Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 28, 2018 | Jun. 30, 2017 | |
Document Information [Line Items] | |||
Entity Registrant Name | J.G. Wentworth Co | ||
Entity Central Index Key | 1,580,185 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | Yes | ||
Entity Current Reporting Status | No | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $ 3.8 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Common Stock - Class A | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 24,913,370 | ||
Common Stock - Class B | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 141,384 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
ASSETS | |||
Cash and cash equivalents | $ 35,562 | $ 80,166 | |
Restricted cash and investments | 140,878 | 195,588 | |
VIE finance receivables, at fair market value | [1] | 4,269,619 | 4,143,903 |
Other finance receivables, at fair value | 9,337 | 13,134 | |
VIE finance receivables, net of allowances for losses of $8,246 and $9,023, respectively | [1] | 73,805 | 85,325 |
Other finance receivables, net of allowances for losses of $2,004 and $2,061, respectively | 8,004 | 8,619 | |
Other receivables, net of allowances for losses of $273 and $280, respectively | 20,918 | 17,771 | |
Mortgage loans held for sale, at fair value | [2] | 261,194 | 232,770 |
Mortgage servicing rights, at fair value | [2] | 56,134 | 41,697 |
Premises and equipment, net of accumulated depreciation of $12,931 and $10,697, respectively | 3,154 | 4,005 | |
Intangible assets, net of accumulated amortization of $24,541 and $22,778, respectively | 21,125 | 22,868 | |
Goodwill | 0 | 8,369 | |
Marketable securities, at fair value | 85,544 | 76,687 | |
Deferred tax assets, net | 283 | 405 | |
Other assets | 65,908 | 61,600 | |
Total Assets | 5,051,465 | 4,992,907 | |
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||
Accrued expenses and accounts payable | 26,330 | 28,929 | |
Accrued interest | 34,339 | 28,123 | |
Term loan payable | 0 | 431,872 | |
VIE derivative liabilities, at fair value | 38,460 | 50,432 | |
VIE borrowings under revolving credit facilities and other similar borrowings | 22,834 | 56,432 | |
Other borrowings under revolving credit facilities and other similar borrowings | 253,649 | 229,588 | |
VIE long-term debt | 58,480 | 62,939 | |
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778 | 4,014,450 | |
Other liabilities | 59,198 | 52,448 | |
Deferred tax liabilities, net | 10,837 | 1,415 | |
Installment obligations payable | 85,544 | 76,687 | |
Total liabilities not subject to compromise | 4,694,449 | 5,033,315 | |
Liabilities subject to compromise | [3] | 607,109 | 0 |
Total Liabilities | 5,301,558 | 5,033,315 | |
Commitments and contingencies | |||
Additional paid-in-capital | 106,217 | 105,823 | |
Accumulated deficit | (308,955) | (117,622) | |
Stockholders Equity And Members Capital Including Treasury Stock | (202,738) | (11,799) | |
Less: treasury stock at cost, 542,072 shares as of December 31, 2017 and December 31, 2016, respectively | (2,138) | (2,138) | |
Total stockholders' deficit, The J.G. Wentworth Company | (204,876) | (13,937) | |
Non-controlling interests | (45,217) | (26,471) | |
Total Stockholders' Deficit | (250,093) | (40,408) | |
Total Liabilities and Stockholders’ Deficit | 5,051,465 | 4,992,907 | |
Common Stock - Class A | |||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||
Common stock | 0 | 0 | |
Common Stock - Class B | |||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||
Common stock | 0 | 0 | |
Common Stock - Class C | |||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||
Common stock | $ 0 | $ 0 | |
[1] | Refer to Note 5 "VIE and Other Finance Receivables, at Fair Value" and Note 6 "VIE and Other Finance Receivables, net of Allowance for Losses" for further details on assets pledged as collateral. | ||
[2] | Pledged as collateral to Other borrowings under revolving credit facilities and other similar borrowings. Refer to Note 8 "Mortgage Loans Held for Sale, at Fair Value" and Note 9 "Mortgage Servicing Rights, at Fair Value." | ||
[3] | Liabilities subject to compromise as of December 31, 2017 are presented in accordance with ASC 852. These liabilities include the "Term Loan Claims" and the "TRA Claims" as defined in the Plan. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
VIE finance receivables, allowances for losses | $ 8,246 | $ 9,023 |
Other finance receivables, allowances for losses | 2,004 | 2,061 |
Other receivables, allowances for losses | 273 | 280 |
Fixed assets, accumulated depreciation | 12,931 | 10,697 |
Intangible assets, accumulated amortization | $ 24,521 | $ 22,778 |
Treasury stock, shares | 542,072 | 542,072 |
Common Stock - Class A | ||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 |
Common stock, shares issued | 16,352,775 | 16,272,545 |
Common stock, shares outstanding | 15,810,703 | 15,730,473 |
Common Stock - Class B | ||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 |
Common stock, shares issued | 8,629,738 | 8,710,158 |
Common stock, shares outstanding | 8,629,738 | 8,710,158 |
Common Stock - Class C | ||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 |
Common stock, shares issued | 0 | 0 |
Common stock, shares outstanding | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
TRA obligations | $ 160,113 | $ 0 | $ 0 | |
REVENUES | ||||
Interest income | 192,240 | 193,032 | 190,203 | |
Realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives | 112,316 | 17,225 | 80,023 | |
Realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs | 72,459 | 75,102 | 18,590 | |
Changes in mortgage servicing rights, net | 14,437 | 12,410 | 1,649 | |
Servicing, broker, and other fees | 18,626 | 13,824 | 8,000 | |
Loan origination fees | 10,779 | 8,996 | 2,543 | |
Realized and unrealized gains (losses) on marketable securities, net | 7,855 | 4,083 | (4,641) | |
Total revenues | 428,712 | 324,672 | 296,367 | |
EXPENSES | ||||
Advertising | 65,347 | 55,223 | 63,820 | |
Interest expense (contractual interest, $231,322) | [1] | 229,497 | 224,499 | 208,545 |
Compensation and benefits | 79,077 | 79,750 | 52,656 | |
General and administrative | 27,573 | 26,870 | 21,057 | |
Professional and consulting | 23,658 | 14,755 | 21,486 | |
Debt issuance | 5,878 | 5,117 | 6,741 | |
Securitization debt maintenance | 5,314 | 5,605 | 5,912 | |
Provision for losses | 4,860 | 5,958 | 5,576 | |
Direct subservicing costs | 3,868 | 3,415 | 948 | |
Depreciation and amortization | 4,146 | 4,814 | 4,613 | |
Installment obligations expense (income), net | 10,818 | 6,538 | (1,225) | |
Impairment charges | 8,369 | 5,483 | 121,594 | |
Reorganization items, net | [2] | 161,370 | 0 | 0 |
Total expenses | 629,775 | 438,027 | 511,723 | |
Loss before income taxes | (201,063) | (113,355) | (215,356) | |
Provision (benefit) for income taxes | 9,645 | (15,340) | (18,216) | |
Net loss | (210,708) | (98,015) | (197,140) | |
Less: net loss attributable to non-controlling interests | (19,375) | (51,158) | (101,828) | |
Net loss attributable to The J.G. Wentworth Company | (191,333) | (46,857) | (95,312) | |
Net loss per share attributable to stockholders of Class A common stock of The J.G. Wentworth Company | ||||
TRA obligations | 160,100 | |||
Reorganization items, professional and consulting fees | 1,257 | 0 | 0 | |
Common Stock - Class A | ||||
EXPENSES | ||||
Net loss attributable to The J.G. Wentworth Company | $ (191,333) | $ (46,857) | $ (95,312) | |
Weighted average shares of Class A common stock outstanding: | ||||
Basic (in shares) | 15,782,303 | 15,649,474 | 14,690,746 | |
Diluted (in shares) | 15,782,303 | 15,649,474 | 14,690,746 | |
Net loss per share attributable to stockholders of Class A common stock of The J.G. Wentworth Company | ||||
Basic (in dollars per share) | $ (12.12) | $ (2.99) | $ (6.49) | |
Diluted (in dollars per share) | $ (12.12) | $ (2.99) | $ (6.49) | |
[1] | Contractual interest expense for the year ended December 31, 2017 is related to the term loan payable and presented in accordance with ASC 852. | |||
[2] | Reorganization items, net for the year ended December 31, 2017 are presented in accordance with ASC 852 and include (i) $160.1 million of TRA obligations and, (ii) $1.3 million of professional and consulting fees incurred in connection with the Company's bankruptcy proceedings from the Petition Date through December 31, 2017. |
Consolidated Statements of Ope5
Consolidated Statements of Operations (Parenthetical) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Statement of Income [Abstract] | |
Contractual interest expense | $ 231,322 |
TRA obligations | 160,100 |
Reorganization items, professional and consulting fees | $ 1,257 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement of Comprehensive Income [Abstract] | |||
Net loss | $ (210,708) | $ (98,015) | $ (197,140) |
Other comprehensive loss: | |||
Reclassification adjustment for gain in net income | 0 | 0 | 0 |
Unrealized gains on notes receivable arising during the year | 0 | 0 | 0 |
Total other comprehensive loss | 0 | 0 | 0 |
Total comprehensive loss | (210,708) | (98,015) | (197,140) |
Less: comprehensive loss allocated to non-controlling interests | (19,375) | (51,158) | (101,828) |
Comprehensive loss attributable to The J.G. Wentworth Company | $ (191,333) | $ (46,857) | $ (95,312) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' (Deficit) Equity - USD ($) $ in Thousands | Total | Common Stock - Class A | Common Stock - Class B | Accumulated Other Comprehensive Income | Non-controlling Interest | (Accumulated Deficit) Retained Earnings | Additional Paid-In- Capital | Treasury Stock | Common StockCommon Stock - Class A | Common StockCommon Stock - Class B |
Stockholders' equity, beginning balance at Dec. 31, 2014 | $ 253,635 | $ 0 | $ 134,991 | $ 25,634 | $ 95,453 | $ (2,443) | $ 0 | $ 0 | ||
Beginning Balance (in shares) at Dec. 31, 2014 | 600,755 | 14,420,392 | 9,963,750 | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Net income (loss) | (197,140) | (101,828) | (95,312) | |||||||
Share-based compensation | 1,291 | 638 | 653 | |||||||
Share-based compensation (in shares) | 70,348 | (70,103) | ||||||||
Re-issuance of treasury stock in connection with the Home Lending Acquisition | 12,956 | 6,380 | (1,087) | $ 7,663 | ||||||
Re-issuance of treasury stock in connection with the Home Lending Acquisition (in shares) | (1,572,327) | 1,572,327 | ||||||||
Exchange of JGW LLC common interests into Class A common stock | 0 | (8,666) | 8,666 | |||||||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 984,949 | 984,949 | (984,949) | |||||||
Equity financing costs | (112) | (53) | (59) | |||||||
Repurchases of Class A common stock | (14,471) | (7,113) | $ (7,358) | |||||||
Repurchases of Class A common stock (in shares) | 1,513,644 | (1,513,644) | ||||||||
Issuance of Class A common stock for vested equity awards | 12,956 | |||||||||
Stockholders' equity, ending balance at Dec. 31, 2015 | 56,159 | 0 | 24,349 | (70,765) | 104,713 | $ (2,138) | $ 0 | $ 0 | ||
Ending Balance (in shares) at Dec. 31, 2015 | 542,072 | 15,534,372 | 8,908,698 | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Net income (loss) | (98,015) | (51,158) | (46,857) | |||||||
Share-based compensation | 1,448 | 659 | 789 | |||||||
Share-based compensation (in shares) | (2,439) | |||||||||
Exchange of JGW LLC common interests into Class A common stock | 0 | (321) | 321 | |||||||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 196,101 | 196,101 | (196,101) | |||||||
Issuance of Class A common stock for vested equity awards | 0 | |||||||||
Stockholders' equity, ending balance at Dec. 31, 2016 | (40,408) | 0 | (26,471) | (117,622) | 105,823 | $ (2,138) | $ 0 | $ 0 | ||
Ending Balance (in shares) at Dec. 31, 2016 | 15,730,473 | 8,710,158 | 542,072 | 15,730,473 | 8,710,158 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Net income (loss) | (210,708) | (19,375) | (191,333) | |||||||
Share-based compensation | 1,038 | 468 | 570 | |||||||
Share-based compensation (in shares) | (9,871) | |||||||||
Capital distributions | (15) | (15) | ||||||||
Exchange of JGW LLC common interests into Class A common stock | 0 | 176 | (176) | |||||||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 70,549 | 70,549 | (70,549) | |||||||
Issuance of Class A common stock for vested equity awards | 0 | |||||||||
Issuance of Class A common stock for vested equity awards (in shares) | 9,681 | |||||||||
Stockholders' equity, ending balance at Dec. 31, 2017 | $ (250,093) | $ 0 | $ (45,217) | $ (308,955) | $ 106,217 | $ (2,138) | $ 0 | $ 0 | ||
Ending Balance (in shares) at Dec. 31, 2017 | 15,810,703 | 8,629,738 | 542,072 | 15,810,703 | 8,629,738 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||
Net loss | $ (210,708) | $ (98,015) | $ (197,140) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Provision for losses | 4,860 | 5,958 | 5,576 |
Depreciation | 2,403 | 2,736 | 2,365 |
Impairment charges | 8,369 | 5,483 | 121,594 |
Changes in mortgage servicing rights, net | (14,437) | (12,410) | (1,649) |
Amortization of finance receivables acquisition costs | 15 | 53 | 622 |
Amortization of intangibles | 1,743 | 2,078 | 2,248 |
Amortization of debt issuance costs | 7,665 | 12,955 | 7,949 |
Proceeds from sale of and principal payments on mortgage loans held for sale | 3,817,815 | 3,408,065 | 872,526 |
Originations and purchases of mortgage loans held for sale | (3,789,972) | (3,441,939) | (847,917) |
Change in realized and unrealized gains/losses on finance receivables | (184,368) | (33,698) | 164,311 |
Change in unrealized gains/losses on long-term debt | 87,404 | 97,829 | (229,635) |
Change in unrealized gains/losses on derivatives | (12,146) | (16,297) | (9,346) |
Net proceeds from sale of finance receivables | 18,994 | 271,331 | 21,949 |
Realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs | (72,459) | (75,102) | (18,590) |
Purchases of finance receivables | (285,868) | (273,298) | (395,986) |
Collections on finance receivables | 524,894 | 531,741 | 554,464 |
Gain on sale of finance receivables | (3,024) | (69,598) | (4,950) |
Recoveries of finance receivables | 18 | 147 | 1 |
Accretion of interest income | (186,008) | (187,498) | (189,736) |
Accretion of interest expense | (6,151) | (25,942) | (40,074) |
Gain on extinguishment of debt | 0 | 0 | (593) |
Share-based compensation expense | 1,038 | 1,448 | 1,291 |
Change in marketable securities | (7,855) | (4,083) | 4,641 |
Installment obligations expense (income), net | 10,818 | 6,538 | (1,225) |
Deferred income taxes, net | 9,544 | (15,566) | (17,911) |
(Increase) decrease in operating assets: | |||
Restricted cash and investments | 54,710 | (58,808) | 66,182 |
Other assets | 14,844 | (2,947) | 919 |
Other receivables | (3,143) | (1,498) | 1,683 |
(Decrease) increase in operating liabilities: | |||
Accrued expenses and accounts payable | (2,599) | 7,838 | (1,021) |
Accrued interest | 12,973 | 5,743 | 4,658 |
Other liabilities | 897 | (718) | (2,902) |
TRA obligations | 160,113 | 0 | 0 |
Net cash (used in) provided by operating activities | (39,621) | 42,526 | (125,696) |
Cash flows from investing activities: | |||
Purchase of Home Lending, net of cash acquired | 0 | (7,630) | (47,408) |
Purchases of premises and equipment, net of sales proceeds | (1,552) | (1,067) | (3,092) |
Net cash used in investing activities | (1,552) | (8,697) | (50,500) |
Cash flows from financing activities: | |||
Capital distributions | (15) | 0 | 0 |
Payments of equity financing costs | 0 | 0 | (112) |
Purchases of treasury stock | 0 | 0 | (14,471) |
Issuance of VIE long-term debt | 340,573 | 337,667 | 514,699 |
Payments for debt issuance costs | (3,054) | (1,150) | (742) |
Payments on capital lease obligations | (53) | (50) | (4) |
Repayments of long-term debt and derivatives | (332,121) | (464,282) | (330,745) |
Gross proceeds from revolving credit facilities | 4,038,593 | 3,668,185 | 1,140,012 |
Repayments of revolving credit facilities | (4,047,354) | (3,551,355) | (1,116,767) |
Issuance of installment obligations payable | 14,527 | 3,471 | 1,419 |
Purchase of marketable securities | (14,527) | (3,471) | (1,419) |
Repayments of installment obligations payable | (16,488) | (18,316) | (18,620) |
Proceeds from sale of marketable securities | 16,488 | 18,316 | 18,620 |
Net cash (used in) provided by financing activities | (3,431) | (10,985) | 191,870 |
Net (decrease) increase in cash | (44,604) | 22,844 | 15,674 |
Cash and cash equivalents at beginning of the period | 80,166 | 57,322 | 41,648 |
Cash and cash equivalents at the end of the period | 35,562 | 80,166 | 57,322 |
Reorganization items, net: | |||
TRA obligations | 160,113 | 0 | 0 |
Professional and consulting | 1,257 | 0 | 0 |
Cash paid for interest | 211,013 | 224,086 | 236,075 |
