s assets. Conversely, liabilities recognized as a result of consolidating Orchid do not represent additional claims on Bimini Capital’s assets; rather, they represent claims against the assets of Orchid. Creditors and stockholders of Orchid have no recourse to the assets of Bimini Capital. | |
As further described in Note 7, Bimini Capital has a common share investment in a trust used in connection with the issuance of Bimini Capital’s junior subordinated notes. Pursuant to ASC 810, Bimini Capital’s common share investment in the trust has not been consolidated in the financial statements of Bimini Capital, and accordingly, this investment has been accounted for on the equity method. | |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the six and three month periods ended June 30, 2014 are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. | |
The consolidated balance sheet at December 31, 2013 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by GAAP for complete consolidated financial statements. For further information, refer to the financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates affecting the accompanying financial statements include the fair values of MBS, Eurodollar futures contracts, interest rate swaption, retained interests and asset valuation allowances. | |
Statement of Comprehensive Income | ' |
Statement of Comprehensive Income (Loss) | |
In accordance with FASB ASC Topic 220, Comprehensive Income, a statement of comprehensive income has not been included as the Company has no items of other comprehensive income. Comprehensive income (loss) is the same as net income (loss) for all periods presented. | |
Cash and Cash Equivalents and Restricted Cash | ' |
Cash and Cash Equivalents and Restricted Cash | |
Cash and cash equivalents include cash on deposit with financial institutions and highly liquid investments with original maturities of three months or less. Restricted cash of approximately $3,992,000 and approximately $2,557,000 at June 30, 2014 and December 31, 2013, respectively, represents cash held by a broker as margin on Eurodollar futures contracts. | |
The Company maintains cash balances at three banks, and, at times, balances may exceed federally insured limits. The Company has not experienced any losses related to these balances. The Federal Deposit Insurance Corporation insures up to $250,000 per depositor at each financial institution. At June 30, 2014, the Company’s cash deposits exceeded federally insured limits by approximately $36.1 million. Restricted cash balances are uninsured, but are held in separate customer accounts that are segregated from the general funds of the counterparty. The Company uses large, well-known bank and derivative counterparties and believes that it is not exposed to significant credit risk on cash and cash equivalents or restricted cash balances. | |
Mortgage-Backed Securities | ' |
Mortgage-Backed Securities | |
The Company invests primarily in mortgage pass-through (“PT”) certificates, collateralized mortgage obligations, and interest-only (“IO”) securities and inverse interest-only (“IIO”) securities representing interest in or obligations backed by pools of mortgage-backed loans (collectively, “MBS”). These investments meet the requirements to be classified as available for sale under ASC 320-10-25, Debt and Equity Securities (which requires the securities to be carried at fair value on the balance sheet with changes in fair value charged to other comprehensive income, a component of stockholders’ equity). However, the Company has elected to account for its investment in MBS under the fair value option. Electing the fair value option requires the Company to record changes in fair value in the consolidated statement of operations, which, in management’s view, more appropriately reflects the results of our operations for a particular reporting period and is consistent with the underlying economics and how the portfolio is managed. | |
The Company records MBS transactions on the trade date. Security purchases that have not settled as of the balance sheet date are included in the MBS balance with an offsetting liability recorded, whereas securities sold that have not settled as of the balance sheet date are removed from the MBS balance with an offsetting receivable recorded. | |
The fair value of the Company’s investment in MBS is governed by FASB ASC Topic 820, Fair Value Measurement. The definition of fair value in FASB ASC Topic 820 focuses on the price that would be received to sell the asset or paid to transfer the liability in an orderly transaction between market participants at the measurement date. The fair value measurement assumes that the transaction to sell the asset or transfer the liability either occurs in the principal market for the asset or liability, or in the absence of a principal market, occurs in the most advantageous market for the asset or liability. Estimated fair values for MBS are based on the average of third-party broker quotes received and/or independent pricing sources when available. | |
Income on PT MBS is based on the stated interest rate of the security. Premiums or discounts present at the date of purchase are not amortized. For IO securities, the income is accrued based on the carrying value and the effective yield. The difference between income accrued and the interest received on the security is characterized as a return of investment and serves to reduce the asset’s carrying value. At each reporting date, the effective yield is adjusted prospectively from the reporting period based on the new estimate of prepayments and the contractual terms of the security. For IIO securities, effective yield and income recognition calculations also take into account the index value applicable to the security. Changes in fair value of MBS during each reporting period are recorded in earnings and reported as unrealized gains or losses on mortgage-backed securities in the accompanying consolidated statements of operations. | |
Retained Interests | ' |
Retained Interests in Securitizations | |
From 2004 to 2006, MortCo participated in securitization transactions as part of its mortgage origination business. Retained interests in the securitization transactions were initially recorded at their fair value when issued by MortCo. Subsequent adjustments to fair value are reflected in earnings. Quoted market prices for these assets are generally not available, so the Company estimates fair value based on the present value of expected future cash flows using management’s best estimates of key assumptions, which include expected credit losses, prepayment speeds, weighted-average life, and discount rates commensurate with the inherent risks of the asset. | |
Derivative Financial Instruments | ' |
Derivative Financial Instruments | |
The Company uses derivative instruments to manage interest rate risk, facilitate asset/liability strategies and manage other exposures, and it may continue to do so in the future. The principal instruments that the Company has used to date are Eurodollar futures contracts and options to enter in interest rate swaps (“interest rate swaptions”), but it may enter into other transactions in the future. The Company has elected to not treat any of its derivative financial instruments as hedges. FASB ASC Topic 815, Derivatives and Hedging, requires that all derivative instruments be carried at fair value. Changes in fair value are recorded in earnings for each period. | |
Holding derivatives creates exposure to credit risk related to the potential for failure on the part of counterparties to honor their commitments. In addition, the Company may be required to post collateral based on any declines in the market value of the derivatives. In the event of default by a counterparty, the Company may have difficulty recovering its collateral and may not receive payments provided for under the terms of the agreement. To mitigate this risk, the Company uses well-established commercial banks as counterparties. | |
Financial Instruments | ' |
Financial Instruments | |
FASB ASC Topic 825, Financial Instruments, requires disclosure of the fair value of financial instruments for which it is practicable to estimate that value, either in the body of the financial statements or in the accompanying notes. MBS, Eurodollar futures contracts, interest rate swaptions, retained interests in securitization transactions and mortgage loans held for sale are accounted for at fair value in the consolidated balance sheets. The methods and assumptions used to estimate fair value for these instruments are presented in Note 13 of the financial statements. | |
The estimated fair value of cash and cash equivalents, restricted cash, accrued interest receivable, other assets, repurchase agreements, payable for unsettled securities purchased, accrued interest payable and other liabilities generally approximates their carrying value as of June 30, 2014 and December 31, 2013, due to the short-term nature of these financial instruments. | |
It is impractical to estimate the fair value of the Company’s junior subordinated notes. Currently, there is a limited market for these types of instruments and the Company is unable to ascertain what interest rates would be available to the Company for similar financial instruments. Information regarding carrying amount, effective interest rate and maturity date for these instruments is presented in Note 7 to the consolidated financial statements. | |
Property and Equipment, net | ' |
Property and Equipment, net | |
Property and equipment, net, consists of computer equipment with a depreciable life of 3 years, office furniture and equipment with depreciable lives of 8 to 20 years, land which has no depreciable life, and buildings and improvements with depreciable lives of 30 years. Property and equipment is recorded at acquisition cost and depreciated using the straight-line method over the estimated useful lives of the assets. | |
Repurchase Agreements | ' |
Repurchase Agreements | |
The Company finances the acquisition of the majority of its PT MBS through the use of repurchase agreements under master repurchase agreements. Pursuant to ASC Topic 860, Transfers and Servicing, the Company accounts for repurchase transactions as collateralized financing transactions, which are carried at their contractual amounts, including accrued interest, as specified in the respective agreements. | |
Share-Based Compensation | ' |
Share-Based Compensation | |