Cash paid for income taxes | 208 | 96 | 128 |
Supplemental disclosure of noncash items: | |||
Retained mortgage servicing rights in connection with sale of mortgage loans | 20,812 | 17,294 | 3,752 |
Mortgage loans subject to repurchase rights from Ginnie Mae | 3,019 | (6,130) | 23,121 |
Exchange of LLC Common Interests for shares of Class A common stock | (176) | 321 | 8,666 |
Re-issuance of treasury stock in connection with acquisition | 0 | 0 | 12,956 |
Amount due to sellers in connection with acquisition | 0 | 0 | 8,443 |
Capital lease obligation assumed | $ 0 | $ 0 | $ 281 |
Background and Basis of Present
Background and Basis of Presentation | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation Organization and Description of Business Activities The J.G. Wentworth Company (the "Corporation") is a Delaware holding company that was incorporated on June 21, 2013. The Corporation operates through its managing membership in The J.G. Wentworth Company, LLC ("JGW LLC"), the Corporation's sole operating asset. JGW LLC is a controlled and consolidated subsidiary of the Corporation whose sole asset is its membership interest in J.G. Wentworth, LLC. The "Company" refers collectively to the Corporation and, unless otherwise stated, all of its subsidiaries. The Company, operating through its subsidiaries and affiliates, has its principal offices in Chesterbrook, Pennsylvania and Woodbridge, Virginia. The Company is focused on providing direct-to-consumer access to financing solutions through a variety of avenues, including: mortgage lending, structured settlement, annuity and lottery payment purchasing, prepaid cards, and access to providers of personal loans. The Company's direct-to-consumer businesses use digital channels, television, direct mail, and other channels to offer access to financing solutions. The Company warehouses, securitizes, sells or otherwise finances the financial assets that it purchases in transactions that are structured to ultimately generate cash proceeds to the Company that exceed the purchase price paid for those assets. The Company identified the following two reportable segments in accordance with Accounting Standards Codification ("ASC") 280, Segment Reporting : (i) Structured Settlement Payments ("Structured Settlements") - Structured Settlements provides liquidity to individuals with financial assets such as structured settlements, annuities, and lottery winnings by either purchasing these financial assets for a lump-sum payment, issuing installment obligations payable over time, or serving as a broker to other purchasers of those financial assets. The Company engages in warehousing and subsequent resale or securitization of these various financial assets. Structured Settlements also includes corporate activities, payment solutions, pre-settlements and providing (i) access to providers of personal lending and (ii) access to providers of funding for pre-settled legal claims. (ii) Home Lending ("Home Lending") - Home Lending is primarily engaged in retail mortgage lending, originating primarily Federal Housing Administration ("FHA"), U.S. Department of Veterans Affairs ("VA") and conventional mortgage loans and is approved as a Title II, non-supervised direct endorsement mortgagee with the U.S. Department of Housing and Urban Development ("HUD"). In addition, Home Lending is an approved issuer with the Government National Mortgage Association ("Ginnie Mae"), Federal Home Loan Mortgage Corporation ("Freddie Mac"), and U.S. Department of Agriculture ("USDA"), as well as an approved seller and servicer with the Federal National Mortgage Association ("Fannie Mae"). Reorganization Plan under Chapter 11 and Bankruptcy Proceedings On November 13, 2017 and November 14, 2017, the Company filed its post-effective amendments for its registration statements to terminate the effectiveness of the registration statements and to remove from registration any shares that remain unsold at that time. On December 12, 2017, the Corporation, together with JGW LLC, Orchard Acquisition Company, LLC, JG Wentworth LLC and JGW Holdings Inc. (the “Debtors”) filed voluntary cases (the “Chapter 11 Cases”) under Chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”) to pursue the previously announced Joint Pre-Packaged Plan of Reorganization of Orchard Acquisition Company, LLC and its Debtor Affiliates, dated December 1, 2017 (as amended, the “Plan”). Only the Debtors have filed the Chapter 11 Cases. Accordingly, the direct and indirect subsidiaries of Orchard Acquisition Company, LLC, including the entities which conduct all of the Company’s consolidated operations, have not filed for bankruptcy and the business of the Company, including its day to day operations, remained uninterrupted. On December 28, 2017, the Company filed its notice of termination of registration under Section 12(g) of the Exchange Act. On January 5, 2018, the Company filed its suspension of duty to file reports under Section 13 or Section 15(d) of the Exchange Act. As a result of these filings, we are no longer required to file reports pursuant to Section 13 or Section 15(d) of the Exchange Act, other than this Annual Report on Form 10-K for the year ended December 31, 2017 . On January 17, 2018 , the Bankruptcy Court entered an order approving and confirming the Plan. On the Effective Date, January 25, 2018 , the Debtors satisfied the conditions to effectiveness of the Plan and the Plan became effective in accordance with its terms and the Debtors emerged from bankruptcy. Pursuant to the Plan, (a) all claims arising under the Debtors’ pre-petition secured term loan facility and related guarantees were terminated and released, and each holder of such claims received its pro rata share of (i) certain cash consideration (the "Term Lender Cash Consideration") and (ii) the New Common Equity, subject to dilution by the Management Incentive Plan adopted on the Effective Date; (b) all pre-petition equity interests in The J.G. Wentworth Company, LLC were canceled and in exchange each holder of such equity interests received its pro rata share of (i) New Common Equity or (ii) certain cash consideration (the "Partnership Cash Consideration"), or a mix of both the Partnership Cash Consideration and New Common Equity; (c) all pre-petition claims against the Company arising under the TRA were canceled and, in consideration, each TRA claimant received its pro rata share of the New Class A common stock and the New Class B common stock of the Company or cash consideration, at the sole election of each holder of a TRA claim. Consequently, the Term Loan Holders received $36.0 million of cash consideration and 24,696,626 shares of 24,858,587 shares of New Class A common stock with an aggregated fair value of $153.1 million . In addition, the TRA claimants now hold, in the aggregate, 161,961 shares of New Class A common stock and 141,384 shares of New Class B common stock and received $4.8 million of cash consideration. The aggregate fair value of the total TRA settlement was $6.6 million . Pursuant to the Plan all previously issued and held equity interests were canceled without recovery. On the Effective Date, we entered into a New RCF Agreement among Orchard Acquisition Company, LLC, as Parent Borrower, J.G. Wentworth, LLC, the lending institutions from time to time party thereto, and HPS Investment Partners, LLC, a related party and a holder of more than 5% of our New Class A common stock, as administrative agent. The New RCF Agreement provides for a new four -year revolving credit facility with an aggregate borrowing availability of $70.0 million with interest accruing at LIBOR plus a spread of 5.00% subject to a floor of 1.00% and a non-usage fee of LIBOR plus 3.00% per annum. The New RCF contains other customary terms, including (i) representations, warranties and affirmative covenants, (ii) negative covenants, including limitations on indebtedness, liens, mergers, acquisitions, asset sales, investments, distributions, prepayments of subordinated debt, and transactions with affiliates, in each case subject to baskets, thresholds and other exceptions, and a financial covenant to maintain a Total Leverage Ratio (as defined in the New RCF Agreement) of 3.50 to 1.00, and (iii) customary events of default, including changes in control. The total leverage ratio is calculated by dividing the total funded debt less unrestricted cash and cash equivalents by Consolidated EBITDA (as defined in the New RCF Agreement) for the period of the four fiscal quarters most recently ended. The Company drew $55.0 million from its New RCF to fund (i) the Partnership Cash Consideration of $4.8 million , (ii) a portion of the Term Lender Cash Consideration of $36.0 million , (iii) $5.6 million of closing and commitment fees paid to HPS Investment Partners, LLC, and (iii) $8.6 million of professional fees and expenses, which included success fees of $3.6 million . As a result of the foregoing, the Company’s corporate structure otherwise remained substantially the same as prior to the Chapter 11 Cases and it amended and restated its certificate of incorporation to provide for, among other things, the authorization of 225,000,000 shares of New Class A common stock and 25,000,000 shares of New Class B common stock. The Company is no t authorized to issue any shares of preferred stock under its amended and restated certificate of incorporation. A New Management Incentive Plan was adopted. Under the Plan, 8% of the New Common Equity on a fully-diluted basis was reserved for issuance by the Board that was put in place upon emergence from bankruptcy for the benefit of participants in the Management Incentive Plan. On January 25, 2018 , 271,739 new restricted stock units and 815,216 new stock option shares, totaling of 1,086,955 shares or 4% of the New Common Equity, were granted in accordance with the Management Incentive Plan. In connection with the implementation of the Plan and as a result of the change in control effectuated by the Plan, the Debtors sought and obtained certain required regulatory approvals related to Home Lending prior to the effective date of the Plan. Pursuant to the Plan the members of the Board of Directors of the Company were replaced with new members. Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP"). In the opinion of management, the consolidated financial statements reflect all adjustments which are necessary for a fair presentation of financial position, results of operations, and cash flows for the periods presented. All such adjustments are of a normal and recurring nature. Effective on December 12, 2017, the Company began to apply ASC 852, which is applicable to companies under Chapter 11 bankruptcy protection. It requires the financial statements for periods subsequent to the Chapter 11 filing to distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business and to be reported separately as reorganization items, net in the consolidated statements of operations. In addition, the consolidated balance sheet must distinguish debtor pre-petition liabilities subject to compromise ("LSTC") from pre-petition liabilities that are not subject to compromise and from post-petition liabilities in the accompanying consolidated balance sheet. Where there is uncertainty about whether a secured claim will be paid or impaired under the Chapter 11 proceedings, the entire amount of the claim was classified as a LSTC. LSTC include the all claims and obligations arising under or relating to the Term Loan Payable (the "Term Loan Claims") and all claims and obligations arising under or relating to the tax receivable agreement (the "TRA obligations"). LSTC include unsecured or under-secured liabilities incurred prior to the Petition Date. These liabilities represent the amounts expected to be allowed on known or potential claims to be resolved through the Chapter 11 Cases and remain subject to future adjustments based on negotiated settlements with claimants, actions of the Bankruptcy Court, rejection of executory contracts, proofs of claims or other events. Additionally, LSTC also include certain items that may be assumed under a plan of reorganization, and as such, may be subsequently reclassified to LSTC. Generally, actions to enforce or otherwise effect payment of prepetition liabilities are subject to the automatic stay or an approved motion of the Bankruptcy Court. Reorganization items, net on the Company's consolidated statement of operations represent amounts incurred after the petition date, December 12, 2017 (the "Petition Date") as a direct result of the bankruptcy. The filing by the Company of Chapter 11 Cases qualified as a Material Breach under a tax receivable agreement ("TRA"). Consequently, all obligations under the TRA were accelerated and the claimants were owed the present value of all future tax attributes, subject to certain discounting and based on assumptions regarding the remaining payments expected to be made under the TRA. The TRA obligations was estimated to be $160.1 million . In addition, reorganization items, net comprise of legal and professional fees in the amount of $1.3 million . As of the Petition Date through December 31, 2017 , the Company ceased recording interest expense on outstanding pre-petition LSTC of approximately $1.8 million . The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the amounts of revenues and expenses during the reporting periods. The most significant balance sheet accounts that could be affected by such estimates are variable interest entity ("VIE") finance receivables, at fair value; other finance receivables, at fair value; mortgage loans held for sale, at fair value; mortgage servicing rights, at fair value; intangible assets, net of accumulated amortization; goodwill; VIE derivative liabilities, at fair value; and VIE long-term debt issued by securitization and permanent financing trusts, at fair value. Actual results could differ from those estimates and such differences could be material. The accompanying consolidated financial statements include the accounts of the Corporation, its wholly-owned subsidiaries, other entities in which the Company has a controlling financial interest and those entities that are considered VIEs where the Company has been determined to be the primary beneficiary in accordance with ASC 810, Consolidation ("ASC 810"). JGW LLC meets the definition of a VIE under ASC 810. Further, the Corporation is the primary beneficiary of JGW LLC as a result of its control over JGW LLC. As the primary beneficiary of JGW LLC, the Corporation consolidates the financial results of JGW LLC and records a non-controlling interest for the economic interest in JGW LLC not owned by the Corporation. The Corporation's and the non-controlling interests' economic interest in JGW LLC was 54.9% and 45.1% , respectively, as of December 31, 2017 . The Corporation's and the non-controlling interests' economic interest in JGW LLC was 54.6% and 45.4% , respectively, as of December 31, 2016 . Net (loss) income attributable to the non-controlling interests in the Company's consolidated statements of operations represents the portion of (loss) earnings attributable to the economic interest in JGW LLC held by entities and individuals other than the Corporation. The allocation of net (loss) income attributable to the non-controlling interests is based on the weighted average percentage of JGW LLC owned by the non-controlling interests during the reporting period. The non-controlling interests' weighted average economic interests in JGW LLC for the years ended December 31, 2017 , 2016 and 2015 was 45.2% , 45.5% and 48.3% , respectively. In accordance with the Plan, on the Effective Date, the non-controlling interests in the Company were canceled. The net loss attributable to The J.G. Wentworth Company in the consolidated statements of operations for the years ended December 31, 2017 , 2016 and 2015 does not necessarily reflect the Corporation's weighted average economic interests in JGW LLC for the respective periods because the majority of the (benefit) provision for income taxes was specifically attributable to the legal entity The J.G. Wentworth Company, and thus was not allocated to the non-controlling interests. For the year ended December 31, 2017 , $8.8 million total tax provision was specifically attributable to The J.G. Wentworth Company. The remaining tax provision of $0.8 million relates to the Company’s subsidiaries. For the year ended December 31, 2016 , $14.5 million of the $15.3 million total tax benefit was specifically attributable to The J.G. Wentworth Company. The remaining tax benefit of $0.8 million relates to the Company’s subsidiaries. For the year ended December 31, 2015 , $19.0 million of the $18.2 million total tax