The Company follows the provisions of FASB ASC topic 718, Compensation – Stock Compensation, to account for stock and stock-based awards. For stock and stock-based awards issued to employees, a compensation charge is recorded against earnings over the vesting period based on the fair value of the award. Payments pursuant to dividend equivalent rights, which are granted along with certain equity based awards, are charged to stockholders’ equity when declared. The Company applies a zero forfeiture rate for its equity based awards, as such awards have been granted to a limited number of employees and historical forfeitures have been minimal. A significant forfeiture, or an indication that significant forfeitures may occur, would result in a revised forfeiture rate which would be accounted for prospectively as a change in an estimate. For transactions with non-employees in which services are performed in exchange for the Company’s common stock or other equity instruments, the transactions are recorded on the basis of the fair value of the service received or the fair value of the equity instruments issued, whichever is more readily measurable at the date of issuance. | |
Earnings Per Share | ' |
Earnings Per Share | |
The Company follows the provisions of FASB ASC Topic 260, Earnings Per Share, which requires companies with complex capital structures, common stock equivalents or two (or more) classes of securities that participate in dividend distributions to present both basic and diluted earnings per share (“EPS”) on the face of the consolidated statement of operations. Basic EPS is calculated as income available to common stockholders divided by the weighted average number of common shares outstanding during the period. Diluted EPS is calculated using the “if converted” method for common stock equivalents. However, the common stock equivalents are not included in computing diluted EPS if the result is anti-dilutive. | |
Outstanding shares of Class B Common Stock, participating and convertible into Class A Common Stock, are entitled to receive dividends in an amount equal to the dividends declared on each share of Class A Common Stock if, as and when authorized and declared by the Board of Directors. Accordingly, shares of the Class B Common Stock are included in the computation of basic EPS using the two-class method and, consequently, are presented separately from Class A Common Stock. | |
The shares of Class C Common Stock are not included in the basic EPS computation as these shares do not have participation rights. The outstanding shares of Class B and Class C Common Stock are not included in the computation of diluted EPS for the Class A Common Stock as the conditions for conversion into shares of Class A Common Stock were not met. | |
Reclassifications | ' |
Reclassifications | |
Certain prior period amounts have been reclassified to conform to the current period presentations. | |
Income Taxes | ' |
Income Taxes | |
Bimini Capital has elected to be taxed as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended (the “Code”), and Orchid, until the closing of its IPO on February 20, 2013, was a “qualified REIT subsidiary” of Bimini Capital under the Code. Beginning with its short tax period commencing on February 20, 2013 and ending December 31, 2013, Orchid has qualified and elected to be taxed as a REIT, and filed a REIT tax return separate from Bimini Capital. REITs are generally not subject to federal income tax on their REIT taxable income provided that they distribute to their stockholders at least 90% of their REIT taxable income on an annual basis. In addition, a REIT must meet other provisions of the Code to retain its tax status. At June 30, 2014, management believes that the Company has complied with Code requirements and Bimini Capital continues to qualify as a REIT. As further described in Note 11, Income Taxes, Bimini Advisors and MortCo are taxpaying entities for income tax purposes and are taxed separately from Bimini Capital and Orchid. | |
The Company’s U.S. federal income tax returns for years ended on or after December 31, 2010 remain open for examination. Although management believes its calculations for tax returns are correct and the positions taken thereon are reasonable, the final outcome of tax audits could be materially different from the tax returns filed by the Company, and those differences could result in significant costs or benefits to the Company. | |
The Company measures, recognizes and presents its uncertain tax positions in accordance with FASB ASC 740, Income Taxes. Under that guidance, the Company assesses the likelihood, based on their technical merit, that tax positions will be sustained upon examination based on the facts, circumstances and information available at the end of each period. The measurement of uncertain tax positions is adjusted when new information is available, or when an event occurs that requires a change. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In June 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-12, Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period. ASU 2014-12 requires that performance targets that affect vesting and that could be achieved after the requisite service period be treated as performance conditions. The effective date of ASU 2014-12 is for interim and annual reporting periods beginning after December 15, 2015. The ASU is not expected to materially impact the Company’s consolidated financial statements. | |
In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures. ASU 2014-11 amends the accounting guidance for repurchase-to-maturity transactions and repurchase agreements executed as repurchase financings, and requires additional disclosure about certain transactions by the transferor. ASU 2014-11 is effective for certain transactions that qualify for sales treatment for the first interim or annual period beginning after December 15, 2014. The new disclosure requirements for repurchase agreements, securities lending transactions and repurchase-to-maturity transactions that qualify for secured borrowing treatment is effective for annual periods beginning after December 15, 2014 and for interim periods beginning after March 15, 2015. We currently record our repurchase arrangements as secured borrowings and do not anticipate that ASU 2014-11 will have a material impact on the Company’s consolidated financial statements. | |
In July 2013, the FASB issued ASU 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. This new standard requires the netting of unrecognized tax benefits against a deferred tax asset for a loss or other carryforward that would apply in settlement of the uncertain tax positions. Under the new standard, unrecognized tax benefits will be netted against all available same-jurisdiction loss or other tax carryforwards that would be utilized, rather than only against carryforwards that are created by the unrecognized tax benefits. The ASU is effective beginning January 1, 2014 on either a prospective or retrospective basis. The guidance represents a change in financial statement presentation only and the adoption of this ASU did not have a material impact on the Company’s consolidated financial results. | |
In June 2013, the FASB issued ASU 2013-08, Financial Services – Investment Companies (Topic 946): Amendments to the Scope, Measurement, and Disclosure Requirements. The amendments in this Update modify the guidance for determining whether an entity is an investment company, update the measurement requirements for noncontrolling interests in other investment companies and require additional disclosures for investment companies under US GAAP. The amendments in the Update develop a two-tiered approach for the assessment of whether an entity is an investment company which requires an entity to possess certain fundamental characteristics while allowing judgment in assessing other typical characteristics. The amendments in this Update also revise the measurement guidance in Topic 946 such that investment companies must measure noncontrolling ownership interests in other investment companies at fair value, rather than applying the equity method of accounting to such interests. The new guidance became effective beginning January 1, 2014. The adoption of this ASU did not have a material impact on the Company’s consolidated financial statements. | |
In February 2013, the FASB issued ASU 2013-04, Liabilities (Topic 405) - Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date ("ASU 2013-04"). The objective of this ASU is to provide guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date, except for obligations addressed within existing US GAAP. The amendments in ASU 2013-04 became effective for fiscal years, and interim periods within those years, beginning after December 15, 2013, and should be retrospectively applied to all prior periods presented for those obligations resulting from joint and several liability arrangements within the ASU's scope that exist at the beginning of an entity's fiscal year of adoption. The adoption of this ASU had no impact on the Company’s consolidated financial statements. |
MortgageBacked_Securities_Tabl
Mortgage-Backed Securities (Tables) | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
Mortgage Backed Securities [Abstract] | ' | |||||
Schedule of Mortgage-Backed Securities Reconciliation | ' | |||||
The following table presents the Company’s MBS portfolio as of June 30, 2014 and December 31, 2013: | ||||||
(in thousands) | ||||||
30-Jun-14 | 31-Dec-13 | |||||
Pass-Through MBS: | ||||||
Hybrid Adjustable-rate Mortgages | $ | 75,734 | $ | 90,487 | ||
Adjustable-rate Mortgages | 4,650 | 5,334 | ||||
Fixed-rate Mortgages | 820,831 | 267,481 | ||||
Total Pass-Through MBS | 901,215 | 363,302 | ||||
Structured MBS: | ||||||
Interest-Only Securities | 39,608 | 20,443 | ||||
Inverse Interest-Only Securities | 10,818 | 5,596 | ||||
Total Structured MBS | 50,426 | 26,039 | ||||
Total | $ | 951,641 | $ | 389,341 | ||
Included in the table above at June 30, 2014 are $876.0 million of MBS assets that may only be used to settle liabilities of the consolidated VIE. | ||||||
Schedule Of Mortgage-Backed Securities by Contractual Maturity | ' | |||||
The following table summarizes the Company’s MBS portfolio as of June 30, 2014 and December 31, 2013, according to the contractual maturities of the securities in the portfolio. Actual maturities of MBS investments are generally shorter than stated contractual maturities and are affected by the contractual lives of the underlying mortgages, periodic payments of principal, and prepayments of principal. | ||||||
(in thousands) | ||||||
30-Jun-14 | 31-Dec-13 | |||||
Less than one year | $ | 16 | $ | 46 | ||
Greater than five years and less than ten years | 1,134 | 1,520 | ||||
Greater than or equal to ten years | 950,491 | 387,775 | ||||
Total | $ | 951,641 | $ | 389,341 |
Retained_Interests_In_Securiti1