benefit was specifically attributable to The J.G. Wentworth Company. The remaining $0.8 million tax provision relates to the Company’s subsidiaries. Refer to Note 19 for a description of the Company's income taxes. Non-controlling interests on the Company's consolidated balance sheets represent the portion of deficit attributable to the non-controlling interests of JGW LLC. The allocation of deficit to the non-controlling interests in JGW LLC is based on the percentage owned by the non-controlling interests in the entity. All material inter-company balances and transactions are eliminated in consolidation. Refer to Note 2 for a summary of significant accounting policies. Certain prior-period amounts have been reclassified to conform to current-period presentation. Going Concern In accordance with the Financial Accounting Standards Board (“FASB”) ASC 205-40, Going Concern ("ASC 205-40"), management must evaluate whether there are conditions or events, considered in the aggregate, that could raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued. In making its evaluation, management is not able to take into consideration the potential mitigating effect of management’s plans that have not been fully implemented as of the date the financial statements are issued. However, when the relevant conditions or events, considered in the aggregate, initially indicate that substantial doubt may exist, management may consider in its evaluation whether the mitigating effect of its plans sufficiently alleviates substantial doubt about the Company’s ability to continue as a going concern. The mitigating effect of management’s plans, however, is only considered if both (1) it is probable that the plans will be effectively implemented within one year after the date that the financial statements are issued, and (2) it is probable that the plans, when implemented, will mitigate the relevant conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date that the financial statements are issued. The Company performed the required assessments in conjunction with the filing of its Form 10-Q for the three months ended September 30, 2017 and determined, at that time, that substantial doubt about its ability to continue as a going concern existed and will not be alleviated before the Company emerges from the Chapter 11 Cases. On January 17, 2018, the Bankruptcy Court entered an order approving and confirming the Plan (the “Confirmation Order”). On January 25, 2018 (the “Effective Date”), the Debtors satisfied the conditions to effectiveness of the Plan and the Plan became effective in accordance with its terms and the Debtors emerged from bankruptcy. Management’s current assessment was based on the relevant conditions that were known and reasonably knowable at the issuance date and included the Company’s current financial condition and liquidity sources, forecasted future cash flows, the Company’s contractual obligations and commitments and other conditions that could adversely affect the Company’s ability to meet its obligations through April 2, 2019 . Management concluded that no substantial doubt exists regarding the Company’s ability to continue as a going concern one year from the date of filing of the Company's Form 10-K for the year ended December 31, 2017. The accompanying consolidated financial statements included in this Form 10-K have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The accompanying consolidated financial statements do not include any adjustments to the amounts and classification of assets and liabilities that might be necessary should the Company be unable to continue as a going concern. |
Summary of Significant Accounti
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements | Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements Summary of Significant Accounting Policies Consolidation The consolidated financial statements include the accounts of The J.G. Wentworth Company, its wholly-owned subsidiaries, and other entities in which the Company has a controlling financial interest, and those variable interest entities where the Company's wholly-owned subsidiaries are the primary beneficiaries. All material intercompany balances and transactions are eliminated in consolidation. In the normal course of business, the Company is involved with various entities that are considered to be VIEs. A VIE is an entity that has either a total investment that is insufficient to permit the entity to finance its activities without additional subordinated financial support or whose equity investors lack the characteristics of a controlling financial interest under the voting interest model of consolidation. The Company is required to consolidate any VIE for which it is determined to be the primary beneficiary. The primary beneficiary is the entity that has the power to direct those activities of the VIE that most significantly impact the VIE's economic performance and has the obligation to absorb losses from or the right to receive benefits from the VIE that could potentially be significant to the VIE. The Company reviews all significant interests in the VIEs it is involved with including consideration of the activities of the VIEs that most significantly impact the VIEs' economic performance and whether the Company has control over those activities. As a result of adopting ASC 810, the Company determined it was the primary beneficiary of the VIEs used to securitize its finance receivables ("VIE finance receivables"). The Company elected the fair value option with respect to assets and liabilities in its securitization VIEs as part of their initial consolidation on January 1, 2010. On an ongoing basis, the Company assesses whether or not it is the primary beneficiary of a VIE or whether the Company has acquired or divested the power to direct the activities of the VIE through changes in governing documents or other circumstances. The reassessment also considers whether the Company has acquired or disposed of a financial interest that could be significant to the VIE. As a result of this assessment, the consolidation status of the legal entities with which the Company is involved may change. As of December 31, 2017 , there was no change in the consolidation status of the legal entities with which the Company is involved. The debt issued by the Company's securitization VIEs is reported on the Company's consolidated balance sheets as VIE long-term debt issued by securitization and permanent financing trusts, at fair value ("VIE securitization debt"). The VIE securitization debt is recourse solely to the VIE finance receivables held by such special purpose entities ("SPEs") and is non-recourse to the Company and its other consolidated subsidiaries. The VIEs will continue in operation until all securitization debt is paid and all residual cash flows are collected. As a result of the long lives of many finance receivables purchased and securitized by the Company, most consolidated VIEs have expected lives in excess of 20 years. The Company acquires receivables associated with structured settlement payments from individuals in exchange for cash, and these receivables are carried at fair value in VIE finance receivables, at fair value, and Other finance receivables, at fair value, on the Company's consolidated balance sheets. Unearned income is calculated as the amount the fair value exceeds the cost basis of the receivables. Unearned income on VIE and other finance receivables is recognized as interest income using the effective interest method over the life of the related structured settlement. Changes in fair value are recorded in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. The Company, through its subsidiaries, sells finance receivables to SPEs. An SPE issues notes secured by undivided interests in the receivables. Payments due on these notes generally correspond to receipts from the receivables in terms of the timing of payments due. The Company retains an interest in the SPEs and is deemed to have control over these SPEs due to the Company's servicing or subservicing role and therefore consolidates these SPEs. Fair Value Measurements Under ASC 820, Fair Value Measurement ("ASC 820"), fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the orderly transaction between market participants at the measurement date. Fair value measurement establishes a fair value hierarchy that prioritizes the inputs of valuation techniques used to measure fair value. These three levels of fair value hierarchy are defined as follows: • Level 1 - inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date. • Level 2 - inputs to the valuation methodology include quoted prices in markets that are not active or quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. • Level 3 - inputs to the valuation methodology are unobservable. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Fair value is a market based measure considered from the perspective of a market participant who holds the assets or owes the liabilities rather than an entity specific measure. Therefore, even when market assumptions are not readily available, the Company's own assumptions are set to reflect those that market participants would use in pricing the assets or liabilities at the measurement date. The Company uses valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The Company also evaluates various factors to determine whether certain transactions are orderly and may make adjustments to transactions or quoted prices when the volume and level of activity for an asset or liability have decreased significantly. The above conditions could cause certain assets and liabilities to be reclassified from Level 1 to Level 2 or Level 3 or reclassified from Level 2 to Level 3. The inputs or methodology used for valuing the assets or liabilities are not necessarily an indication of the risk associated with the assets and liabilities. Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when the following conditions have been satisfied: (1) the transferred assets have been isolated from the Company, beyond the reach of the Company and its creditors; (2) the transferee obtains the right to pledge or exchange the transferred assets; and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets or through an agreement that permits the transferee to require the transferor to repurchase the transferred financial assets that is so favorable to the transferee that it is probable that the transferee will require the transferor to repurchase them. Transfers that do not meet the criteria to be accounted for as sales are accounted for as secured borrowings. The amendments to ASC 860, Transfers and Servicing ("ASC 860"), eliminated the concept of a qualified special purpose entity, changed the requirements for derecognizing financial assets, and required additional disclosures about transfers of financial assets, including securitization transactions and continuing involvement with transferred financial assets. Cash and Cash Equivalents The Company considers all cash accounts, which are not subject to withdrawal restrictions or penalties, and all highly liquid debt instruments purchased with an initial maturity of three months or less to be cash equivalents. Cash and cash equivalents are carried at cost plus accrued interest, which approximates fair value due to the short maturities of these investments. Restricted Cash and Investments Restricted cash balances represent the use of trust or escrow accounts to secure the cash assets managed by the Company, certificates of deposit supporting letters of credit and warehouse lines of credit, customer purchase holdbacks, collateral collections and split payment collections, cash held in association with securitizations pending delivery of the second pool of assets and collateral for broker dealer margin calls. The Structured Settlements segment acts as the master servicer and/or the subservicer for structured settlements and annuities, lottery winnings and pre-settlements. The Home Lending segment acts as master servicer for its mortgage loan servicing portfolio. Trust accounts are established for collections with payments being made from the restricted cash accounts to the lenders and other appropriate parties on a monthly basis in accordance with the applicable loan agreements or indentures. At certain times, the Company has cash balances in excess of FDIC insurance limits of $250,000 for interest-bearing accounts, which potentially subject the Company to market and credit risks. The Company has not experienced any losses to date as a result of these risks. Restricted investments in the amounts of $3.9 million and $4.6 million as of December 31, 2017 and 2016 , respectively, include certificates of deposit which are pledged to meet certain state requirements in order to conduct business in certain states. The certificates of deposit are carried at face value inclusive of interest, which approximates fair value as such instruments are renewed annually. Allowance for Losses on Receivables The Company maintains an allowance for losses on receivables which represents management's estimate for losses inherent in the portfolio. The Company determines the adequacy of its allowance based upon an evaluation of the finance receivables' collateral, the financial strength of the related insurance company that issued the structured settlement, current economic conditions, historical loss experience, known and inherent risks in the portfolios and other relevant factors. Defaulted payment balances that are deemed uncollectible are charged against the allowance for losses on receivables, and subsequent recoveries, if any, are credited to the allowance. On an ongoing basis, the Company reviews the ability to collect all amounts owed on VIE and other finance receivables carried at amortized cost. Mortgage Loans Held for Sale, at Fair Value Mortgage loans held for sale are carried at fair value with changes in the fair value recognized in current period earnings and included within realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs in the consolidated statements of operations. At the date of funding of the mortgage loan held for sale, the funded amount of the loan plus the related derivative asset or liability of the associated interest rate lock commitment ("IRLC") becomes the initial recorded investment in the mortgage loan held for sale. Such amount is expected to approximate the fair value of the loan. The fair value of mortgage loans held for sale is calculated using observable market information including pricing from actual market transactions, investor commitment prices, or broker quotations. Gains and losses from the sale of mortgages are recognized in earnings based upon the difference between the sales proceeds and carrying value of the related loans upon sale. Origination fees and costs are recognized in earnings at the time of funding. Gains and losses from the sale of mortgages and origination fees and costs are recorded in realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs in the Company's consolidated statements of operations. Mortgage Servicing Rights, at Fair Value Mortgage servicing rights ("MSRs") are contractual arrangements where the rights to service existing mortgages are either retained by the original lender or sold to other parties who specialize in the various functions of servicing mortgages. MSRs are initially recorded at fair value at the time the underlying loans are sold. The Company records the changes in fair value in changes in mortgage servicing rights, net, in the Company's consolidated statements of operations. To determine the fair value of the MSRs, the Company uses a discounted cash flow approach incorporating assumptions that management believes market participants would use in estimating future net servicing income, including estimates of the contractual service fees, ancillary income and late fees, the cost of servicing, the discount rate, float earning value, inflation rate, prepayment speeds and default rates. The Company elected to subsequently measure its existing MSRs portfolio using the fair value method, in which MSRs are measured at fair value each reporting period and changes in fair value are recorded in earnings in the period in which changes in value occur. Changes in the fair value of MSRs are included in the changes in mortgage servicing rights, net, in the consolidated statements of operations. Premises and equipment Premises and equipment are stated at cost, net of accumulated depreciation or amortization and are comprised primarily of computer equipment, office furniture and software licensed from third parties. Depreciation and amortization is computed using the straight-line method over the estimated useful lives of the individual assets. For assets under capital lease obligations and leasehold improvements, amortization is computed over the lesser of the estimated useful lives of the improvements or the lease term. The estimated useful lives of the assets range from 3 to 10 years. Intangible Assets The Company has both finite lived and indefinite lived intangible assets, which are accounted for under ASC 350, Intangibles - Goodwill and Other ("ASC 350") and ASC 360, Property, Plant and Equipment ("ASC 360"). Indefinite-lived intangible assets are tested for impairment whenever events or changes in circumstances suggest that an asset's carrying value may not be fully recoverable, and are tested at least annually. An impairment loss, if any, calculated as the difference between the estimated fair value and the carrying value of an asset, is recognized if the sum of the estimated undiscounted cash flows relating to the asset is less than the corresponding carrying value. The Company's indefinite-lived intangible assets consist of licenses and approvals. Finite-lived intangible assets consist primarily of databases, customer relationships, trade names and affinity relationships. The Company's databases are amortized over their estimated useful lives of 10 years . Customer relationships are amortized over their estimated useful lives of 3 years to 15 years . Amortizable trade names are amortized over their useful life of 3 years . Affinity relationships are amortized over their estimated useful life of 10 years . Business Combinations The Company records the identifiable assets acquired, the liabilities assumed, and any non-controlling interests of companies that are acquired at their estimated fair value as of the date of acquisition, and includes the results of operations from the date of the acquisition in the consolidated statement of operations. The Company recognizes, as goodwill, the excess of the acquisition price over the estimated fair value of the net assets acquired. Goodwill Goodwill represents the excess of the purchase price over the fair value of the net assets acquired in a business combination, and is accounted for under ASC 350. Goodwill has an indefinite useful life and is evaluated for impairment at the reporting-unit level on an annual basis during the fourth quarter or more frequently if events or changes in circumstances indicate potential impairment between annual measurement dates. The Company has the option of performing a qualitative assessment of impairment to determine whether any further quantitative testing for impairment is necessary. Prior to the third quarter of 2017, a two-step process was used. The initial qualitative approach assesses whether the existence of events or circumstances lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events and circumstances, the Company determines it is more likely than not that the fair value is less than carrying value, a two-step quantitative impairment test is performed. A step 1 analysis involves calculating the fair value of the associated reporting unit and comparing it to the reporting unit's carrying value. If the fair value of the reporting unit exceeds the carrying value of the reporting unit including goodwill and the carrying value of the reporting unit is positive, goodwill is considered not to be impaired and no further analysis is required. In 2017 the Company early adopted ASU 2017-04 (as described under "Recently Adopted Accounting Pronouncements"). The adoption of ASU 2017-04 does not impact the Company’s eligibility to continue to take advantage of the extended transition periods afforded to emerging growth companies under the JOBS Act. Marketable Securities Assets acquired through the Company's installment sale transaction structure (the "Asset Advantage ® program") are invested in a diverse portfolio of marketable debt and equity securities. Marketable securities are considered trading securities and are carried at fair value in accordance with ASC 820 with realized and unrealized gains and losses included in realized and unrealized gains (losses) on marketable securities, net, in the Company's consolidated statements of operations and classified as Level 1 or Level 2 assets in the valuation hierarchy of fair value measurements. Marketable securities are held for resale in anticipation of fluctuations in market prices. Marketable securities are recorded in marketable securities, at fair value, on the Company's consolidated balance sheets. Interest on debt securities is recognized in interest income as earned and dividend income on marketable equity securities is recognized in interest income on the ex-dividend date in the Company's consolidated statements of operations. For the years ended December 31, 2017 , 2016 and 2015 , the Company earned $3.0 million , $2.5 million and $3.4 million , respectively, related to interest and dividends on marketable securities. Derivative Instruments and Hedging Activities The Company holds derivative instruments that do not qualify for hedge accounting treatment as defined by ASC 815, Derivatives and Hedging ("ASC 815"). The objective for holding these instruments is to economically offset variability in forecasted cash flows associated with interest rate fluctuations. Interest rate swaps are recorded at fair value in VIE derivative liabilities, at fair value, on the Company's consolidated balance sheets with changes in fair value recorded in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. The Company also enters into commitments to originate and purchase mortgage loans at interest rates that are determined prior to the funding or purchase of the loan. IRLCs are considered freestanding derivatives and are recorded at fair value at inception. Changes in fair value subsequent to inception are based on the change in fair value of the underlying loan and changes in the probability that the loan will fund within the terms of the commitment. The Company uses derivative financial instruments, primarily forward sales commitments, to manage exposure to interest rate risk and changes in the fair value of IRLCs and mortgage loans held for sale. The Company may also enter into commitments to sell mortgage backed securities ("MBS") as part of its overall hedging strategy. The Company has elected not to apply hedge accounting to these freestanding derivatives. The fair value of freestanding derivatives is recorded in other assets or other liabilities on the Company's consolidated balance sheets with changes in fair value included in realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs, in the consolidated statements of operations. Loans Eligible for Repurchase from Ginnie Mae For certain loans that the Company securitized with Ginnie Mae, the Company has the unilateral right to repurchase any individual loan if that loan meets certain criteria, including being delinquent greater than 90 days or in default. As a result of this unilateral right, the Company must recognize the delinquent loans on its consolidated balance sheets and establish a corresponding liability regardless of the Company's intention to repurchase the loan. The amount of loans eligible for repurchase from Ginnie Mae and the liability for loans eligible for repurchase from Ginnie Mae are included in other assets and other liabilities, respectively, on the Company's consolidated balance sheets. Income Taxes Tax laws are complex and subject to different interpretations by the taxpayer and respective taxing authorities. The United States recently enacted comprehensive tax reform legislation known as the Tax Cuts and Jobs Act (the "2017 Tax Act") that, among other things, reduces the U.S. federal corporate income tax rate from 35% to 21% and we are required to re-measure our deferred tax assets and liabilities using the enacted rate at which we expect them to be recovered or settled. In response, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the 2017 Tax Act and allows the registrant to record provisional amounts during a measurement period not to extend beyond one year of the enactment date. We have analyzed the provisional impacts related to the one-time transition tax and determined there is no impact to the deferred tax balances included in our consolidated financial statements for the year ended December 31, 2017. The ultimate impact may materially differ from these provisional amounts, due to, among other things, additional analysis, changes in interpretations and assumptions we have made, additional regulatory guidance that may be issued, and actions we may take as a result of the Tax Act. JGW LLC and the majority of its subsidiaries operate in the U.S. as non-tax paying entities, and are treated as disregarded entities for U.S. federal and state income tax purposes and generally as corporate entities in non-U.S. jurisdictions. In addition, certain of JGW LLC's wholly-owned subsidiaries are operating as corporations within the U.S. and subject to U.S. federal and state tax. As non-tax paying entities, the majority of JGW LLC's net income or loss is attributable to its members and included in their tax returns. The current and deferred income tax provision (benefit) relates to both the income (loss) attributable to the Corporation from JGW LLC and to the tax-paying subsidiaries of JGW LLC. Income taxes are accounted for using the liability method of accounting in accordance with ASC 740, Income Taxes . Under this method, deferred tax assets and liabilities are recognized for the expected future tax consequences of the differences between the carrying amounts of assets and liabilities and their respective tax basis, using currently enacted tax rates. The effect on deferred assets and liabilities of a change in tax rates is recognized in income in the period when the change is enacted. Deferred tax assets are reduced by a valuation allowance when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in these jurisdictions. If, based on this analysis, the Company determines that uncertainties in tax positions exist, a reserve will be established. The Company will recognize accrued interest and penalties related to uncertain tax positions in the Company's consolidated statements of operations. Segment Reporting The Company reports operating segments in accordance with ASC 280. Operating segments are components of an entity for which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and assess performance. ASC 280 requires that a public entity report a measure of segment profit or loss, certain specific revenue and expense items, segment assets, and information on the way that the Company identified its operating segments. The Company's business segments are determined based on products and services offered, as well as the nature of the related business activities, and they reflect the manner in which financial information is currently evaluated by management. The Company has identified the following two reportable segments: (i) Structured Settlements and (ii) Home Lending. The Company's Structured Settlements segment also includes corporate activities, payment solutions, pre-settlements and providing (i) access to providers of personal lending and (ii) access to providers of funding for pre-settled legal claims. Interest Income Interest income on mortgage loans held for sale is accrued and is based upon the principal amount outstanding and contractual interest rates. Income recognition is discontinued when loans become 90 days delinquent or when, in management's opinion, the collectability of principal and interest becomes doubtful and the mortgage loans held for sale are put on a non-accrual basis. When the loan is placed on non-accrual status, the related interest receivable is reversed against interest income of the current period. If a non-accrual loan is returned to accrual status, the accrued interest existing at the date the residential loan is placed on non-accrual status and interest during the non-accrual period are recorded as interest income as of the date the loan no longer meets the non-accrual criteria. For finance receivables, the Company suspends recognizing interest income when it is probable that the Company will be unable to collect all payments according to the contractual terms of the underlying agreements. Management considers all information available in assessing collectability. Collectability is measured on a receivable-by-receivable basis by either the present value of estimated future cash flows discounted at the effective rate, the observable market price for the receivable or the fair value of the collateral if the receivable is collateral dependent. Large groups of smaller balance homogeneous receivables, such as pre-settlement funding transactions, are collectively assessed for collectability. A receivable is charged off when in the Company's judgment, the receivable or portion of the receivable is considered uncollectible. Payments received on past due receivables and finance receivables the Company has suspended recognizing interest income on are applied first to principal and then to accrued interest. Interest income on past due receivables and finance receivables, if received, is recorded using the cash basis method of accounting. Additionally, the Company generally does not resume recognition of interest income once it has been suspended. Loan Servicing Fees Loan servicing fees associated with mortgage loan operations represent revenue earned for servicing loans for various investors and are included in servicing, broker, and other fees in the consolidated statements of operations. The loan servicing fees are based on a contractual percentage of the outstanding principal balance and are recognized into income when earned. Loan servicing expenses are charged to operations as incurred, and included in direct subservicing costs in the Company's consolidated statements of operations. Other Revenue Recognition Servicing, broker, and other fees in the Company’s consolidated statements of operations primarily include broker fees and subservicing fees earned from servicing structure settlement contracts. Broker fee income is recognized when the contract between the purchasing counterparty and the seller is closed for the sale of receivables. Share-Based Compensation The Company applies ASC 718, Compensation - Stock Compensation ("ASC 718"), which requires that the compensation cost relating to share-based payment transactions, based on the fair value of the equity or liability instruments issued, be included in the Company's consolidated statements of operations. The Company has determined that these share-based payment transactions represent equity awards under ASC 718 and therefore measures the cost of employee services received in exchange for share-based compensation on the grant-date fair value of the award, and recognizes the cost over the period the employee is required to provide services for the award. For all grants or modifications of stock options, the fair value at the grant date is calculated using option pricing models based on the value of the entity's shares at the award or modification date. Compensation expense for performance-based restricted stock units is recognized ratably from the date of the grant until the date the restrictions lapse and is based on the trading price of the Class A common stock on the date of grant or modification and the probability of achievement of the specific performance-based goals. In 2016, the Company modified the terms of stock options granted to its employees and may do so again in the future. The Company accounts for the incremental increase in the fair value over the original award on the date of the modification as an expense for vested awards and over the remaining service (vesting) period for unvested awards. The incremental compensation cost is the excess of the fair value of the modified award on the date of modification over the fair value of the original award immediately before the modification. Share-based compensation expense is included in compensation and benefits expense in the Company's consolidated statements of operations. Debt Issuance Costs Debt issuance costs related to liabilities for which the Company has elected the fair value option are expensed when incurred. Debt issuance costs related to liabilities for which the Company has not elected the fair value option are capitalized and amortized over the expected term of the borrowing or debt issuance. With the adoption of Accounting Standards Update ("ASU") No. 2015-03, Simplifying the Presentation of Debt Issuance Costs ("ASU 2015-03") and ASU No. 