Retained Interests In Securitizations (Tables) | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
Retained Interests In Securitizations [Abstract] | ' | |||||
Schedule of Retained Interests In Securitizations | ' | |||||
The following table summarizes the estimated fair value of the Company’s retained interests in asset backed securities as of June 30, 2014 and December 31, 2013: | ||||||
(in thousands) | ||||||
Series | Issue Date | 30-Jun-14 | 31-Dec-13 | |||
HMAC 2004-1 | 4-Mar-04 | $ | 19 | $ | - | |
HMAC 2004-2 | 10-May-04 | 589 | - | |||
HMAC 2004-3 | 30-Jun-04 | 977 | 1,518 | |||
HMAC 2004-4 | 16-Aug-04 | 1,192 | 654 | |||
HMAC 2004-5 | 28-Sep-04 | 358 | 359 | |||
Total | $ | 3,135 | $ | 2,531 |
Repurchase_Agreements_Tables
Repurchase Agreements (Tables) | 6 Months Ended | |||||||||||
Jun. 30, 2014 | ||||||||||||
Disclosure of Repurchase Agreements [Abstract] | ' | |||||||||||
Schedule of Repurchase Agreements | ' | |||||||||||
As of June 30, 2014 and December 31, 2013, the Company’s repurchase agreements had remaining maturities as summarized below: | ||||||||||||
($ in thousands) | ||||||||||||
OVERNIGHT | BETWEEN 2 | BETWEEN 31 | GREATER | |||||||||
(1 DAY OR | AND | AND | THAN | |||||||||
LESS) | 30 DAYS | 90 DAYS | 90 DAYS | TOTAL | ||||||||
30-Jun-14 | ||||||||||||
Fair value of securities pledged, including accrued | ||||||||||||
interest receivable | $ | - | $ | 643,035 | $ | 262,977 | $ | 5,052 | $ | 911,064 | ||
Repurchase agreement liabilities associated with | ||||||||||||
these securities | $ | - | $ | 605,018 | $ | 244,279 | $ | 4,729 | $ | 854,026 | ||
Net weighted average borrowing rate | - | 0.35% | 0.34% | 0.38% | 0.35% | |||||||
31-Dec-13 | ||||||||||||
Fair value of securities pledged, including accrued | ||||||||||||
interest receivable | $ | - | $ | 357,338 | $ | 16,081 | $ | - | $ | 373,419 | ||
Repurchase agreement liabilities associated with | ||||||||||||
these securities | $ | - | $ | 337,977 | $ | 15,419 | $ | - | $ | 353,396 | ||
Net weighted average borrowing rate | - | 0.39% | 0.37% | - | 0.39% | |||||||
As of June 30, 2014, the outstanding repurchase obligations of the consolidated VIE included in the table above was $783.7 million. | ||||||||||||
Schedule of Underlying Assets of Repurchase Agreements when Amount of Repurchase Agreements Exceeds 10 Percent of Assets | ' | |||||||||||
At June 30, 2014, the Company did not have an amount at risk with any repurchase agreement counterparty greater than 10% of the Company’s equity. Summary information regarding amounts at risk with individual counterparties greater than 10% of equity at December 31, 2013 is as follows: | ||||||||||||
($ in thousands) | ||||||||||||
% of | Weighted | |||||||||||
Stockholders' | Average | |||||||||||
Amount | Equity | Maturity | ||||||||||
Repurchase Agreement Counterparties | at Risk | at Risk | (in Days) | |||||||||
31-Dec-13 | ||||||||||||
Citigroup Global Markets, Inc. | $ | 5,487 | 16.40% | 11 | ||||||||
Summary information regarding amounts at risk with individual counterparties greater than 10% of stockholders’ equity attributable to Bimini Capital at June 30, 2014 and December 31, 2013 is as follows: | ||||||||||||
($ in thousands) | ||||||||||||
% of | Weighted | |||||||||||
Stockholders' | Average | |||||||||||
Amount | Equity | Maturity | ||||||||||
Repurchase Agreement Counterparties | at Risk | at Risk | (in Days) | |||||||||
30-Jun-14 | ||||||||||||
ED&F Man Capital Markets Inc. | $ | 1,520 | 22.50% | 65 | ||||||||
JVB Financial Group, LLC | 788 | 11.70% | 11 | |||||||||
Suntrust Robinson Humphrey, Inc. | 776 | 11.50% | 28 | |||||||||
31-Dec-13 | ||||||||||||
Suntrust Robinson Humphrey, Inc. | $ | 715 | 41.00% | 3 | ||||||||
The PrinceRidge Group, LLC | 559 | 32.10% | 21 |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||
ScheduleOfDerivativeInstrumentsTextBlock | ' | |||||||||||||||
The table below summarizes fair value information about our derivative assets and liability as of June 30, 2014 and December 31, 2013. | ||||||||||||||||
(in thousands) | ||||||||||||||||
Derivative Instruments and Related Accounts | Balance Sheet Location | 30-Jun-14 | 31-Dec-13 | |||||||||||||
Assets | ||||||||||||||||
Eurodollar futures - Margin posted to counterparty | Restricted cash | $ | 3,992 | $ | 2,557 | |||||||||||
Payer swaption | Derivative assets, at fair value | 1,200 | - | |||||||||||||
$ | 5,192 | $ | 2,557 | |||||||||||||
Liability | ||||||||||||||||
Payer swaption - Margin posted by counterparty | Other liabilities | $ | -1,266 | $ | - | |||||||||||
Schedule of Eurodollar Futures Positions | ' | |||||||||||||||
The tables below present information related to the Company’s Eurodollar futures positions at June 30, 2014 and December 31, 2013. | ||||||||||||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Consolidated) | ||||||||||||||||
As of June 30, 2014 | ||||||||||||||||
Repurchase Agreement Funding Hedges | Junior Subordinated Debt Funding Hedges | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity(1) | Rate | Amount | Equity(1) | ||||||||||
2015 | 0.65% | $ | 580,000 | $ | -795 | 0.63% | $ | 26,000 | $ | -222 | ||||||
2016 | 1.54% | 586,500 | 150 | 1.58% | 26,000 | -50 | ||||||||||
2017 | 2.46% | 430,000 | 192 | 2.46% | 26,000 | -7 | ||||||||||
2018 | 2.97% | 420,000 | -457 | 2.92% | 26,000 | -3 | ||||||||||
Total / Weighted Average | 1.71% | $ | 509,733 | $ | -910 | 1.75% | $ | 26,000 | $ | -282 | ||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Consolidated) | ||||||||||||||||
As of December 31, 2013 | ||||||||||||||||
Repurchase Agreement Funding Hedges | Junior Subordinated Debt Funding Hedges | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity(1) | Rate | Amount | Equity(1) | ||||||||||
2014 | 0.40% | $ | 262,500 | $ | -189 | 0.35% | $ | 26,000 | $ | -428 | ||||||
2015 | 0.80% | 275,000 | -146 | 0.80% | 26,000 | -176 | ||||||||||
2016 | 1.90% | 250,000 | 1,367 | 1.74% | 26,000 | 9 | ||||||||||
2017 | 3.03% | 250,000 | 2,291 | - | - | - | ||||||||||
2018 | 3.77% | 250,000 | 1,575 | - | - | - | ||||||||||
Total / Weighted Average | 2.02% | $ | 257,353 | $ | 4,898 | 0.89% | $ | 26,000 | $ | -595 | ||||||
The tables below present information related solely to Bimini Capital’s Eurodollar futures positions at June 30, 2014 and December 31, 2013. | ||||||||||||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Parent-Only) | ||||||||||||||||
Repurchase Agreement Funding Hedges | ||||||||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity | Rate | Amount | Equity(1) | ||||||||||
2015 | 0.63% | $ | 30,000 | $ | -5 | - | $ | - | $ | - | ||||||
2016 | 1.60% | 36,500 | -9 | - | - | - | ||||||||||
2017 | 2.46% | 30,000 | -10 | - | - | - | ||||||||||
2018 | 2.92% | 30,000 | -5 | - | - | - | ||||||||||
Total / Weighted Average | 1.75% | $ | 31,857 | $ | -29 | - | $ | - | $ | - | ||||||
($ in thousands) | ||||||||||||||||
Eurodollar Futures Positions (Parent-Only) | ||||||||||||||||
Junior Subordinated Debt Funding Hedges | ||||||||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||||||||
Weighted | Average | Weighted | Average | |||||||||||||
Average | Contract | Average | Contract | |||||||||||||
LIBOR | Notional | Open | LIBOR | Notional | Open | |||||||||||
Expiration Year | Rate | Amount | Equity | Rate | Amount | Equity(1) | ||||||||||
2014 | - | $ | - | $ | - | 0.35% | $ | 26,000 | $ | -428 | ||||||
2015 | 0.63% | 26,000 | -222 | 0.80% | 26,000 | -176 | ||||||||||
2016 | 1.58% | 26,000 | -50 | 1.74% | 26,000 | 9 | ||||||||||
2017 | 2.46% | 26,000 | -7 | - | - | - | ||||||||||
2018 | 2.92% | 26,000 | -3 | - | - | - | ||||||||||
Total / Weighted Average | 1.75% | $ | 26,000 | $ | -282 | 0.89% | $ | 26,000 | $ | -595 | ||||||
Open equity represents the cumulative gains (losses) recorded on open futures positions from inception. | ||||||||||||||||
Schedule Of Interest Rate Swaption Agreements Outstanding [Table Text Block] | ' | |||||||||||||||
The table below presents information related to the Company’s interest rate swaption position at June 30, 2014. | ||||||||||||||||
($ in thousands) | ||||||||||||||||
Option | Underlying Swap | |||||||||||||||
Fixed | Receive | |||||||||||||||
Fair | Months to | Notional | Pay | Rate | Term | |||||||||||
Expiration | Cost | Value | Expiration | Amount | Rate | (LIBOR) | (Years) | |||||||||
≤ 1 year | $ | 1,520 | $ | 1,200 | 11.5 | $ | 100,000 | 2.38% | 3 Month | 5 | ||||||
Income Statement Effect of Derivatives [Table Text Block] | ' | |||||||||||||||
The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for the six and three months ended June 30, 2014 and 2013. | ||||||||||||||||
(in thousands) | ||||||||||||||||
Consolidated | Parent-Only | |||||||||||||||
Six Months Ended June 30, | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Eurodollar futures contracts (short positions) | $ | -6,306 | $ | 6,596 | $ | -170 | $ | 228 | ||||||||
Payer swaptions | -1,285 | - | - | - | ||||||||||||
$ | -7,591 | $ | 6,596 | $ | -170 | $ | 228 |
Offsetting_Assets_and_Liabilti
Offsetting Assets and Liabilties (Tables) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Offsetting [Abstract] | ' | ||||||||||||
Offsetting Assets [Table Text Block] | ' | ||||||||||||
(in thousands) | |||||||||||||
Offsetting of Assets | |||||||||||||
Gross Amount Not Offset | |||||||||||||
in the Balance Sheet | |||||||||||||
Net Amount | Financial | ||||||||||||
Gross Amount | Gross Amount | of Assets | Instruments | Cash | |||||||||
of Recognized | Offset in the | Presented in the | Received as | Received as | Net | ||||||||
Assets | Balance Sheet | Balance Sheet | Collateral | Collateral | Amount | ||||||||
30-Jun-14 | |||||||||||||
Derivative asset - Payer swaption | $ | 1,200 | $ | - | $ | 1,200 | $ | - | $ | -1,200 | $ | - | |
31-Dec-13 | |||||||||||||
Derivative asset | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |
Offsetting Liabilities [Table Text Block] | ' | ||||||||||||
(in thousands) | |||||||||||||
Offsetting of Liabilities | |||||||||||||
Gross Amount Not Offset | |||||||||||||
in the Balance Sheet | |||||||||||||
Net Amount | Financial | ||||||||||||
Gross Amount | Gross Amount | of Liabilities | Instruments | ||||||||||
of Recognized | Offset in the | Presented in the | Posted as | Cash Posted | Net | ||||||||
Liabilities | Balance Sheet | Balance Sheet | Collateral | Collateral | Amount | ||||||||
30-Jun-14 | |||||||||||||
Repurchase Agreements | $ | 854,026 | $ | - | $ | 854,026 | $ | -854,026 | $ | - | $ | - | |
31-Dec-13 | |||||||||||||
Repurchase Agreements | $ | 353,396 | $ | - | $ | 353,396 | $ | -353,396 | $ | - | $ | - |
Capital_Stock_Tables
Capital Stock (Tables) | 6 Months Ended | ||||||
Jun. 30, 2014 | |||||||
Capital Stock [Abstract] | ' | ||||||