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements ("ASU 2015-15"), capitalized amounts are netted against the related debt facility on the Company's consolidated balance sheets and amortization of such costs is included in interest expense in the Company's consolidated statements of operations over the life of the debt facility. Advertising Expenses Advertising costs are expensed as incurred. The costs are included in advertising expense in the Company's consolidated statements of operations. Recently Adopted Accounting Pronouncements Effective in the third quarter of fiscal 2017, the Company adopted ASU No. 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment ("ASU 2017-04).Under ASU 2017-04, Step 2 of the goodwill impairment test has been eliminated. Step 2 of the goodwill impairment test required companies to determine the implied fair value of the reporting unit’s goodwill. Under the new guidance, companies will perform their annual, or interim, goodwill impairment test by c |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The goodwill of the Company consists of $0.0 million and $8.4 million related to the Home Lending segment as of December 31, 2017 and 2016 . There is no goodwill related to the Structured Settlements segment as of December 31, 2017 and 2016 . Intangible assets subject to amortization include the following as of: Structured Settlements Home Lending Cost Accumulated Amortization Cost Accumulated Amortization (In thousands) December 31, 2017 Database $ 4,609 $ (4,473 ) $ — $ — Customer relationships 16,096 (15,909 ) — — Domain names 486 (473 ) — — Trade name (1) 613 (368 ) 1,095 (990 ) Affinity relationships — — 9,547 (2,308 ) Intangible assets subject to amortization $ 21,804 $ (21,223 ) $ 10,642 $ (3,298 ) December 31, 2016 Database $ 4,609 $ (4,356 ) $ — $ — Customer relationships 16,096 (15,750 ) — — Domain names 486 (461 ) — — Trade name (1) 613 (157 ) 1,095 (700 ) Affinity relationships — — 9,547 (1,354 ) Intangible assets subject to amortization $ 21,804 $ (20,724 ) $ 10,642 $ (2,054 ) (1) During the three months ended June 30, 2016, the trade name the Company acquired in connection with the Company's 2011 acquisition of Orchard Acquisition Company ("OAC") was determined to be a finite-lived asset, subject to amortization. As of December 31, 2017 and 2016 , the carrying value of Home Lending's indefinite-lived licenses and approvals intangible asset was $13.2 million . Amortization of intangible assets is included in depreciation and amortization in the Company's consolidated statements of operations. Amortization expense for the years ended December 31, 2017 , 2016 and 2015 was $1.7 million , $2.1 million , and $2.2 million , respectively. As of December 31, 2017 , the weighted average remaining useful lives of the databases, customer relationships, domain names and trade names are one year and affinity relationships is eight years . Estimated future amortization expense for amortizable intangible assets for each of the succeeding five calendar years and thereafter is as follows: Year Ending December 31, Estimated Future Amortization Expense (In thousands) 2018 $ 1,560 2019 1,035 2020 957 2021 954 2022 954 Thereafter 2,465 Total future amortization expense $ 7,925 The commencement of the Chapter 11 Cases constituted a triggering event requiring the Company to: (i) test the related indefinite-lived licenses and approvals intangible asset for impairment under ASC 350-30 and (ii) test the related asset groups including the finite-lived intangible assets, which include the trade name and the affinity relationships, for impairment under ASC 360-10. The fair value of the indefinite-lived licenses and approvals intangible asset was determined by utilizing the "with and without" valuation methodology, and is considered a Level 3 (unobservable) fair value determination in the fair value hierarchy. Specifically, the "with and without" valuation methodology incorporated multi-year revenue projections, out of pocket costs and lag time to obtain licenses and approvals to originate loans. Key assumptions utilized in the fair value analysis included the following: (i) projected long-term growth rates in revenues, (ii) a discount rate, developed using a cost of equity analysis and (iii) an adjustment to reflect the tax amortization benefits under Section 197 of the Internal Revenue Code. As a result of this analysis, the fair value of the indefinite-lived licenses and approvals intangible asset exceeded their carrying value. To test the related asset groups, which include the trade name and affinity relationships finite-lived intangible assets, the Company compared the undiscounted cash flows associated with the Home Lending reporting unit to its carrying value as permitted under ASC 360-10. Key assumptions utilized in the recoverability test included the following: (i) projected long-term growth rates in revenue and (ii) terminal year cash flows capitalized using the cost of equity analysis less terminal growth rate. The results of the recoverability test indicated the estimated undiscounted cash flows of the Home Lending reporting unit exceeded its carrying value and, therefore, an impairment of the asset groups was not recorded as of December 31, 2017 . The fair value of the Structured Settlements finite-lived trade name intangible asset was determined primarily using a discounted cash flow approach that required considerable management judgment and long-term assumptions, and is considered a Level 3 (unobservable) fair value determination in the fair value hierarchy. Specifically, the "relief from royalty" method was used, which incorporated multi-year revenue projections. Key assumptions utilized in the fair value analysis included the following: (i) projected long-term growth rates in revenues directly attributable to the trade name, (ii) a discount rate, developed using cost of equity analysis and (iii) a royalty rate based on an analysis of royalty licensing data. As a result of this analysis, the fair value of the Structured Settlements finite-lived trade name exceeded its carrying value. During the third quarter of 2017 , the Company re-evaluated its internal projections for its Home Lending reporting unit based on continued lower than anticipated profitability results, a reduction of its warehouse facilities and contemplation by the Company of entering into the Restructuring Support Agreement and the related restructuring which, at the time was expected to be effectuated through a pre-packaged Chapter 11 plan of reorganization. Accordingly, the Company determined those events constituted a triggering event requiring the Company to: (i) test the related indefinite-lived licenses and approvals intangible asset for impairment under ASC 350-30, (ii) test the related asset groups including the finite-lived intangible assets, which include the trade name and the affinity relationships, for impairment under ASC 360-10 and (iii) perform a goodwill impairment analysis. Based on the assessment performed at that time, the implied fair value of the Home Lending reporting unit was less than its carrying value and as a result, the Company recorded a goodwill impairment charge of $8.4 million in the consolidated statements of operations, representing all of the goodwill associated with the Home Lending reporting unit, for the year ended December 31, 2017 . During the year ended December 31, 2016 , the Company recorded an intangible asset impairment charge of $5.5 million comprised of $2.8 million for the indefinite-lived trade name and $2.7 million for the finite-lived customer relationships. The Company also determined that its trade name asset was a finite-lived intangible asset, and, consequently, a useful life of three years was assigned to the asset, which is the period the Company expects the asset to contribute directly or indirectly to future cash flows of the Company. Further, the Company determined that the remaining useful lives of its finite-lived intangible assets within the Structured Settlements reporting unit, namely databases and customer relationships, were less than previously assigned and consequently revised them to their currently estimated useful lives of approximately three years . The Company recorded in the aggregate goodwill and intangible asset impairment charges of $121.6 million during the year ended December 31, 2015 . While management believes the assumptions used in its impairment assessment are reasonable and will continuously evaluate for future potential impairment indicators, there can be no assurance that estimates and assumptions made for purposes of impairment testing will prove to be accurate predictions of the future. Less than anticipated revenues generated by the Company's reporting units, an increase in the discount rate, and/or a decrease in the internal projected revenues used in the discounted cash flow model, among other items, could result in future impairment charges. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Under ASC 820, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The standard focuses on the exit price in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. U.S. GAAP establishes a fair value reporting hierarchy to maximize the use of observable inputs when measuring fair value and defines the three levels of inputs as noted below: • Level 1 — inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date. • Level 2 — inputs to the valuation methodology include quoted prices in markets that are not active or quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. • Level 3 — inputs to the valuation methodology are unobservable, reflecting the entity's own assumptions about assumptions market participants would use in pricing the asset or liability. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Fair value is a market based measure considered from the perspective of a market participant who holds the asset or owes the liability rather than an entity specific measure. Therefore, even when market assumptions are not readily available, the Company's own assumptions are set to reflect those that market participants would use in pricing the assets or liabilities at the measurement date. The Company uses valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The Company also evaluates various factors to determine whether certain transactions are orderly and may make adjustments to transactions or quoted prices when the volume and level of activity for an asset or liability have decreased significantly. The above conditions could cause certain assets and liabilities to be reclassified from Level 1 to Level 2 or Level 3 or reclassified from Level 2 to Level 3. The inputs or methodology used for valuing the assets or liabilities are not necessarily an indication of the risk associated with the assets and liabilities. The Company uses various valuation techniques and assumptions in estimating fair value. The assumptions used to estimate the value of the Company’s assets and liabilities have varying degrees of impact to the overall fair value. This process involves the gathering of multiple sources of information, including broker quotes, values provided by pricing services, market indices and pricing matrices. When observable market prices for the asset or liability are not available, the Company employs various modeling techniques, such as discounted cash flow analysis, to estimate the fair value of the Company’s assets and liabilities. For certain assets and liabilities, the Company developed internal models which are validated and calibrated regularly by management with assistance from third parties, as appropriate. Any models used to determine fair values, including the inputs and the assumptions therein, are reviewed as part of the Company’s model validation process. The following describes the methods used in estimating the fair values of certain financial statement items: For assets and liabilities measured at fair value in the Company's consolidated financial statements: Marketable securities, at fair value - The fair value of investments in marketable securities, which primarily consist of equity and fixed income securities, is based on quoted market prices. VIE and other finance receivables, at fair value, and VIE long-term debt issued by securitization and permanent financing trusts, at fair value – The estimated fair value of VIE finance receivables, at fair value, other finance receivables, at fair value, and VIE long-term debt issued by securitization and permanent financing trusts, at fair value, is determined based on a discounted cash flow model using expected future collections and payments discounted at a calculated rate as described below. For guaranteed structured settlements and annuities, the Company allocates the projected cash flows based on the waterfall of the securitization and permanent financing trusts (collectivity the "Trusts"). The waterfall includes fees to operate the Trusts (servicing fees, administrative fees, etc.), note holder principal and note holder interest. Many of the Trusts have various tranches of debt that have varying subordinations in the waterfall calculation. Refer to Note 17 for additional information. The remaining cash flows, net of those obligations, are considered a residual interest which is projected to be paid to the retained interest holder. The projected finance receivable cash flows used to pay the obligations of the Trusts are discounted using a calculated rate derived from the fair value interest rates of the debt in the Trusts. The fair value interest rate of the debt is derived using a swap curve and applying a calculated spread that is based on either: (i) market indices that are highly correlated with the spreads from the Company's previous securitizations and asset sales or (ii) the Company's most recent securitization or asset sale if it occurs within close proximity to the reporting date. The calculated spread is adjusted for the specific attributes of the debt in the Trusts, such as years to maturity and credit grade. The debt's fair value interest rates are applied to the projected future cash payments paid on the principal and interest to derive the debt's fair value. The debt's fair value interest rates are blended using the debt's principal balance to obtain a weighted average fair value interest rate which is used to determine the value of the finance receivables' asset cash flows. In addition, the Company considers transformation costs and profit margin associated with its securitizations to derive the fair value of its finance receivables' asset cash flows. The finance receivables' residual cash flows remaining after the projected obligations of the Trusts are satisfied are discounted using a separate calculated rate ( 9.14% and 9.75% at December 31, 2017 and December 31, 2016 , respectively, with a weighted average life of 20 years as of both dates) that is derived from the fair value interest rates of the related debt. Based on the Company's historical performance, the residual cash flows are adjusted for a loss assumption of 0.25% over the life of the finance receivables in its fair value calculation. Finance receivable cash flows, including the residual asset cash flows, are included in VIE and other finance receivables, at fair value, on the Company's consolidated balance sheets. In connection with the refinancing of the Company's residual term facility (the "Residual Term Facility"), which was completed in September 2016, the Company issued $207.5 million in notes collateralized by the residual asset cash flows and elected the fair value option, as permitted by ASC 825, Financial Instruments ("ASC 825"). The fair value interest rate of the debt is derived using the swap curve and applying a calculated spread based on market indices that are highly correlated with the spread from the related debt issued. Refer to Notes 16 and 17 for additional information. The associated debt's projected future cash payments for principal and interest are included in VIE long-term debt issued by securitization and permanent financing trusts, at fair value. For finance receivables not yet securitized, the Company uses the calculated spreads based on market indices, while also considering transformation costs and profit margin to determine the fair value yield adjusting for expected losses and applying the residual yield for the cash flows the Company projects would make up the retained interest in a securitization. There are no material differences in valuation techniques, assumptions and inputs used to develop the Company’s fair value measurements for finance receivables not securitized and those that are securitized. For Life Contingent Structured Settlements ("LCSS") receivables, the Company uses the calculated spreads based on the principal market for the assets, reflecting the assumptions the Company believes market participants would use in pricing the asset, which is also used to determine the fair value of the debt cash flows. Mortgage loans held for sale, at fair value - The fair value of mortgage loans held for sale is calculated using observable market information including pricing from actual market transactions, investor commitment prices, or broker quotations. Mortgage servicing rights, at fair value - The Company uses a discounted cash flow approach to estimate the fair value of MSRs incorporating assumptions management believes market participants would use in determining fair value. The assumptions used in the estimation of the fair value of MSRs include contractual service fees, ancillary income and late fees, the cost of servicing, the discount rate, the float rate, the inflation rate, prepayment speeds and default rates. Interest rate lock commitments, at fair value - The Company estimates the fair value of interest rate lock commitments ("IRLCs") based on the value of the underlying mortgage loan, quoted MBS prices and estimates of the fair value of the MSRs and the probability, commonly referred to as the "pull-through" rates, that the mortgage loan will close within the terms of the IRLCs. These "pull-through" rates are based on the Company's historical data and reflect the Company's best estimate of the likelihood that a commitment will ultimately result in a closed loan. VIE derivative liabilities, at fair value – The fair value of interest rate swaps is based on pricing models which consider current interest rates and the amount and timing of cash flows. Forward sale commitments, at fair value – The fair value of forward sale commitments is based on pricing models which consider current interest rates and the amount and timing of cash flows. Assets and liabilities for which fair value is only disclosed in the notes to the Company's consolidated financial statements: VIE and other finance receivables, net of allowances for losses – The fair value of structured settlement, annuity, and lottery receivables is estimated based on the present value of future expected cash flows using discount rates commensurate with the risks involved. The fair value of pre-settlement funding transactions and attorney cost financing is based on expected losses and historical loss experience associated with the respective receivables using management's best estimate of key assumptions regarding credit losses. Other receivables, net of allowances for losses – The estimated fair value of advances receivable and certain other receivables, which are generally recovered in less than three months, is equal to the carrying amount. The carrying value of other receivables which have expected recoverability of greater than three months, which consist primarily of a note receivable, are estimated based on the present value of future expected cash flows using management's best estimate of certain key assumptions, including discount rates commensurate with the risks involved. Term loan payable (LSTC) – As of December 31, 2017 , the fair value of the term loan payable was estimated based on the total enterprise value of the Company after reorganization, as determined in the Plan, as a percentage of the new common equity to be issued under the Plan ("New Common Equity") issued and allocated to all holders of the term loan payable. Previously, the estimated fair value of the term loan payable was based on market price quotations obtained from third parties. VIE borrowings under revolving credit facilities and other similar borrowings – The estimated fair value of borrowings under revolving credit facilities and other similar borrowings is based on the borrowing rates for debt with similar terms and remaining maturities. Other borrowings under revolving credit facilities and other similar borrowings – The estimated fair value of borrowings under revolving credit facilities and similar borrowings is based on the borrowing rates for debt with similar terms and remaining maturities. VIE long-term debt – The estimated fair value of VIE long-term debt is based on borrowing rates available to the Company based on recently executed transactions with similar underlying collateral characteristics, reflecting the specific terms and conditions of the debt. Installment obligations payable – Installment obligations payable is reported at contract value determined based on changes in the measuring indices selected by the obligees under the terms of the obligations over the length of the obligations. The fair value of installment obligations payable is estimated to be equal to the carrying value. TRA obligations – The estimated fair value of TRA obligations was determined in accordance with the Plan. Under the Plan, each TRA claimant received its pro rata share of the New Class A common stock and the New Class B common stock of the Company or cash consideration, at the sole election of each holder of a TRA claim. Consequently, as of January 25, 2018 , the TRA claimants now hold, in the aggregate, 161,961 shares of New Class A common stock and 141,384 shares of New Class B common stock and received $4.8 million of cash consideration, resulting in an aggregate fair value of $6.6 million . The following table sets forth the Company's assets and liabilities that are carried at fair value on the Company's consolidated balance sheets as of: Quoted Prices in Active Significant Other Significant Total at (In thousands) December 31, 2017 Assets Marketable securities, at fair value $ 83,251 $ 2,293 $ — $ 85,544 VIE and other finance receivables, at fair value — — 4,278,956 4,278,956 Mortgage loans held for sale, at fair value — 261,194 — 261,194 Mortgage servicing rights, at fair value — — 56,134 56,134 Interest rate lock commitments, at fair value (1) — — 16,134 16,134 Total Assets $ 83,251 $ 263,487 $ 4,351,224 $ 4,697,962 Liabilities VIE derivative liabilities, at fair value $ — $ 38,460 $ — $ 38,460 VIE long-term debt issued by securitization and permanent financing trusts, at fair value — — 4,104,778 4,104,778 Forward sale commitments, at fair value (2) — 623 — 623 Total Liabilities $ — $ 39,083 $ 4,104,778 $ 4,143,861 (1) Included in other assets on the Company's consolidated balance sheets. (2) Included in other liabilities on the Company's consolidated balance sheets. Quoted Prices in Active Significant Other Significant Total at (In thousands) December 31, 2016 Assets Marketable securities, at fair value $ 74,421 $ 2,266 $ — $ 76,687 VIE and other finance receivables, at fair value — — 4,157,037 4,157,037 Mortgage loans held for sale, at fair value — 232,770 — 232,770 Mortgage servicing rights, at fair value — — 41,697 41,697 Interest rate lock commitments, at fair value (1) — — 6,072 6,072 Forward sale commitments, at fair value (1) — 659 — 659 Total Assets $ 74,421 $ 235,695 $ 4,204,806 $ 4,514,922 Liabilities VIE derivative liabilities, at fair value $ — $ 50,432 $ — $ 50,432 VIE long-term debt issued by securitization and permanent financing trusts, at fair value — — 4,014,450 4,014,450 Total Liabilities $ — $ 50,432 $ 4,014,450 $ 4,064,882 (1) Included in other assets on the Company's consolidated balance sheets. The following table sets forth the Company's quantitative information about its Level 3 fair value measurements as of: Fair Value Valuation Technique Significant Unobservable Input Range (In thousands) December 31, 2017 Assets VIE and other finance receivables, at fair value $ 4,278,956 Discounted cash flow Discount rate 3.37% - 10.19% (4.17%) Mortgage servicing rights, at fair value 56,134 Discounted cash flow Discount rate 9.50% - 12.50% (9.95%) Prepayment speed 4.45% - 14.16% (8.87%) Cost of servicing $65 - $90 ($71) Interest rate lock commitments, at fair value 16,134 Internal model Pull-through rate 0.00% - 100.00% (79.32%) Total Assets $ 4,351,224 Liabilities VIE long-term debt issued by securitization and permanent financing trusts, at fair value 4,104,778 Discounted cash flow Discount rate 2.21% - 10.19% (4.10%) Total Liabilities $ 4,104,778 December 31, 2016 Assets VIE and other finance receivables, at fair value $ 4,157,037 Discounted cash flow Discount rate 3.16% - 12.77% (4.32%) Mortgage servicing rights, at fair value 41,697 Discounted cash flow Discount rate 9.50% - 14.06% (10.11%) Prepayment speed 6.04% - 21.82% (7.96%) Cost of servicing $65 - $90 ($73) Interest rate lock commitments, at fair value 6,072 Internal model Pull-through rate 37.25% - 97.00% (79.53%) Total Assets $ 4,204,806 Liabilities VIE long-term debt issued by securitization and permanent financing trusts, at fair value 4,014,450 Discounted cash flow Discount rate 1.47% - 11.91% (4.25%) Total Liabilities $ 4,014,450 A significant unobservable input used in the fair value measurement of most of the Company's assets and liabilities measured at fair value using unobservable inputs (Level 3) is the discount rate. Significant decreases (increases) in the discount rate used to estimate fair value in isolation would result in a significantly higher (lower) fair value measurement of the corresponding asset or liability. Additional significant unobservable inputs used in the fair value measurement of mortgage servicing rights, at fair value, are prepayment speed, cost of servicing and pull-through rate. Significant decreases (increases) in the prepayment speed used to estimate the fair value of MSRs in isolation would result in a significantly higher (lower) fair value measurement. Significant decreases (increases) in the cost of servicing used to estimate the fair value of MSRs in isolation would result in a significantly higher (lower) fair value measurement. Significant increases (decreases) in the pull-through rate used to estimate the fair value of IRLCs in isolation would result in a significantly higher (lower) fair value measurement. The changes in assets measured at fair value using significant unobservable inputs (Level 3) during the years ended December 31, 2017 and 2016 were as follows: VIE and other Mortgage servicing rights, at fair value Interest rate lock commitments, at fair value Total (In thousands) Balance as of December 31, 2016 $ 4,157,037 $ 41,697 $ 6,072 $ 4,204,806 Total included in earnings (losses): 0 Unrealized gains 184,368 14,437 16,134 214,939 Realized gain on sale of finance receivable 3,024 — — 3,024 Included in other comprehensive gain — — — — Purchases of finance receivables 285,868 — — 285,868 Interest accreted 173,652 — — 173,652 Payments received (505,999 ) — — (505,999 ) Sale of finance receivables (18,994 ) — — (18,994 ) Transfers to other balance sheet line items — — (6,072 ) (6,072 ) Transfers in (out) of Level 3 — — — — Balance as of December 31, 2017 $ 4,278,956 $ 56,134 $ 16,134 $ 4,351,224 The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: December 31, 2017 $ 184,368 $ 14,437 $ 16,134 $ 214,939 Balance as of December 31, 2015 $ 4,386,147 $ 29,287 $ 4,934 $ 4,420,368 Total included in earnings (losses): Unrealized gains 33,241 12,410 6,072 51,723 Realized gain on sale of finance receivable 69,598 — — 69,598 Included in other comprehensive gain — — — — Purchases of finance receivables 273,298 — — 273,298 Interest accreted 173,194 — — 173,194 Payments received (507,110 ) — — (507,110 ) Sale of finance receivables (271,331 ) — — (271,331 ) Transfers to other balance sheet line items — — (4,934 ) (4,934 ) Transfers in (out) of Level 3 — — — — Balance as of December 31, 2016 $ 4,157,037 $ 41,697 $ 6,072 $ 4,204,806 The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: December 31, 2016 $ 33,241 $ 12,410 $ 6,072 $ 51,723 The changes in liabilities measured at fair value using significant unobservable inputs (Level 3) during the years ended December 31, 2017 and 2016 were as follows: VIE long-term debt issued (In thousands) Balance as of December 31, 2016 $ 4,014,450 Total included in (earnings) losses: Unrealized losses 87,404 Issuances 340,573 Interest accreted (10,296 ) Repayments (327,353 ) Transfers in (out) of Level 3 — Balance as of December 31, 2017 $ 4,104,778 The amount of net losses for the period included in revenues attributable to the change in unrealized gains or losses relating to long-term debt still held as of: December 31, 2017 $ 87,404 Balance as of December 31, 2015 $ 3,928,818 Total included in (earnings) losses: Unrealized losses 97,829 Issuances 337,667 Interest accreted (30,234 ) Repayments (319,630 ) Transfers in (out) of Level 3 — Balance as of December 31, 2016 $ 4,014,450 The amount of net losses for the period included in revenues attributable to the change in unrealized gains or losses relating to long-term debt still held as of: December 31, 2016 $ 97,829 Realized and unrealized gains and losses included in revenues in the accompanying consolidated statements of operations for the years ended December 31, 2017 , 2016 , and 2015 are reported in the following asset line items: VIE and other finance receivables and long-term debt, at fair value Mortgage servicing rights, at fair value Interest rate lock commitments, at fair value (In thousands) Net gains included in revenues for the year ended December 31, 2017 $ 99,988 $ 14,437 $ 16,134 Unrealized gains for the year ended December 31, 2017 relating to assets and long term debt still held as of December 31, 2017 $ 96,964 $ 14,437 $ 16,134 Net gains included in revenues for the year ended December 31, 2016 $ 5,010 $ 12,410 $ 6,072 Unrealized (losses) gains for the year ended December 31, 2016 relating to assets and long term debt still held as of December 31, 2016 $ (64,588 ) $ 12,410 $ 6,072 Net gains included in revenues for the year ended December 31, 2015 $ 70,930 $ 1,649 $ 4,934 Unrealized gains for the year ended December 31, 2015 relating to assets and long term debt still held as of December 31, 2015 $ 65,324 $ 1,649 $ 4,934 The Company discloses fair value information about financial instruments, whether or not recorded at fair value on the Company's consolidated balance sheets, for which it is practicable to estimate that value. As such, the estimated fair values of the Company's financial instruments were as follows: December 31, 2017 December 31, 2016 (In thousands) Estimated Carrying Estimated Carrying Financial assets: VIE and other finance receivables, at fair value $ 4,278,956 $ 4,278,956 $ 4,157,037 $ 4,157,037 VIE and other finance receivables, net of allowance for losses (1) 80,504 81,809 88,300 93,944 Other receivables, net of allowance for losses (1) 20,918 20,918 17,771 17,771 Mortgage loans held for sale, at fair value 261,194 261,194 232,770 232,770 Mortgage servicing rights, at fair value 56,134 56,134 41,697 41,697 Marketable securities, at fair value 85,544 85,544 76,687 76,687 Interest rate lock commitments, at fair value (2) 16,134 16,134 6,072 6,072 Forward sale commitments, at fair value (2) — — 659 659 Financial liabilities: Term loan payable (1)(4) — — 242,730 431,872 VIE derivative liabilities, at fair value 38,460 38,460 50,432 50,432 VIE borrowings under revolving credit facilities and other similar borrowings (1) 25,369 22,834 58,798 56,432 Other borrowings under revolving credit facilities and other similar borrowings (1) 252,267 253,649 229,221 229,588 VIE long-term debt (1) 55,792 58,480 57,268 62,939 VIE long-term debt issued by securitization and permanent financing trusts, at fair value 4,104,778 4,104,778 4,014,450 4,014,450 Forward sale commitments, at fair value (3) 623 623 — — Installment obligations payable (1) 85,544 85,544 76,687 76,687 Liabilities subject to compromise: Term loan payable (1)(4) 153,119 446,996 — — TRA obligations (1)(5) 6,646 160,113 — — (1)These represent financial instruments not recorded on the consolidated balance sheets at fair value. Such financial instruments would be classified as Level 3 within the fair value hierarchy. (2) Included in other assets on the Company's consolidated balance sheets. (3) Included in other liabilities on the Company's consolidated balance sheets. (4) As of December 31, 2017 , the fair value of the term loan payable was estimated based on the total enterprise value of the Company after reorganization, as determined in the Plan, as a percentage of the New Common Equity issued and allocated to all holders of the term loan payable. (5) At the time of the filing by the Company of Chapter 11 Cases, it was estimated that all claims against the Company held by the TRA's claimants were in the aggregate amount of $160.1 million . Pursuant to the Plan, on January 25, 2018, the TRA claimants received, in the aggregate, 161,961 shares of New Class A common stock, 141,384 shares of New Class B common stock and $4.8 million of cash consideration, resulting in an aggregate fair value of $6.6 million . |
VIE and Other Finance Receivabl