Schedule Of Outstanding Stock [Table Text Block] | ' | ||||||
At June 30, 2014 and December 31, 2013, Bimini Capital’s capital stock is comprised of the following: | |||||||
30-Jun-14 | 31-Dec-13 | ||||||
Preferred stock, $0.001 par value; 10,000,000 shares authorized; designated, 1,800,000 | |||||||
shares as Class A Redeemable and 2,000,000 shares as Class B Redeemable; no | |||||||
shares issued and outstanding as of June 30, 2014 and December 31, 2013 | $ | - | $ | - | |||
Class A Common Stock, $0.001 par value; 98,000,000 shares designated: 12,295,182 | |||||||
shares issued and outstanding as of June 30, 2014 and 11,509,756 shares | |||||||
issued and outstanding as of December 31, 2013 | 12,295 | 11,510 | |||||
Class B Common Stock, $0.001 par value; 1,000,000 shares designated, 31,938 shares | |||||||
issued and outstanding as of June 30, 2014 and December 31, 2013 | 32 | 32 | |||||
Class C Common Stock, $0.001 par value; 1,000,000 shares designated, 31,938 shares | |||||||
issued and outstanding as of June 30, 2014 and December 31, 2013 | 32 | 32 | |||||
Issuances of Common Stock | ' | ||||||
The table below presents information related to the Company’s Class A Common Stock issued during the six and three months ended June 30, 2014 and 2013. | |||||||
Six Months Ended June 30, | Three Months Ended June 30, | ||||||
Shares Issued Related To: | 2014 | 2013 | 2014 | 2013 | |||
Directors' compensation | 27,531 | - | 27,531 | - | |||
Vesting incentive plan shares(1) | 500,000 | 16,204 | - | - | |||
Shares sold directly to employees(1) | 257,895 | - | - | - | |||
Total shares of Class A Common Stock issued | 785,426 | 16,204 | 27,531 | - | |||
See Note 9, Stock Incentive Plans, for details of these issuances. | |||||||
Stock_Incentive_Plans_Tables
Stock Incentive Plans (Tables) | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Employee Benefits And Share Based Compensation [Abstract] | ' | |||||||
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award | ' | |||||||
A summary of Bimini’s phantom share activity during six months ended June 30, 2014 and 2013 is presented below: | ||||||||
2014 | 2013 | |||||||
Weighted- | Weighted- | |||||||
Average | Average | |||||||
Grant-Date | Grant-Date | |||||||
Shares | Fair Value | Shares | Fair Value | |||||
Nonvested, at January 1 | - | $ | - | 367,844 | $ | 1.11 | ||
Granted during the period | 500,000 | 0.38 | - | - | ||||
Vested during the period | -500,000 | 0.38 | -16,204 | 0.97 | ||||
Nonvested, at June 30 | - | $ | - | 351,640 | $ | 1.12 | ||
A summary of Orchid’s incentive share activity during the six months ended June 30, 2014 is presented below: | ||||||||
Weighted- | Weighted- | |||||||
Average | Average | |||||||
Grant-Date | Remaining | |||||||
Shares | Fair Value | Life | ||||||
Restricted common stock, at January 1, 2014 | - | $ | - | - | ||||
Restricted common stock granted during the period | 26,944 | 12.32 | - | |||||
Vested during the period | -2,944 | 13.06 | - | |||||
Restricted common stock, at June 30, 2014 | 24,000 | $ | 12.23 | 2.8 Years |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 6 Months Ended | ||||||||||
Jun. 30, 2014 | |||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||
Earnings Per Share | ' | ||||||||||
The table below reconciles the numerator and denominator of EPS for the six and three months ended June 30, 2014 and 2013. | |||||||||||
(in thousands, except per-share information) | |||||||||||
Six Months Ended June 30, | Three Months Ended June 30, | ||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||
Basic and diluted EPS per Class A common share: | |||||||||||
Income (loss) attributable to Class A common shares: | |||||||||||
Basic and diluted | $ | 5,684 | $ | -2,562 | $ | 3,321 | $ | 200 | |||
Weighted average common shares: | |||||||||||
Class A common shares outstanding at the balance sheet date | 12,295 | 10,633 | 12,295 | 10,633 | |||||||
Unvested dividend-eligible stock incentive plan shares | |||||||||||
outstanding at the balance sheet date | - | - | - | 352 | |||||||
Effect of weighting | -223 | -7 | - | - | |||||||
Weighted average shares-basic and diluted | 12,072 | 10,626 | 12,295 | 10,985 | |||||||
Income (loss) per Class A common share: | |||||||||||
Basic and diluted | $ | 0.47 | $ | -0.24 | $ | 0.27 | $ | 0.02 | |||
(in thousands, except per-share information) | |||||||||||
Six Months Ended June 30, | Three Months Ended June 30, | ||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||
Basic and diluted EPS per Class B common share: | |||||||||||
Income (loss) attributable to Class B common shares: | |||||||||||
Basic and diluted | $ | 15 | $ | -8 | $ | 9 | $ | 1 | |||
Weighted average common shares: | |||||||||||
Class B common shares outstanding at the balance sheet date | 32 | 32 | 32 | 32 | |||||||
Weighted average shares-basic and diluted | 32 | 32 | 32 | 32 | |||||||
Income (loss) per Class B common share: | |||||||||||
Basic and diluted | $ | 0.47 | $ | -0.24 | $ | 0.27 | $ | 0.02 | |||
Fair_Value_Tables
Fair Value (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||
Assets Measured at Fair Value on Recurring Basis | ' | ||||||||
The following table presents financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2014 and December 31, 2013: | |||||||||
(in thousands) | |||||||||
Quoted Prices | |||||||||
in Active | Significant | ||||||||
Markets for | Other | Significant | |||||||
Identical | Observable | Unobservable | |||||||
Fair Value | Assets | Inputs | Inputs | ||||||
Measurements | (Level 1) | (Level 2) | (Level 3) | ||||||
30-Jun-14 | |||||||||
Mortgage-backed securities | $ | 951,641 | $ | - | $ | 951,641 | $ | - | |
Eurodollar futures contracts | 3,992 | 3,992 | - | - | |||||
Retained interests | 3,135 | - | - | 3,135 | |||||
Payer swaption | 1,200 | - | 1,200 | - | |||||
31-Dec-13 | |||||||||
Mortgage-backed securities | $ | 389,341 | $ | - | $ | 389,341 | $ | - | |
Eurodollar futures contracts | 2,557 | 2,557 | - | - | |||||
Retained interests | 2,531 | - | - | 2,531 | |||||
Changes is Level 3 Assets Measured at Fair Value on a Recurring Basis | ' | ||||||||
The following table illustrates a roll forward for all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2014 and 2013: | |||||||||
(in thousands) | |||||||||
Retained Interests | |||||||||
2014 | 2013 | ||||||||
Balances, January 1 | $ | 2,531 | $ | 3,336 | |||||
Gain included in earnings | 2,447 | 1,755 | |||||||
Collections | -1,843 | -1,628 | |||||||
Balances, June 30 | $ | 3,135 | $ | 3,463 | |||||
Quantitative Information About Level 3 Fair Value Measurements | ' | ||||||||
The following table summarizes the significant quantitative information about our level 3 fair value measurements as of June 30, 2014. | |||||||||
Retained interests fair value (in thousands) | $ | 3,135 | |||||||
CPR Range | |||||||||
Prepayment Assumption | (Weighted Average) | ||||||||
Constant Prepayment Rate | 10% (10%) | ||||||||
Severity Range | |||||||||
Default Assumptions | Probability of Default | (Weighted Average) | Range Of Loss Timing | ||||||
Real Estate Owned | 100% | 23.80% - 45.70% (34.50%) | Next 10 Months | ||||||
Loans in Foreclosure | 100% | 23.80% - 45.70% (34.50%) | Month 4 - 13 | ||||||
Loans 90 Day Delinquent | 100% | 45% | Month 11-28 | ||||||
Loans 60 Day Delinquent | 85% | 45% | Month 11-28 | ||||||
Loans 30 Day Delinquent | 75% | 45% | Month 11-28 | ||||||
Current Loans | 2.50% - 4.25% | 45% | Month 29 and Beyond | ||||||
Remaining Life Range | Discount Rate Range | ||||||||
Cash Flow Recognition | Valuation Technique | (Weighted Average) | (Weighted Average) | ||||||
Nominal Cash Flows | Discounted Cash Flow | 9.4 - 16.3 (10.7) | 27.50% (27.50%) | ||||||
Discounted Cash Flows | Discounted Cash Flow | 0.5 - 15.6 (1.0) | 27.50% (27.50%) |
Variable_Interest_Entities_Tab
Variable Interest Entities (Tables) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
Variable Interest Entity [Abstract] | ' | |||||||||
Changes In Equity From Noncontrolling Interests [Table Text Block] | ' | |||||||||
The table below presents the effects of the transactions above on the changes in equity attributable to Bimini Capital stockholders during the six months ended June 30, 2014 and 2013. | ||||||||||
($ in thousands) | ||||||||||
2014 | 2013 | |||||||||
Net income (loss) attributable to Bimini Capital | $ | 5,699 | $ | -2,570 | ||||||
Transfers from the noncontrolling interests | ||||||||||
Increase in Bimini Capital's paid-in capital for the sale of 2,360,000 common shares of Orchid | - | 278 | ||||||||
Decrease in Bimini Capital's paid-in capital for the sale of 6,290,443 common shares of Orchid | ||||||||||
and the effect of the 24,000 shares of unvested restricted shares of Orchid (see Note 9) | -1,004 | - | ||||||||
Change from net income (loss) attributable to Bimini Capital and transfers from noncontrolling interest | $ | 4,695 | $ | -2,292 | ||||||
Rollforward Of Noncontrolling Interest [Table Text Block] | ' | |||||||||
The following is a roll forward of the noncontrolling interest during the six months ended June 30, 2014 and 2013. | ||||||||||
(in thousands) | ||||||||||
2014 | 2013 | |||||||||
Balance, January 1 | $ | 31,615 | $ | - | ||||||
Issuance of common shares of Orchid Island Capital, Inc. | 76,120 | 35,122 | ||||||||
Net income attributed to noncontrolling interest | 12,538 | -531 | ||||||||
Amortization of Orchid Island Capital, Inc. equity plan compensation | 16 | - | ||||||||
Cash dividends paid to noncontrolling interest | -7,378 | -1,275 | ||||||||
Balance, June 30 | $ | 112,911 | $ | 33,316 | ||||||
Variable Interest Entity Balance Sheet [Table Text Block] | ' | |||||||||
The following table presents the assets and liabilities of Orchid that are reflected on our consolidated balance sheets at June 30, 2014 and December 31, 2013 (excluding intercompany balances). | ||||||||||
(in thousands) | ||||||||||
30-Jun-14 | 31-Dec-13 | |||||||||
ASSETS: | ||||||||||
Mortgage-backed securities, at fair value | ||||||||||
Pledged to counterparties | $ | 833,384 | $ | 335,775 | ||||||
Unpledged | 42,620 | 15,448 | ||||||||
Total mortgage-backed securities | 876,004 | 351,223 | ||||||||
Cash and cash equivalents | 33,285 | 8,169 | ||||||||
Restricted cash | 3,584 | 2,446 | ||||||||
Accrued interest receivable | 3,798 | 1,559 | ||||||||
Derivative asset, at fair value | 1,200 | - | ||||||||
Other assets | 515 | 179 | ||||||||
Total Assets | $ | 918,386 | $ | 363,576 | ||||||
LIABILITIES: | ||||||||||
Repurchase agreements | $ | 783,701 | $ | 318,557 | ||||||
Payable for unsettled security purchased | 6,829 | - | ||||||||
Accrued interest payable | 308 | 91 | ||||||||
Other liabilities | 1,708 | 80 | ||||||||
Total Liabilities | $ | 792,546 | $ | 318,728 | ||||||
Variable Interest Entity Income Statement [Table Text Block] | ' | |||||||||
The following table summarizes the operating results of Orchid (excluding intercompany transactions) for the six and three months ended June 30, 2014 and for the period beginning February 20, 2013 (the date of its IPO) through June 30, 2013 which are reflected in our consolidated statements of operations for the six and three months ended June 30, 2014 and 2013. | ||||||||||
(in thousands) | ||||||||||
Six Months Ended June 30, | Three Months Ended June 30, | |||||||||
2014 | 2013(1) | 2014 | 2013 | |||||||
Interest income | $ | 10,372 | $ | 3,460 | $ | 6,589 | $ | 2,429 | ||
Interest expense | -1,087 | -459 | -676 | -322 | ||||||
Net interest income | 9,285 | 3,001 | 5,913 | 2,107 | ||||||
Unrealized gains (losses) on mortgage-backed securities | 10,124 | -8,618 | 8,584 | -9,130 | ||||||
Realized gains (losses) on mortgage-backed securities | 3,891 | -824 | 2,980 | -923 | ||||||
(Losses) gains on derivative financial instruments | -7,421 | 6,368 | -5,728 | 6,852 | ||||||
Net portfolio income (deficiency) | 15,879 | -73 | 11,749 | -1,094 | ||||||
Expenses: | ||||||||||
Accrued incentive compensation | 225 | - | 225 | - | ||||||
Directors' fees and liability insurance | 240 | 124 | 156 | 83 | ||||||
Audit, legal and other professional fees | 245 | 152 | 172 | 106 | ||||||
Direct REIT operating expenses | 88 | 74 | 44 | 36 | ||||||
Other administrative | 118 | 53 | 88 | 41 | ||||||
Total expenses | 916 | 403 | 685 | 266 | ||||||
Net income (loss) | $ | 14,963 | $ | -476 | $ | 11,064 | $ | -1,360 | ||
Consists of the period beginning February 20, 2013 through June 30, 2013. |
Significant_Accounting_Policie
Significant Accounting Policies (Organization) (Details) | 6 Months Ended |
Jun. 30, 2014 | |
Orchid Island Capital Inc [Member] | ' |
Initial Offering Period | '20-Feb-13 |
Bimini Capital Management Inc [Member] | ' |
Entity Incorporation, Date of Incorporation | 24-Sep-03 |
Entity Incorporation, State Country Name | 'Maryland |
Significant_Accounting_Policie1
Significant Accounting Policies - Liquidity (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Orchid Island's Equity Threshold to Begin Allocating Overhead | $100,000,000 | ' | $100,000,000 | ' | ' | ' |
Initial Public Offering Expense | 0 | 546 | 0 | 3,042,333 | ' | ' |
Cash And Cash Equivalents At Carrying Value | 37,162,543 | 8,649,231 | 37,162,543 | 8,649,231 | 11,959,292 | 6,592,561 |
Mortgage-backed Securities Available-for-sale, Fair Value Disclosure | 951,640,684 | ' | 951,640,684 | ' | 389,340,958 | ' |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 119,652,867 | ' | 119,652,867 | ' | 33,358,416 | ' |
Stockholders Equity | 6,741,732 | ' | 6,741,732 | ' | 1,743,573 | ' |
Noncontrolling Interests | 112,911,135 | ' | 112,911,135 | ' | 31,614,843 | ' |
Principal and Interest Payments Received on MBS | ' | ' | 37,700,000 | ' | ' | ' |
Payments received on retained interests in securitizations | ' | ' | $1,842,410 | $1,628,594 | ' | ' |
Date Overhead Allocation Threshhold Met | ' | ' | '31-Mar-14 | ' | ' | ' |
Date Overhead Allocation Begins | ' | ' | '1-Jul-14 | ' | ' | ' |
Significant_Accounting_Policie2
Significant Accounting Policies - Property and Equipment (Details) | 6 Months Ended |
Jun. 30, 2014 | |
Computer Equipment [Member] | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | '3 |
Computer Equipment [Member] | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | '3 |
Office Furniture and Equipment | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | '20 |
Office Furniture and Equipment | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | '8 |
Building and Building Improvements [Member] | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | '30 |
Building and Building Improvements [Member] | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | '30 |
Significant_Accounting_Policie3
Significant Accounting Policies - Cash (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' | ' |
Repurchase Agreement Margin | $0 | $0 |
Cash Held by Broker as Margin on Eurodollar Futures Contracts | 3,992,000 | 2,557,000 |
Uninsured Cash | 36,100,000 | ' |
Federal Deposit Insurance Corporation Per Depositor Limit | $250,000 | ' |
Significant_Accounting_Policie4
Significant Accounting Policies - Income Taxes (Details) | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Earliest Tax Year Open to Examination | '2011 |
Required Annual Distribution Of Taxable Income | 90.00% |
MortgageBacked_Securities_By_T
Mortgage-Backed Securities - By Type (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | $951,640,684 | $389,340,958 |
Variable Interest Entity Primary Beneficiary [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 876,004,251 | 351,222,512 |
Total Pass Through Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 901,215,000 | 363,302,000 |
Total Strucutured Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 50,426,000 | 26,039,000 |
Hybrid Adjustable Rate Mortgages [Member] | Total Pass Through Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 75,734,000 | 90,487,000 |
Adjustable-rate Mortgages [Member] | Total Pass Through Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 4,650,000 | 5,334,000 |
Fixed-rate Mortgages [Member] | Total Pass Through Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 820,831,000 | 267,481,000 |
Interest Only Securities [Member] | Total Strucutured Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | 39,608,000 | 20,443,000 |
Inverse Interest Only Securities [Member] | Total Strucutured Certificates [Member] | ' | ' |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ' | ' |
Fair Value | $10,818,000 | $5,596,000 |
MortgageBacked_Securities_By_M
Mortgage-Backed Securities - By Maturity (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Mortgage Backed Securities [Abstract] | ' | ' |
Less than one year | $16,000 | $46,000 |
Greater than one year and less than five years | 0 | 0 |
Greater than five years and less than ten years | 1,134,000 | 1,520,000 |
Greater than or equal to ten years | 950,491,000 | 387,775,000 |
Total mortgage-backed securities | $951,640,684 | $389,340,958 |
Mortage_Backed_Securities_Narr
Mortage Backed Securities - Narrative (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Mortgage Backed Securities [Abstract] | ' | ' |
Mortgage Backed Securities At Fair Value Unpledged | $43,963,577 | $17,238,710 |
Unpledged Unsettled Securities Purchases | $6,800,000 | ' |
Retained_Interests_In_Securiti2
Retained Interests In Securitizations (Details) (USD $) | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Retained Interestes Securitzations [Line Items] | ' | ' | ' |
Retained interests in securitizations | $3,135,010 | ' | $2,530,834 |
HMAC 2004-1 [Member] | ' | ' | ' |
Retained Interestes Securitzations [Line Items] | ' | ' | ' |
Issue Date | 'March 4, 2004 | 'March 4, 2004 | ' |
Retained interests in securitizations | 19,000 | ' | 0 |
HMAC 2004-2 [Member] | ' | ' | ' |
Retained Interestes Securitzations [Line Items] | ' | ' | ' |
Issue Date | 'May 10, 2004 | 'May 10, 2004 | ' |
Retained interests in securitizations | 589,000 | ' | 0 |
HMAC 2004-3 [Member] | ' | ' | ' |
Retained Interestes Securitzations [Line Items] | ' | ' | ' |
Issue Date | 'June 30, 2004 | 'June 30, 2004 | ' |
Retained interests in securitizations | 977,000 | ' | 1,518,000 |
HMAC 2004-4 [Member] | ' | ' | ' |
Retained Interestes Securitzations [Line Items] | ' | ' | ' |
Issue Date | 'August 16, 2004 | 'August 16, 2004 | ' |
Retained interests in securitizations | 1,192,000 | ' | 654,000 |
HMAC 2004-5 [Member] | ' | ' | ' |
Retained Interestes Securitzations [Line Items] | ' | ' | ' |
Issue Date | 'September 28, 2004 | 'September 28, 2004 | ' |
Retained interests in securitizations | $358,000 | ' | $359,000 |
Repurchase_Agreements_Narrativ
Repurchase Agreements - Narrative (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Repurchase agreements | $854,026,395 | $353,396,075 |
Repurchase Agreements Weighted Average Borrowing Rates | 0.35% | 0.39% |
Fair Value of securities pledged, including accrued interest receivable | 911,064,000 | 373,419,000 |
Repurchase Agreement Margin | 0 | 0 |
Variable Interest Entity Primary Beneficiary [Member] | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Repurchase agreements | $783,700,849 | $318,557,054 |
Repurchase_Agreements_Maturiti
Repurchase Agreements - Maturities (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Fair Value of securities pledged, including accrued interest receivable | $911,064,000 | $373,419,000 |
Repurchase agreements | 854,026,395 | 353,396,075 |
Net weighted average borrowing rate | 0.35% | 0.39% |
Overnight (1 Day or Less) [Member] | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Fair Value of securities pledged, including accrued interest receivable | 0 | 0 |
Repurchase agreements | 0 | 0 |
Net weighted average borrowing rate | 0.00% | 0.00% |
Between 2 and 30 Days [Member] | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Fair Value of securities pledged, including accrued interest receivable | 643,035,000 | 357,338,000 |
Repurchase agreements | 605,018,000 | 337,977,000 |
Net weighted average borrowing rate | 0.35% | 0.39% |
Between 31 and 90 Days [Member] | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Fair Value of securities pledged, including accrued interest receivable | 262,977,000 | 16,081,000 |
Repurchase agreements | 244,279,000 | 15,419,000 |
Net weighted average borrowing rate | 0.34% | 0.37% |
Greater Than 90 days [Member] | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Fair Value of securities pledged, including accrued interest receivable | 5,052,000 | 0 |
Repurchase agreements | $4,729,000 | $0 |
Net weighted average borrowing rate | 0.38% | 0.00% |
Repurchase_Agreements_Amounts_
Repurchase Agreements - Amounts At Risk (Details) (USD $) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2014 | Dec. 31, 2013 | |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | $56,700,000 | $19,900,000 |
Parent Co [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | 4,200,000 | 1,600,000 |
Citigroup Global Markets, Inc. | Lender Concentration Risk [Member] | Stockholders' Equity greater than 10% [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | ' | 5,487,000 |
Weighted Average Maturity of Repurchase Agreement in Days | ' | '11 days |
Percent of Stockholders' Equity At Risk | ' | 0.164 |
SunTrust Robinson Humphrey, Inc. | Parent Co [Member] | Lender Concentration Risk [Member] | Stockholders' Equity greater than 10% [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | 776,000 | 715,000 |
Weighted Average Maturity of Repurchase Agreement in Days | '28 days | '3 days |
Percent of Stockholders' Equity At Risk | 0.115 | 0.41 |