VIE and Other Finance Receivables, at Fair Value | 12 Months Ended |
Dec. 31, 2017 | |
VIE and Other Finance Receivables, at Fair Value [Abstract] | |
VIE and Other Finance Receivables, at Fair Value | VIE and Other Finance Receivables, at Fair Value The Company has elected to fair value newly originated guaranteed structured settlements in accordance with ASC 825. The Company also elected to fair value newly originated lottery winnings effective January 1, 2013. VIE and other finance receivables for which the fair value option was elected consist of the following: December 31, 2017 December 31, 2016 (In thousands) Maturity value $ 6,715,441 $ 6,584,344 Unearned income (2,436,485 ) (2,427,307 ) Net carrying amount $ 4,278,956 $ 4,157,037 Encumbrances on VIE and other finance receivables, at fair value, were as follows: Encumbrance December 31, 2017 December 31, 2016 (In thousands) VIE long-term debt issued by securitization and permanent financing trusts (2) $ 4,227,389 $ 4,060,069 $100.0 million credit facility (JGW-S III) (1) — 27,966 $150.0 million credit facility (JGW V) (1) 9,287 55,868 $75.0 million credit facility (JGW VIII) (1) 32,943 — Encumbered VIE finance receivables 4,269,619 4,143,903 Unencumbered 9,337 13,134 Total VIE and other finance receivables, at fair value $ 4,278,956 $ 4,157,037 (1) Refer to Note 14 . (2) Refer to Note 17 . As of December 31, 2017 , the residual cash flows from the Company's finance receivables, at fair value, were pledged as collateral for two of the Company's permanent financing VIEs. As of December 31, 2016 , the residual cash flows from the Company's finance receivables, at fair value, were pledged as collateral for one of the Company's permanent financing VIEs. Refer to Note 17 for additional information. As of December 31, 2017 and 2016 , the unsecuritized finance receivables, at fair value, were $51.6 million and $97.0 million , respectively, and were included within other finance receivables, at fair value on the Company’s consolidated balance sheets. As of December 31, 2017 , the expected cash flows of VIE and other finance receivables, at fair value, based on maturity value for the next five years and thereafter were as follows: Year ended December 31, Expected cash flows (In thousands) 2018 $ 496,138 2019 490,082 2020 458,467 2021 436,427 2022 409,900 Thereafter 4,424,427 Total $ 6,715,441 In March 2017, the Company entered into an Asset Sale Facility agreement (the "Asset Sale Facility") to sell up to $50.0 million of discounted total receivable balances ("TRB") purchases, which can be increased to $75.0 million by mutual agreement of the parties, and has a duration of one year , which the Company elected not to renew in March 2018. During the year ended December 31, 2017 , the Company sold $19.8 million of TRB purchases pursuant to the Asset Sale Facility, which was accounted for as a direct asset sale, for $11.9 million , and the Company recognized a $1.0 million gain. The gain was included in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. No servicing asset or liability was recognized in connection with the Company's direct asset sale. On June 30, 2017, the Company executed a second Asset Sale Facility agreement (the "Second Asset Sale Facility") to sell up to $5.0 million of discounted TRB purchases, which can be increased to $25.0 million by mutual agreement of the parties, and has a duration of one year . On September 28, 2017, the Company increased the capacity of its Second Asset Sale Facility to $15.0 million of discounted TRB purchases. During the year ended December 31, 2017 , the Company sold $32.1 million of TRB purchases pursuant to the Second Asset Sale Facility, which was accounted for as a direct asset sale, for $5.5 million , and the Company recognized a $1.9 million gain. The gain was included in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. No servicing asset or liability was recognized in connection with the Company's direct asset sale In February 2016, the Company completed a sale of the first pool of assets associated with its 2016-1 direct asset sale in which $151.5 million of TRB purchases were sold for $91.3 million and the Company recognized a $21.7 million gain. In April 2016, the Company completed a sale of the second pool of assets associated with its 2016-1 direct asset sale in which $115.8 million of TRB purchases were sold for $70.0 million , and the Company realized an $18.6 million gain. In June 2016, the Company completed a sale of the first pool of assets associated with its 2016-2 direct asset sale in which $81.3 million of TRB purchases were sold for $50.8 million . In conjunction with this transaction, the Company realized a $13.9 million gain. In August 2016, the Company completed a sale of the second pool of assets associated with its 2016-2 direct asset sale in which $93.6 million of TRB purchases were sold for $59.2 million , and the Company realized a $15.4 million gain. The aforementioned gains were included in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. No servicing asset or liability was recognized in connection with the Company's direct asset sales. In December 2015, the Company completed a direct asset sale in which $47.2 million of TRB was sold for $20.8 million . The Company recognized a $5.0 million gain, which is included in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. The Company is engaged to service certain finance receivables it sold to third parties. Servicing fee revenue related to those receivables is included in servicing, broker, and other fees in the Company's consolidated statements of operations, and was as follows: Years Ended December 31, 2017 2016 2015 (In thousands) Servicing fee income $ 989 $ 929 $ 811 |
VIE and Other Finance Receiva14
VIE and Other Finance Receivables, net of Allowance for Losses | 12 Months Ended |
Dec. 31, 2017 | |
VIE and Other Finance Receivables, net of Allowance for Losses | |
VIE and Other Finance Receivables, net of Allowance for Losses | VIE and Other Finance Receivables, net of Allowance for Losses The Company did not elect the fair value option for VIE and other finance receivables, net of allowance for losses, which consist of the following: December 31, 2017 December 31, 2016 (In thousands) Structured settlements and annuities $ 64,437 $ 67,872 Less: unearned income (38,764 ) (42,030 ) 25,673 25,842 Lottery winnings 55,641 63,957 Less: unearned income (13,777 ) (16,799 ) 41,864 47,158 Pre-settlement funding transactions 24,425 31,853 Less: unearned income (261 ) (441 ) 24,164 31,412 Attorney cost financing 358 616 Less: unearned income — — 358 616 VIE and other finance receivables 92,059 105,028 Less: allowance for losses (10,250 ) (11,084 ) VIE and other finance receivables, net of allowances $ 81,809 $ 93,944 Encumbrances on VIE and other finance receivables, net of allowance for losses, were as follows: Encumbrance December 31, 2017 December 31, 2016 (In thousands) VIE long-term debt (1) $ 63,031 $ 69,354 VIE and encumbered securitized debt 63,031 69,354 VIE unencumbered assets 10,774 15,971 Non-VIE unencumbered assets 8,004 8,619 Unencumbered 18,778 24,590 Total VIE and other finance receivables, net of allowances $ 81,809 $ 93,944 (1) Refer to Note 16 . As of December 31, 2017 , the expected cash flows of structured settlements, annuities and lottery winnings based on maturity value for the next five years and thereafter are as follows: Year Ended December 31, Expected cash flows (In thousands) 2018 $ 13,232 2019 10,085 2020 10,267 2021 10,530 2022 10,349 Thereafter 65,615 Total $ 120,078 Excluded from the above table are pre-settlement funding transactions and attorney cost financing receivable balances of $24.8 million as of December 31, 2017 , which do not have specified maturity dates. Activity in the allowance for losses for VIE and other finance receivables is as follows : Structured Lottery winnings Pre-settlement Attorney cost Total (In thousands) For the year ended December 31, 2017 Allowance for losses: Balance as of December 31, 2016 $ 93 $ — $ 10,707 $ 284 $ 11,084 Credit (provision) for loss 6 (7 ) 2,601 — 2,600 Charge-offs (27 ) — (3,431 ) — (3,458 ) Recoveries 17 7 — — 24 Balance as of December 31, 2017 $ 89 $ — $ 9,877 $ 284 $ 10,250 Individually evaluated for impairment $ 89 $ — $ 2,321 $ 284 $ 2,694 Collectively evaluated for impairment — — 7,556 — 7,556 Balance as of December 31, 2017 $ 89 $ — $ 9,877 $ 284 $ 10,250 VIE and other finance receivables, net: Individually evaluated for impairment $ 25,584 $ 41,864 $ 109 $ 74 $ 67,631 Collectively evaluated for impairment — — 14,178 — 14,178 Balance as of December 31, 2017 $ 25,584 $ 41,864 $ 14,287 $ 74 $ 81,809 For the year ended December 31, 2016 Allowance for losses: Balance as of December 31, 2015 $ 69 $ — $ 10,013 $ 284 $ 10,366 Provision for loss (91 ) 7 3,515 — 3,431 Charge-offs (32 ) (7 ) (2,821 ) — (2,860 ) Recoveries 147 — — — 147 Balance as of December 31, 2016 $ 93 $ — $ 10,707 $ 284 $ 11,084 Individually evaluated for impairment $ 93 $ — $ 2,091 $ 284 $ 2,468 Collectively evaluated for impairment — — 8,616 — 8,616 Balance as of December 31, 2016 $ 93 $ — $ 10,707 $ 284 $ 11,084 VIE and other finance receivables, net: Individually evaluated for impairment $ 25,749 $ 47,158 $ 85 $ 332 $ 73,324 Collectively evaluated for impairment — — 20,620 — 20,620 Balance as of December 31, 2016 $ 25,749 $ 47,158 $ 20,705 $ 332 $ 93,944 Management makes estimates in determining the allowance for losses on finance receivables. Consideration is given to a variety of factors in establishing these estimates, including current economic conditions and delinquency rates. Because the allowance for losses is dependent on general and other economic conditions beyond the Company's control, it is possible that the estimate for the allowance for losses could differ materially from the currently reported amount in the near term. The Company suspends recognizing interest income on a receivable when it is probable that the Company will be unable to collect all payments according to the contractual terms of the underlying agreement. Management considers all information available in assessing collectability. Collectability is measured on a receivable-by-receivable basis by either the present value of estimated future cash flows discounted at the effective rate, the observable market price for the receivable or the fair value of the collateral if the receivable is collateral dependent. Large groups of smaller balance homogeneous receivables, such as pre-settlement funding transactions, are collectively assessed for collectability. Payments received on past due receivables and finance receivables on which the Company has suspended recognizing revenue are applied first to principal and then to interest income. Additionally, the Company generally does not resume recognition of interest income once it has been suspended. As of December 31, 2017 and 2016 , the Company had discontinued recognition of income on pre-settlement funding transactions in the amount of $11.3 million and $14.7 million , respectively, and attorney cost financing receivables in the amount of $0.4 million and $0.4 million , respectively. Pre-settlement funding transactions and attorney cost financing are usually outstanding for a period of time exceeding one year. The Company assesses the status of the individual pre-settlement funding transactions to determine whether there are any case specific concerns that need to be addressed and included in the allowance for losses on finance receivables. The Company also analyzes pre-settlement funding transactions on a portfolio basis based on the age of the advances as the ability to collect is correlated to the duration of time the advances are outstanding. The Company decided, beginning in April 2015, to curtail its purchases of pre-settlement transactions and did not purchase any pre-settlement transactions in 2016 or 2017. The following table presents gross finance receivables related to pre-settlement funding transactions based on their year of origination as of: Year of Origination December 31, 2017 December 31, 2016 (In thousands ) 2009 $ 416 $ 690 2010 1,609 1,848 2011 2,816 3,891 2012 2,769 4,279 2013 2,619 5,390 2014 12,037 13,085 2015 2,159 2,670 Total $ 24,425 $ 31,853 Based on historical portfolio experience, the Company reserved for pre-settlement funding transactions and attorney cost financing in the amounts of $9.9 million and $0.3 million , respectively, as of December 31, 2017 , and in the amounts of $10.7 million and $0.3 million , respectively, as of December 31, 2016 . The following table presents portfolio delinquency status excluding pre-settlement funding transactions and attorney cost financing as of: 30-59 60-89 Greater Total Current VIE and Other VIE and Other (In thousands) December 31, 2017 Structured settlements and annuities $ 10 $ 7 $ 146 $ 163 $ 25,421 $ 25,584 $ — Lottery winnings — 119 59 178 41,686 41,864 — Total $ 10 $ 126 $ 205 $ 341 $ 67,107 $ 67,448 $ — December 31, 2016 Structured settlements and annuities $ 11 $ 5 $ 88 $ 104 $ 25,645 $ 25,749 $ — Lottery winnings — 4 205 209 46,949 47,158 — Total $ 11 $ 9 $ 293 $ 313 $ 72,594 $ 72,907 $ — Pre-settlement funding transactions and attorney cost financing do not have set due dates as payment is dependent on the underlying case settling. |
Other Receivables, Net of Allow
Other Receivables, Net of Allowance for Losses | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Other Receivables, Net of Allowance for Losses | Other Receivables, Net of Allowances for Losses Other receivables include the following as of: December 31, 2017 December 31, 2016 (In thousands) Advances receivable $ 1,922 $ 1,800 Notes receivable 10,513 9,627 Tax withholding receivables on lottery winnings 246 246 Broker fee receivable 414 984 Other 8,096 5,394 Other receivables, gross 21,191 18,051 Less: allowance for losses (273 ) (280 ) Other receivables, net of allowances for losses $ 20,918 $ 17,771 The Company's lottery and structured settlements businesses in some cases will advance a portion of the purchase price to a customer prior to the closing of the transaction, which are included in advances receivable above. Notes receivable represents receivables from a third party for the sale of LCSS assets. Tax withholding receivables on lottery winnings represents the portion of lottery collections withheld for state and federal agencies. The Company obtains the withholding refund once appropriate tax filings are completed for the respective jurisdictions. Broker fee receivable represents receivables from third parties for disbursements made in connection with brokered TRB. Activity in the allowance for doubtful accounts for other receivables for the following years ended was as follows: December 31, 2017 December 31, 2016 (In thousands) Beginning balance $ 280 $ 273 Provision for losses (4 ) 12 Recoveries — (5 ) Charge-offs (3 ) — Ending balance $ 273 $ 280 |
Mortgage Loans Held for Sale, a