The PrinceRidge Group, LLC | Parent Co [Member] | Lender Concentration Risk [Member] | Stockholders' Equity greater than 10% [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | ' | 559,000 |
Weighted Average Maturity of Repurchase Agreement in Days | ' | '21 days |
Percent of Stockholders' Equity At Risk | ' | 0.321 |
JVB Financial Group, LLC [Member] | Parent Co [Member] | Lender Concentration Risk [Member] | Stockholders' Equity greater than 10% [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | 788,000 | ' |
Weighted Average Maturity of Repurchase Agreement in Days | '11 days | ' |
Percent of Stockholders' Equity At Risk | 0.117 | ' |
ED&F Man Capital Markets Inc. | Parent Co [Member] | Lender Concentration Risk [Member] | Stockholders' Equity greater than 10% [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | $1,520,000 | ' |
Weighted Average Maturity of Repurchase Agreement in Days | '65 days | ' |
Percent of Stockholders' Equity At Risk | 0.225 | ' |
Repurchase_Agreements_Amounts_1
Repurchase Agreements - Amounts At Risk - Narrative (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | $56,700,000 | $19,900,000 |
Parent Co [Member] | ' | ' |
Repurchase Agreement Counterparty [Line Items] | ' | ' |
Amount At Risk | $4,200,000 | $1,600,000 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Schedule of Derivatives (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Derivitive Financial Instruments [Line Items] | ' | ' |
Assets, at Fair Value | $5,192,000 | $2,557,000 |
Liabilties, at Fair Value | 1,266,000 | 0 |
Eurodollar Future Margin [Member] | ' | ' |
Derivitive Financial Instruments [Line Items] | ' | ' |
Assets, at Fair Value | 3,992,000 | 2,557,000 |
Interest Rate Swaption [Member] | ' | ' |
Derivitive Financial Instruments [Line Items] | ' | ' |
Assets, at Fair Value | 1,200,000 | 0 |
Interest Rate Swaption Margin [Member] | ' | ' |
Derivitive Financial Instruments [Line Items] | ' | ' |
Liabilties, at Fair Value | $1,266,000 | $0 |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Eurodollar Details (Details) (Eurodollar Future [Member], USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Junior Subordinated Debt [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.75% | 0.89% |
Notional Amount | $26,000,000 | $26,000,000 |
Open Equity | -282,000 | -595,000 |
Junior Subordinated Debt [Member] | Year 2014 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | ' | 0.35% |
Notional Amount | ' | 26,000,000 |
Open Equity | ' | -428,000 |
Junior Subordinated Debt [Member] | Year 2015 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 0.63% | 0.80% |
Notional Amount | 26,000,000 | 26,000,000 |
Open Equity | -222,000 | -176,000 |
Junior Subordinated Debt [Member] | Year 2016 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.58% | 1.74% |
Notional Amount | 26,000,000 | 26,000,000 |
Open Equity | -50,000 | 9,000 |
Junior Subordinated Debt [Member] | Year 2017 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.46% | ' |
Notional Amount | 26,000,000 | ' |
Open Equity | -7,000 | ' |
Junior Subordinated Debt [Member] | Year 2018 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.92% | ' |
Notional Amount | 26,000,000 | ' |
Open Equity | -3,000 | ' |
Junior Subordinated Debt [Member] | Parent Co [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.75% | 0.89% |
Notional Amount | 26,000,000 | 26,000,000 |
Open Equity | -282,000 | -595,000 |
Junior Subordinated Debt [Member] | Parent Co [Member] | Year 2014 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | ' | 0.35% |
Notional Amount | ' | 26,000,000 |
Open Equity | ' | -428,000 |
Junior Subordinated Debt [Member] | Parent Co [Member] | Year 2015 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 0.63% | 0.80% |
Notional Amount | 26,000,000 | 26,000,000 |
Open Equity | -222,000 | -176,000 |
Junior Subordinated Debt [Member] | Parent Co [Member] | Year 2016 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.58% | 1.74% |
Notional Amount | 26,000,000 | 26,000,000 |
Open Equity | -50,000 | 9,000 |
Junior Subordinated Debt [Member] | Parent Co [Member] | Year 2017 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.46% | ' |
Notional Amount | 26,000,000 | ' |
Open Equity | -7,000 | ' |
Junior Subordinated Debt [Member] | Parent Co [Member] | Year 2018 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.92% | ' |
Notional Amount | 26,000,000 | ' |
Open Equity | -3,000 | ' |
Repurchase Agreements [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.71% | 2.02% |
Notional Amount | 509,733,000 | 257,353,000 |
Open Equity | -910,000 | 4,898,000 |
Repurchase Agreements [Member] | Year 2014 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | ' | 0.40% |
Notional Amount | ' | 262,500,000 |
Open Equity | ' | -189,000 |
Repurchase Agreements [Member] | Year 2015 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 0.65% | 0.80% |
Notional Amount | 580,000,000 | 275,000,000 |
Open Equity | -795,000 | -146,000 |
Repurchase Agreements [Member] | Year 2016 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.54% | 1.90% |
Notional Amount | 586,500,000 | 250,000,000 |
Open Equity | 150,000 | 1,367,000 |
Repurchase Agreements [Member] | Year 2017 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.46% | 3.03% |
Notional Amount | 430,000,000 | 250,000,000 |
Open Equity | 192,000 | 2,291,000 |
Repurchase Agreements [Member] | Year 2018 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.97% | 3.77% |
Notional Amount | 420,000,000 | 250,000,000 |
Open Equity | -457,000 | 1,575,000 |
Repurchase Agreements [Member] | Parent Co [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.75% | ' |
Notional Amount | 31,857,000 | ' |
Open Equity | -29,000 | ' |
Repurchase Agreements [Member] | Parent Co [Member] | Year 2015 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 0.63% | ' |
Notional Amount | 30,000,000 | ' |
Open Equity | -5,000 | ' |
Repurchase Agreements [Member] | Parent Co [Member] | Year 2016 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 1.60% | ' |
Notional Amount | 36,500,000 | ' |
Open Equity | -9,000 | ' |
Repurchase Agreements [Member] | Parent Co [Member] | Year 2017 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.46% | ' |
Notional Amount | 30,000,000 | ' |
Open Equity | -10,000 | ' |
Repurchase Agreements [Member] | Parent Co [Member] | Year 2018 Expiration [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Locked-In LIBOR Rate | 2.92% | ' |
Notional Amount | 30,000,000 | ' |
Open Equity | ($5,000) | ' |
Derivative_Financial_Instrumen4
Derivative Financial Instruments - Swaption Details (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Derivatives, Fair Value [Line Items] | ' | ' |
Assets, at Fair Value | $5,192,000 | $2,557,000 |
Derivative Instruments Average Months To Expiration | 11.5 | ' |
Less Than Or Equal To One Year [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Instruments Average Months To Expiration | 11.5 | ' |
Interest Rate Swaption [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Swaption Cost | 1,520,000 | ' |
Assets, at Fair Value | 1,200,000 | 0 |
Notional Amount | 100,000,000 | ' |
Derivative Average Fixed Interest Rate | 2.38% | ' |
Derivative Avergage Receive Rate | '3 Month | ' |
Terms (Years) | '5 years | ' |
Interest Rate Swaption [Member] | Less Than Or Equal To One Year [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Swaption Cost | 1,520,000 | ' |
Assets, at Fair Value | 1,200,000 | ' |
Notional Amount | $100,000,000 | ' |
Derivative Average Fixed Interest Rate | 2.38% | ' |
Derivative Avergage Receive Rate | '3 Month | ' |
Terms (Years) | '5 years | ' |
Derivative_Financial_Instrumen5
Derivative Financial Instruments - Income Statement Effect (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses) gains on derivative instruments | ($5,873,958) | $7,071,631 | ($7,590,975) | $6,596,069 |
Eurodollar Future [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses) gains on derivative instruments | -4,745,000 | 7,071,000 | -6,306,000 | 6,596,000 |
InterestRateSwaptionMember | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses) gains on derivative instruments | -1,129,000 | 0 | -1,285,000 | 0 |
Parent Co [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses) gains on derivative instruments | -146,000 | 220,000 | -170,000 | 228,000 |
Parent Co [Member] | Eurodollar Future [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses) gains on derivative instruments | -146,000 | 220,000 | -170,000 | 228,000 |
Parent Co [Member] | InterestRateSwaptionMember | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses) gains on derivative instruments | $0 | $0 | $0 | $0 |
Offsetting_Asset_and_Liabiltie
Offsetting Asset and Liabilties - Offsetting of Assets (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Offsetting Assets [Line Assets] | ' | ' |
Gross Amount Of Recognized Assets | $1,200,000 | $0 |
Gross Amount Of Assets Offset In The Balance Sheet | 0 | 0 |
Net Amount Of Assets Presented In The Balance Sheet | 1,200,000 | 0 |
Gross Amounts Of Financial Instruments Received Not Offset In Balance Sheet | 0 | 0 |
Gross Amounts Of Cash Collateral Received Not Offset In Balance Sheet | 1,200,000 | 0 |
Net Amount Of Assets | 0 | 0 |
SwaptionMember | ' | ' |
Offsetting Assets [Line Assets] | ' | ' |
Gross Amount Of Recognized Assets | 1,200,000 | 0 |
Gross Amount Of Assets Offset In The Balance Sheet | 0 | 0 |
Net Amount Of Assets Presented In The Balance Sheet | 1,200,000 | 0 |
Gross Amounts Of Financial Instruments Received Not Offset In Balance Sheet | 0 | 0 |
Gross Amounts Of Cash Collateral Received Not Offset In Balance Sheet | 1,200,000 | 0 |
Net Amount Of Assets | $0 | $0 |
Offsetting_Assets_and_Liabilti1
Offsetting Assets and Liabilties - Offsetting of Liabilties (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Offsetting Liabilities [Line Items] | ' | ' |
Gross Amount Of Recognized Liabilties | $854,026,000 | $353,396,000 |
Gross Amount Of Liabilties Offset In The Balance Sheet | 0 | 0 |
Net Amount Of Liabilities Presented In The Balance Sheet | 854,026,000 | 353,396,000 |
Gross Amount Of Financial Instruments Posted Not Offset in Balance Sheet | 854,026,000 | 353,396,000 |
Gross Amounts Of Cash Posted Not Offset In Balance Sheet | 0 | 0 |
Net Amount Of Liabilities | 0 | 0 |
Repurchase Agreements [Member] | ' | ' |
Offsetting Liabilities [Line Items] | ' | ' |
Gross Amount Of Recognized Liabilties | 854,026,000 | 353,396,000 |
Gross Amount Of Liabilties Offset In The Balance Sheet | 0 | 0 |
Net Amount Of Liabilities Presented In The Balance Sheet | 854,026,000 | 353,396,000 |
Gross Amount Of Financial Instruments Posted Not Offset in Balance Sheet | 854,026,000 | 353,396,000 |
Gross Amounts Of Cash Posted Not Offset In Balance Sheet | 0 | 0 |
Net Amount Of Liabilities | $0 | $0 |
Trust_Preferred_Securities_Nar
Trust Preferred Securities - Narrative (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Debt Instruments [Abstract] | ' | ' |
Issuer | 'Bimini Capital Trust II | ' |
Outstanding Principal Balance | $26,804,440 | $26,804,440 |
Variable Rate Basis | 'Three Month LIBOR | ' |
Basis Spread on Variable Rate | 3.50% | ' |
Interest Rate at Period End | 3.73% | ' |
Capital_Stock_Details
Capital Stock (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2013 |
Class of Stock [Line Items] | ' | ' | ' |
Preferred Stock, par value (in dollars per share) | $0.00 | $0.00 | ' |
Preferred Shares Authorized | 10,000,000 | 10,000,000 | ' |
Designated Class A Redeemable | 1,800,000 | 1,800,000 | ' |
Designated Class B Redeemable | 2,000,000 | 2,000,000 | ' |
Preferred Shares Issued | 0 | 0 | ' |
Preferred Shares Outstanding | 0 | 0 | ' |
Preferred Stock Value | $0 | $0 | ' |
Common Stock Value Outstanding | 12,359 | 11,574 | ' |
Class A Common Stock [Member] | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' |
Common Stock, par value (in dollars per share) | $0.00 | $0.00 | ' |
Designated Shares | 98,000,000 | 98,000,000 | ' |
Common Shares Issued | 12,295,182 | 11,509,756 | ' |
Common Shares Outstanding | 12,295,182 | 11,509,756 | 10,633,000 |
Common Stock Value Outstanding | 12,295 | 11,510 | ' |
Class B Common Stock [Member] | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' |
Common Stock, par value (in dollars per share) | $0.00 | $0.00 | ' |
Designated Shares | 1,000,000 | 1,000,000 | ' |
Common Shares Issued | 31,938 | 31,938 | ' |
Common Shares Outstanding | 31,938 | 31,938 | 32,000 |
Common Stock Value Outstanding | 32 | 32 | ' |
Class C Common Stock [Member] | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' |
Common Stock, par value (in dollars per share) | $0.00 | $0.00 | ' |
Designated Shares | 1,000,000 | 1,000,000 | ' |
Common Shares Issued | 31,938 | 31,938 | ' |
Common Shares Outstanding | 31,938 | 31,938 | ' |
Common Stock Value Outstanding | $32 | $32 | ' |
Capital_Stock_Issuances_of_Com
Capital Stock - Issuances of Common Stock (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Shares Issued Related To [Line Items] | ' | ' | ' | ' |
Directors Compensation | 27,531 | 0 | 27,531 | 0 |
Vesting Incentive Plan Shares | 0 | 0 | 500,000 | 16,204 |
Shares Sold To Employees | 0 | 0 | 257,895 | 0 |
Class A Common Stock [Member] | ' | ' | ' | ' |
Shares Issued Related To [Line Items] | ' | ' | ' | ' |
Directors Compensation | 27,531 | 0 | 27,531 | 0 |
Vesting Incentive Plan Shares | 0 | 0 | 500,000 | 16,204 |
Shares Sold To Employees | 0 | 0 | 257,895 | 0 |
Stock_Incentive_Plans_Descript
Stock Incentive Plans - Descriptions of Plans (Details) | 6 Months Ended |
Jun. 30, 2014 | |
2011 Long term Compensation Plan [Member] | Class A Common Stock [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Maximum Number of Shares to Be Issued the Plan | 4,000,000 |
Percentage of Outstanding Stock Limitation | 10.00% |
Orchid 2012 Equity Incentive Plan [Member] | Orchid Island Capital Common Stock [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Maximum Number of Shares to Be Issued the Plan | 4,000,000 |
Percentage of Outstanding Stock Limitation | 10.00% |
Stock_Incentive_Plans_Phantom_
Stock Incentive Plans - Phantom Share Awards (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Phantom Share Units (PSUs) [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock Incentive Plan Compensation Expense | $0 | $20,000 | $0 | $41,000 |
Phantom Share Units (PSUs) [Member] | Bimini Capital Management [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock Incentive Plan Compensation Expense | 0 | 20,000 | 0 | 41,000 |
Restricted Stock | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock Incentive Plan Compensation Expense | 55,000 | 0 | 55,000 | 0 |
Restricted Stock | Orchid Island Capital Inc [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock Incentive Plan Compensation Expense | $55,000 | $0 | $55,000 | $0 |
Remaining Weighted Average Vesting Period | ' | ' | '2.8 Years | ' |
Award Date | ' | ' | '4/25/2014 | ' |
Shares Granted To Each Director | ' | ' | 6,000 | ' |
Shares Vesting Per Director Each Year | ' | ' | 2,000 | ' |
Stock_Incentive_Plans_Phantom_1
Stock Incentive Plans - Phantom Share Activity (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Incentive Share Activity, Shares | ' | ' | ' | ' |
Vested | 0 | 0 | 500,000 | 16,204 |
Phantom Share Units (PSUs) [Member] | ' | ' | ' | ' |
Incentive Share Activity, Shares | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | 367,844 |
Granted | ' | ' | 500,000 | 0 |
Vested | ' | ' | -500,000 | 16,204 |
Nonvested - Ending Balance | 0 | 351,640 | 0 | 351,640 |
Incentive Share Activity Weighted Average Grant Date Fair Value | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | 1.11 |
Granted | ' | ' | 0.38 | 0 |
Vested | ' | ' | 0.38 | 0.97 |
Nonvested - Ending Balance | 0 | 1.12 | 0 | 1.12 |
Phantom Share Units (PSUs) [Member] | Bimini Capital Management [Member] | ' | ' | ' | ' |
Incentive Share Activity, Shares | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | 367,844 |
Granted | ' | ' | 500,000 | 0 |
Vested | ' | ' | -500,000 | -16,204 |
Nonvested - Ending Balance | 0 | 351,640 | 0 | 351,640 |
Incentive Share Activity Weighted Average Grant Date Fair Value | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | 1.11 |
Granted | ' | ' | 0.38 | 0 |
Vested | ' | ' | 0.38 | 0.97 |
Nonvested - Ending Balance | 0 | 1.12 | 0 | 1.12 |
Restricted Stock | ' | ' | ' | ' |
Incentive Share Activity, Shares | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | ' |
Granted | ' | ' | 26,944 | ' |
Vested | ' | ' | -2,944 | ' |
Nonvested - Ending Balance | 24,000 | ' | 24,000 | ' |
Incentive Share Activity Weighted Average Grant Date Fair Value | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | ' |
Granted | ' | ' | 12.32 | ' |
Vested | ' | ' | 13.06 | ' |
Nonvested - Ending Balance | 12.23 | ' | 12.23 | ' |
Restricted Stock | Orchid Island Capital Inc [Member] | ' | ' | ' | ' |
Incentive Share Activity, Shares | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | ' |
Granted | ' | ' | 26,944 | ' |
Vested | ' | ' | -2,944 | ' |
Nonvested - Ending Balance | 24,000 | ' | 24,000 | ' |
Incentive Share Activity Weighted Average Grant Date Fair Value | ' | ' | ' | ' |
Nonvested - Beginning Balance | ' | ' | 0 | ' |
Granted | ' | ' | 12.32 | ' |
Vested | ' | ' | 13.06 | ' |
Nonvested - Ending Balance | 12.23 | ' | 12.23 | ' |
Stock_Incentive_Plans_Special_
Stock Incentive Plans - Special Bonus (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Employee Benefits And Share Based Compensation [Abstract] | ' | ' | ' | ' |
Special Bonus Date | ' | ' | '2/19/2014 | ' |
Total Value of Special Bonus | ' | ' | $422,000 | ' |
Number of shares issued pursuant to special bonus | ' | ' | 500,000 | ' |
Value of shares issued pursuant to special bonus | ' | ' | 190,000 | ' |
Special bonus paid in cash | ' | ' | $232,000 | ' |
Shares Sold To Employees | 0 | 0 | 257,895 | 0 |
Income_Taxes_REIT_Activities_D
Income Taxes - REIT Activities (Details) (Real Estate Investment [Member], USD $) | Dec. 31, 2013 |
Real Estate Investment [Member] | ' |
Tax Credit Carryforward [Line Items] | ' |
Net Operating Loss Carryforwards | $17,900,000 |
Income_Taxes_Taxable_REIT_Subs
Income Taxes - Taxable REIT Subsidiaries (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Income tax (benefit) provision | $25,601 | $3,386 | ($2,131,758) | $39,386 | ' |
Net Deferred Tax Assets | 2,154,025 | ' | 2,154,025 | ' | 0 |
MortCo TRS, LLC [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Net Deferred Tax Assets | 95,300,000 | ' | 95,300,000 | ' | ' |
Valuation Allowance | 95,300,000 | ' | 95,300,000 | ' | ' |
MortCo TRS, LLC [Member] | Federal | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Net Operating Loss Carryforwards | 264,900,000 | ' | 264,900,000 | ' | ' |
MortCo TRS, LLC [Member] | Florida | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Net Operating Loss Carryforwards | 37,500,000 | ' | 37,500,000 | ' | ' |
Bimini Advisorsinc [Member] | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Net Deferred Tax Assets | 2,200,000 | ' | 2,200,000 | ' | ' |
Infintite Life Intangible | 3,200,000 | ' | 3,200,000 | ' | ' |
Bimini Advisorsinc [Member] | Federal | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Net Operating Loss Carryforwards | 2,300,000 | ' | 2,300,000 | ' | ' |
Bimini Advisorsinc [Member] | Florida | ' | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' | ' |
Net Operating Loss Carryforwards | $2,300,000 | ' | $2,300,000 | ' | ' |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Income Tax Examination [Line Items] | ' | ' |
Income Taxes Paid | $22,267 | $39,386 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Class A Common Stock [Member] | ' | ' | ' | ' | ' |
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ' | ' | ' | ' | ' |
Net Income (Loss) Available to Common Stockholders, Basic | $3,321,000 | $200,000 | $5,684,000 | ($2,562,000) | ' |
Net Income (Loss) Available to Common Stockholders, Diluted | 3,321,000 | 200,000 | 5,684,000 | -2,562,000 | ' |
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ' | ' | ' | ' | ' |
Common Shares Outstanding | 12,295,182 | 10,633,000 | 12,295,182 | 10,633,000 | 11,509,756 |
Unvested Dividend Eligible Shares Outstanding at the Balance Sheet Date | 0 | 352,000 | 0 | 0 | ' |
Effect of Weighting | 0 | 0 | -223,000 | -7,000 | ' |
Weighted Average Shares - Basic | 12,294,879 | 10,984,756 | 12,071,977 | 10,626,491 | ' |
Weighted Average Shares - Diluted | 12,294,879 | 10,984,756 | 12,071,977 | 10,626,491 | ' |
Income (Loss) Per Share - Basic | $0.27 | $0.02 | $0.47 | ($0.24) | ' |
Income (Loss) Pe Share - Diluted | $0.27 | $0.02 | $0.47 | ($0.24) | ' |
Class B Common Stock [Member] | ' | ' | ' | ' | ' |
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ' | ' | ' | ' | ' |
Net Income (Loss) Available to Common Stockholders, Basic | 9,000 | 1,000 | 15,000 | -8,000 | ' |
Net Income (Loss) Available to Common Stockholders, Diluted | $9,000 | $1,000 | $15,000 | ($8,000) | ' |
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ' | ' | ' | ' | ' |
Common Shares Outstanding | 31,938 | 32,000 | 31,938 | 32,000 | 31,938 |
Weighted Average Shares - Basic | 31,938 | 31,938 | 31,938 | 31,938 | ' |
Weighted Average Shares - Diluted | 31,938 | 31,938 | 31,938 | 31,938 | ' |
Income (Loss) Per Share - Basic | $0.27 | $0.02 | $0.47 | ($0.24) | ' |
Income (Loss) Pe Share - Diluted | $0.27 | $0.02 | $0.47 | ($0.24) | ' |
Assets_and_Liabilities_Recorde
Assets and Liabilities Recorded at Fair Value on Recurring Basis (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Mortgage-backed securities | $951,640,684 | $389,340,958 |
Eurodollar Futures Contracts | 3,992,000 | 2,557,000 |
Retained Interests | 3,135,000 | 2,531,000 |
Interest Rate Swaption | 1,200,000 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Mortgage-backed securities | 951,640,684 | 389,340,958 |
Eurodollar Futures Contracts | 3,992,000 | 2,557,000 |
Retained Interests | 3,135,000 | 2,531,000 |
Interest Rate Swaption | 1,200,000 | ' |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Eurodollar Futures Contracts | 3,992,000 | 2,557,000 |
Retained Interests | ' | 0 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Mortgage-backed securities | 951,640,684 | 389,340,958 |
Retained Interests | ' | 0 |
Interest Rate Swaption | 1,200,000 | ' |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Retained Interests | $3,135,000 | $2,531,000 |
Changes_in_Level_3_Assets_Meas
Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) (Retained Interest [Member], USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Retained Interest [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Beginning Balance | $2,531,000 | $3,336,000 |
Gain (loss) Included in Earnings | 2,447,000 | 1,755,000 |
Collections | -1,843,000 | -1,628,000 |
Ending Balance | $3,135,000 | $3,463,000 |
Quantitative_Information_About
Quantitative Information About Level 3 Fair Value Measurements - Prepayment Assumptions (Details) (Retained Interest [Member]) | 6 Months Ended |
Jun. 30, 2014 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment Method | 'Constant Prepayment Rate |
Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment Range | 10.00% |
Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment Range | 10.00% |
Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Prepayment Range | 10.00% |
Quantitative_Information_About1
Quantitative Information About Level 3 Fair Value Measurements - Default Assumptions (Details) (Retained Interest [Member]) | 6 Months Ended |
Jun. 30, 2014 | |
Real Estate Owned [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 100.00% |
Range Of Loss Timining | 'Next 10 Months |
Real Estate Owned [Member] | Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.70% |
Real Estate Owned [Member] | Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 23.80% |
Real Estate Owned [Member] | Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 34.50% |
Loans In Foreclosure [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 100.00% |
Range Of Loss Timining | 'Month 4 - 13 |
Loans In Foreclosure [Member] | Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.70% |
Loans In Foreclosure [Member] | Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 23.80% |
Loans In Foreclosure [Member] | Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 34.50% |
Loans 90 Days Delinquent [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 100.00% |
Range Of Loss Timining | 'Month 11-28 |
Loans 90 Days Delinquent [Member] | Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 90 Days Delinquent [Member] | Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 90 Days Delinquent [Member] | Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 60 Days Delinquent [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 85.00% |
Range Of Loss Timining | 'Month 11-28 |
Loans 60 Days Delinquent [Member] | Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 60 Days Delinquent [Member] | Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 60 Days Delinquent [Member] | Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 30 Days Delinquent [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 75.00% |
Range Of Loss Timining | 'Month 11-28 |
Loans 30 Days Delinquent [Member] | Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 30 Days Delinquent [Member] | Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Loans 30 Days Delinquent [Member] | Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Current Loans [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Range Of Loss Timining | 'Month 29 and Beyond |
Current Loans [Member] | Maximum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 4.25% |
Loss Severity Range | 45.00% |
Current Loans [Member] | Minimum [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Probability of Default | 2.50% |
Loss Severity Range | 45.00% |
Current Loans [Member] | Weighted Average [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Loss Severity Range | 45.00% |
Quantitative_Information_About2
Quantitative Information About Level 3 Fair Value Measurements - Cash Flow Recognition (Details) | 6 Months Ended |
Jun. 30, 2014 | |
Nominal Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Valuation Technique | 'Discounted Cash Flow |
Discounted Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Valuation Technique | 'Discounted Cash Flow |
Maximum [Member] | Nominal Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Remaining Life Range | 16.3 |
Fair Value Inputs Discount Rate | 27.50% |
Maximum [Member] | Discounted Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Remaining Life Range | 15.6 |
Fair Value Inputs Discount Rate | 27.50% |
Minimum [Member] | Nominal Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Remaining Life Range | 9.4 |
Fair Value Inputs Discount Rate | 27.50% |
Minimum [Member] | Discounted Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Remaining Life Range | 0.5 |
Fair Value Inputs Discount Rate | 27.50% |
Weighted Average [Member] | Nominal Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Remaining Life Range | 10.7 |
Fair Value Inputs Discount Rate | 27.50% |
Weighted Average [Member] | Discounted Cashflows [Member] | ' |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ' |
Remaining Life Range | 1 |
Fair Value Inputs Discount Rate | 27.50% |
Related_Party_Transactions_Det
Related Party Transactions (Details) (Frank E. Jaumot [Member], USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Frank E. Jaumot [Member] | ' | ' |
Related Party Transaction [Line Items] | ' | ' |
Professional Fees Paid | $52,000 | $67,000 |
Variable_Interest_Entities_Nar
Variable Interest Entities - Narrative (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Initial Public Offering Expense | $0 | $546 | $0 | $3,042,333 |
Orchid Island Capital Inc [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Bimini Ownership of Orchid Island Capital, Inc. | 10.20% | ' | 10.20% | ' |
Variable_Interest_Entities_Non
Variable Interest Entities - Noncontrolling Interest Rollforward (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Net Income (Loss) attributable to Bimini Capital stockholders | $3,329,976 | $200,940 | $5,699,188 | ($2,569,809) |
Orchid Island Capital Inc [Member] | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Net Income (Loss) attributable to Bimini Capital stockholders | ' | ' | 5,699,000 | -2,570,000 |
Increase in Bimini Capital's paid-in capital for sale of common shares of Orchid Island Capital, Inc. | ' | ' | -1,004,000 | 278,000 |
Change from net loss attributable to Bimini Capital and transfers from noncontrolling interest | ' | ' | $4,695,000 | ($2,292,000) |
Subsidiary Shares Issued | ' | ' | 6,314,443 | 2,360,000 |
Varialble_Interest_Entity_NCI_
Varialble Interest Entity - NCI (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Minority Interest Roll Forward | ' | ' | ' | ' |
Beginning Balance | ' | ' | $31,614,843 | ' |
Net Income (Loss) Attributable to Noncontrolling Interest | 9,584,234 | -1,091,947 | 12,538,193 | -530,963 |
Ending Balance | 112,911,135 | ' | 112,911,135 | ' |
Orchid Island Capital Inc [Member] | ' | ' | ' | ' |
Minority Interest Roll Forward | ' | ' | ' | ' |
Beginning Balance | ' | ' | 31,615,000 | 0 |
Issuance of common shares of Orchid Island Capital, Inc. | ' | ' | 76,120,000 | 35,122,000 |
Net Income (Loss) Attributable to Noncontrolling Interest | ' | ' | 12,538,000 | -531,000 |
Amortization of Equity Incentive Compensation | ' | ' | 16,000 | 0 |
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | ' | ' | -7,378,000 | -1,275,000 |
Ending Balance | $112,911,000 | $33,316,000 | $112,911,000 | $33,316,000 |
Variable_Interest_Entities_VIE
Variable Interest Entities - VIE Balance Sheet (Details) (Variable Interest Entity Primary Beneficiary [Member], USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Variable Interest Entity Primary Beneficiary [Member] | ' | ' |
Mortgage Backed Securities At Fair Value [Abstract] | ' | ' |
Pledged to counterparties | $833,384,000 | $335,775,000 |
Unpledged | 42,620,000 | 15,448,000 |
Total mortgage-backed securities | 876,004,000 | 351,223,000 |
Cash and cash equivalents | 33,285,000 | 8,169,000 |
Restricted cash Accrued interest receivable | 3,584,000 | 2,446,000 |
Accrued interest receivable | 3,798,000 | 1,559,000 |
Other assets | 515,000 | 179,000 |
Derivative assets, net | 1,200,000 | 0 |
Total Assets | 918,386,000 | 363,576,000 |
Liabilities Abstract | ' | ' |
Repurchase agreements | 783,701,000 | 318,557,000 |
Payable for unsettled securities purchased | 6,829,000 | 0 |
Accrued interest payable | 308,000 | 91,000 |
Other liabilities | 1,708,000 | 80,000 |
Total Liabilities | $792,546,000 | $318,728,000 |
Variable_Interest_Entities_VIE1
Variable Interest Entities - VIE Income Statement (Details) (Variable Interest Entity Primary Beneficiary [Member], USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Variable Interest Entity Primary Beneficiary [Member] | ' | ' | ' | ' |
Portfolio Income [Abstract] | ' | ' | ' | ' |
Interest income | $6,589,000 | $2,429,000 | $10,372,000 | $3,460,000 |
Interest expense | 676,000 | 322,000 | 1,087,000 | 459,000 |
Net interest income | 5,913,000 | 2,107,000 | 9,285,000 | 3,001,000 |
Unrealized gains on mortgage-backed securities | 8,584,000 | -9,130,000 | 10,124,000 | -8,618,000 |
Realized gains on mortgage-backed securities | 2,980,000 | -923,000 | 3,891,000 | -824,000 |
Losses on derivative financial instruments | -5,728,000 | 6,852,000 | -7,421,000 | 6,368,000 |
Net portfolio income | 11,749,000 | -1,094,000 | 15,879,000 | -73,000 |
Selling General And Administrative Expense [Abstract] | ' | ' | ' | ' |
Accrued Incentive Compensation Variable Interest Entity | 225,000 | 0 | 225,000 | 0 |
Directors' fees and liability insurance | 156,000 | 83,000 | 240,000 | 124,000 |
Audit, legal and other professional fees | 172,000 | 106,000 | 245,000 | 152,000 |
Direct REIT operating expenses | 44,000 | 36,000 | 88,000 | 74,000 |
Other administrative | 88,000 | 41,000 | 118,000 | 53,000 |
Total expenses | 685,000 | 266,000 | 916,000 | 403,000 |
Net income | $11,064,000 | ($1,360,000) | $14,963,000 | ($476,000) |