Mortgage Loans Held for Sale, at Fair Value | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Mortgage Loans Held for Sale, at Fair Value | Mortgage Loans Held for Sale, at Fair Value Mortgage loans held for sale, at fair value, were as follows: December 31, 2017 December 31, 2016 (In thousands) Unpaid principal balance of mortgage loans held for sale $ 253,427 $ 230,261 Fair value adjustment 7,767 2,509 Mortgage loans held for sale, at fair value $ 261,194 $ 232,770 A reconciliation of the changes in mortgage loans held for sale, at fair value, is presented in the following table: Years Ended December 31, 2017 2016 (In thousands) Balance at beginning of period $ 232,770 $ 124,508 Originations and purchases of mortgage loans held for sale, net of fees 3,789,972 3,441,939 Proceeds from sale of and principal payments on mortgage loans held for sale (3,817,815 ) (3,408,065 ) Net change in fair value of mortgage loans held for sale 56,267 74,388 Balance at end of period $ 261,194 $ 232,770 As the named servicer, the Company has the option to purchase any individual loan in a Ginnie Mae securitization pool if that loan meets certain criteria, including being delinquent greater than 90 days. In accordance with ASC 860, Transfers and Servicing , the Company recorded an asset and a corresponding liability, included within other assets and other liabilities on the Company's consolidated balance sheets, equal to the principal amount of the loans of $42.7 million and $39.7 million as of December 31, 2017 and 2016 , respectively. For the year ended December 31, 2017 , and 2016 , the Company repurchased $11.9 million and $17.7 million , respectively, of mortgage loans from Ginnie Mae securitization pools with the intent to re-pool them into new Ginnie Mae securitizations or otherwise to sell to third-party investors. The Company did not have any mortgage loans held for sale on non-accrual status or any mortgage loans held for sale greater than 90 days past due as of December 31, 2017 or 2016 . Loan Servicing and Repurchase Reserve Mortgage loans sold to investors by the Company which met investor and agency underwriting guidelines at the time of sale may be subject to repurchase in the event of specific default by the borrower, subsequent discovery that underwriting standards were not met or breach of representations and warranties made by the Company. In the event of a breach of the Company's representations and warranties, the Company may be required to either repurchase the mortgage loans with identified defects or indemnify the investors. The Company has established a reserve for potential losses related to these representations and warranties. The Company has also established a reserve for potential losses related to impaired loans within its servicing portfolio. In assessing the adequacy of the reserve, the Company evaluates various factors, including actual write-offs during the period, historical loss experience, known delinquent loans and GSE guidelines. Actual losses incurred are reflected as write-offs against the reserve liability. The loan servicing and repurchase reserve is included within other liabilities on the Company's consolidated balance sheets. The associated expense is included in the provision for losses in the Company's consolidated statements of operations. The activity in the loan servicing and repurchase reserve was as follows: Years Ended December 31, 2017 2016 (In thousands) Balance at beginning of period $ 3,010 $ 2,575 Provision for loan servicing and repurchases 2,264 2,527 Write-offs, net (2,057 ) (2,092 ) Balance at end of period $ 3,217 $ 3,010 Due to the uncertainty in the various estimates with the loan servicing and repurchase reserve, there may be a range of losses in excess of the recorded loan servicing and repurchase reserve that is reasonably possible. The estimate of the range of possible loss does not represent a probable loss, and is based on current available information, significant judgment, and several assumptions that are subject to change. |
Mortgage Servicing Rights, at F
Mortgage Servicing Rights, at Fair Value | 12 Months Ended |
Dec. 31, 2017 | |
Transfers and Servicing [Abstract] | |
Mortgage Servicing Rights, at Fair Value | Mortgage Servicing Rights, at Fair Value The activity of MSRs was as follows: Years Ended December 31, 2017 2016 (In thousands) Balance at beginning of year $ 41,697 $ 29,287 Additions due to loans sold, servicing retained 20,812 17,294 Reductions due to loan payoffs and foreclosures (8,201 ) (7,178 ) Fair value adjustment 1,826 2,294 Mortgage servicing rights, at fair value $ 56,134 $ 41,697 The unpaid principal balance of mortgage loans serviced was $5.3 billion and $4.1 billion as of December 31, 2017 and 2016 , respectively. The key assumptions used in determining the fair value of the Company's MSRs were as follows: December 31, 2017 December 31, 2016 Range (Weighted Average) Discount rate 9.50% - 12.50% (9.95%) 9.50% - 14.06% (10.11%) Prepayment speed 4.45% - 14.16% (8.87%) 6.04% - 21.82% (7.96%) Cost of servicing $65 - $90 ($71) $65 - $90 ($73) The hypothetical effect of an adverse change in these key assumptions that would result in a decrease in fair values is as follows: December 31, 2017 December 31, 2016 (In thousands) Discount rate: Effect on value - 100 basis points adverse change $ (2,170 ) $ (1,612 ) Effect on value - 200 basis points adverse change $ (4,184 ) $ (3,109 ) Prepayment speed: Effect on value - 5% adverse change $ (990 ) $ (686 ) Effect on value - 10% adverse change $ (1,945 ) $ (1,370 ) Cost of servicing: Effect on value - 5% adverse change $ (410 ) $ (327 ) Effect on value - 10% adverse change $ (820 ) $ (653 ) These sensitivities are hypothetical and should be used with caution. As the table demonstrates, the Company's methodology for estimating the fair value of MSRs is highly sensitive to changes in assumptions. For example, actual prepayment experience may differ and any difference may have a material effect on the fair value of MSRs. Changes in fair value resulting from changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in the table, the effect of a variation in a particular assumption on the fair value of the MSRs is calculated without changing any other assumption; however, changes in one factor may be associated with changes in another (for example, decreases in market interest rates may indicate higher prepayments; however, this may be partially offset by lower prepayment due to other factors such as a borrower's diminished opportunity to refinance), which may magnify or counteract the sensitivities. Thus, any measurement of the fair value of MSRs is limited by the conditions existing and assumptions made as of a particular point in time. Those assumptions may not be appropriate if they are applied to a different point in time. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment Premises and equipment includes the following as of: December 31, 2017 December 31, 2016 (In thousands) Computer software and equipment $ 8,469 $ 7,612 Furniture, fixtures and equipment 6,292 5,975 Leasehold improvements 1,324 1,115 Total fixed assets at cost 16,085 14,702 Less: accumulated depreciation (12,931 ) (10,697 ) Premises and equipment, net of accumulated depreciation $ 3,154 $ 4,005 Depreciation of premises and equipment is included in depreciation and amortization in the Company's consolidated statements of operations. Depreciation expense for the years ended December 31, 2017 , 2016 and 2015 , which includes amortization of assets recorded under capital leases, was $2.4 million , $2.7 million and $2.4 million , respectively. During the fourth quarter of 2017, the company retired certain leasehold improvements associated with the former office of the Structured Settlements segment and principal executive offices. The total cost of the assets, which were purchased between December 1, 2010 and October 6, 2015, was $0.3 million , and these assets had accumulated depreciation of $0.2 million at the time of retirement. |
Debt Issuance Costs
Debt Issuance Costs | 12 Months Ended |
Dec. 31, 2017 | |
Debt Issuance Costs | |
Debt Issuance Costs | Debt Issuance Costs Debt issuance costs are capitalized and included as a reduction to the related debt liability (i.e. term loan payable, VIE borrowings under revolving credit facilities and other similar borrowings and VIE long-term debt) on the Company's consolidated balance sheets. Debt issuance costs consist of the following as of: December 31, 2017 December 31, 2016 (In thousands) Debt issuance costs $ 40,355 $ 44,717 Less: accumulated amortization (31,498 ) (31,250 ) Unamortized debt issuance costs $ 8,857 $ 13,467 Amortization expense for the years ended December 31, 2017 , 2016 and 2015 was $7.7 million , $13.3 million and $7.7 million , respectively, and is included in interest expense in the Company's consolidated statements of operations. Subsequent to the bankruptcy proceedings, and in accordance with ASC 835-30, Imputation of Interest , the Company continued to amortize debt issuance costs associated with the Company's term loan payable. Debt issuance costs related to VIE long-term debt issued by securitization and permanent financing trusts, at fair value, are expensed as incurred and included in debt issuance expense in the Company's consolidated statements of operations, and were as follows for the years ended December 31: 2017 2016 2015 (In thousands) Debt issuance costs related to securitizations $ 5,878 $ 5,117 $ 6,741 |
Operating and Capital Leases
Operating and Capital Leases | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Operating and Capital Leases | Operating and Capital Leases The Company has commitments under operating leases, principally for office space, with various expiration dates through 2028 . As of December 31, 2017 , the following summarizes future minimum lease payments due under non-cancelable operating leases (excluding both contingent rentals and any expected rental income under non-cancelable subleases) for the next five years and thereafter are as follows: Year Ended December 31, Operating Leases (In thousands) 2018 $ 6,805 2019 5,431 2020 4,274 2021 4,215 2022 3,891 Thereafter 13,653 Total $ 38,269 Lease expense for office and equipment is included in general and administrative expense in the Company's consolidated statements of operations and was as follows for the years ended December 31: 2017 2016 2015 (In thousands) Lease expense $ 5,322 $ 4,119 $ 2,387 As of December 31, 2017 , the following summarizes future minimum lease payments due under capital leases for the next five years and thereafter are as follows: Year Ended December 31, Capital Leases (In thousands) 2018 $ 65 2019 65 2020 59 2021 — 2022 — Thereafter — Total $ 189 |
Term Loan Payable
Term Loan Payable | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Term Loan Payable | Term Loan Payable The Company has a senior secured credit facility (the "Credit Facility") that consists of a term loan (the "Term Loan") with an outstanding principal balance of $449.5 million as of December 31, 2017 and 2016 . As of December 31, 2017 , the term loan payable is included within liabilities subject to compromise on the Company's consolidated balance sheet. There are no principal payments due on the Term Loan until its maturity in February 2019. The Credit Facility's revolving commitment of $20.0 million matured in August 2017, with an outstanding principal balance of $0.0 million , and was not renewed. Certain of the Company's subsidiaries are guarantors of the Credit Facility and substantially all of the non-securitized and non-collateralized assets of the Company are pledged as security for the repayment of borrowings outstanding under the Credit Facility. At each interest reset date, the Company has the option to elect that the Term Loan be either a Eurodollar loan or a Base Rate loan. If a Eurodollar loan, interest on the Term Loan accrues at either LIBOR or 1.00% (whichever is greater) plus a spread of 6.00% . If a Base Rate loan, interest accrues at Prime or 2.00% (whichever is greater) plus a spread of 5.00% . As of December 31, 2017 and 2016 , the interest rate on the Term Loan was 7.31% and 7.00% , respectively, as it was a Eurodollar loan on those dates. The revolving commitment had the same interest rate terms as the Term Loan. In addition, the revolving commitment was subject to an unused fee of 0.5% per annum and provided for the issuance of letters of credit equal to $10.0 million , subject to customary terms and fees. The Credit Facility required the Company, to the extent that as of the last day of any fiscal quarter there were outstanding balances on the revolving commitment that exceeded specific thresholds (generally 15% of the $20.0 million borrowing capacity, or $3.0 million ), to comply with a maximum total leverage ratio. The total leverage ratio was calculated by dividing total funded debt (as defined in the Credit Facility) less unrestricted cash and cash equivalents by the Consolidated Adjusted Earnings Before Interest Expense, Income Taxes, Depreciation and Amortization (as defined in the Credit Facility) for the period of the four fiscal quarters most recently ended. As of December 31, 2017, the maximum total leverage ratio is no longer applicable because the revolving commitment under the Credit Facility matured in August 2017 and was not renewed. The maximum required total leverage ratio was 4.75 to 1.00 as of December 31, 2016 . As of December 31, 2016 , there were no outstanding borrowings under the revolving commitment, and, as a result, the maximum total leverage ratio requirement pertaining to the $20.0 million revolving commitment was not applicable. Had the leverage ratio requirement been applicable as of December 31, 2016 , the Company would not have satisfied the maximum total leverage ratio requirement and would have been required to repay the outstanding borrowings on the revolver in excess of the specified threshold. The Credit Facility also limits the Company and certain of its subsidiaries from engaging in certain activities, including incurring additional indebtedness and liens, making investments, transacting with affiliates, disposing of assets, and various other activities. In addition, the Credit Facility limits, with certain exceptions, certain of the Company's subsidiaries from paying cash dividends and making loans to the Company, the calculation of which is performed annually as of the end of each fiscal year. As a result of the filing of the Chapter 11 Cases on the Petition Date, the Company was in default under the terms of the Credit Facility and consequently, as of December 31, 2017 , the annual excess cash calculation was not applicable. As of December 31, 2016 , $0.3 million of the Company's $40.4 million in stockholders' deficit as of December 31, 2016 was free of limitations on the payment of dividends. Interest expense relating to the Term Loan for the years ended December 31, 2017 , 2016 and 2015 was $39.5 million , $40.6 million and $40.4 million , respectively. As of December 31, 2017 , the Term Loan and accrued expense were reclassified from term loan payable and accrued interest to LSTC in accordance with ASC 852. Contractual interest expense represents amounts due under the contractual terms of outstanding pre-petition debt classified as LSTC in the amount of $6.8 million . As of the Petition Date through December 31, 2017 , the Company ceased recording interest expense on outstanding pre-petition LSTC of approximately $1.8 million . On January 25, 2018, the Company's Term Loan was extinguished and replaced with a $70.0 million New RCF Agreement as further discussed in Note 1. |
VIE Borrowings Under Revolving
VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings | |
VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings | VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings VIE borrowings under revolving credit facilities and other similar borrowings on the Company's consolidated balance sheets consist of the following as of: Entity December 31, 2017 December 31, 2016 (In thousands) $100.0 million variable funding note facility with interest payable monthly (6.50% as of December 31, 2016), collateralized by JGW-S III, LLC's ("JGW-S III") structured settlements receivables. JGW-S III was charged monthly an unused fee of 0.75% per annum for the undrawn balance of its line of credit. This facility was terminated on September 25, 2017. JGW-S III $ — $ 18,912 $150.0 million multi-tranche and lender credit facility with interest payable monthly as follows: Tranche A rate is 3.55% plus either the LIBOR or the Commercial Paper rate depending on the lender (5.07% at December 31, 2017 and 3.92% and 4.43% at December 31, 2016); Tranche B rate is 6.05% plus LIBOR (7.57% at December 31, 2017 and 6.42% at December 31, 2016). The commitment period ends on November 30, 2018 and is collateralized by JGW V, LLC's ("JGW V") structured settlements, annuity and lottery receivables. JGW V is charged monthly an unused fee of 0.625% per annum for the undrawn balance of its line of credit. JGW V 2,654 37,520 $75.0 million variable funding note facility with interest payable monthly (7.00% as of December 31, 2017). The commitment period ends on September 24, 2019 and is collateralized by JGW VIII, LLC's ("JGW VIII") structured settlements and annuity receivables. JGW VIII is charged monthly an unused fee of 1.00% per annum for the undrawn balance of its line of credit. JGW VIII 20,180 — Total VIE borrowings under revolving credit facilities and other similar borrowings $ 22,834 $ 56,432 In January 2016, the Company terminated a $50.0 million credit facility which had no outstanding balance as of December 31, 2015. The facility had an original maturity date of October 2, 2016 and was collateralized by JGW IV, LLC's structured settlement and annuity receivables. Interest was payable monthly at the rate of LIBOR plus an applicable margin and there was an unused fee of 0.50% per annum for the undrawn balance of this line of credit. No fees were paid to terminate this facility. The Company expensed $0.5 million of unamortized debt issuance costs in connection with the termination of this credit facility, which was included in interest expense in the Company's consolidated statements of operations. In April 2016, the Company modified the terms of the credit facility collateralized by JGW VII, LLC to decrease the availability from $300.0 million to $100.0 million . In May 2016, the Company terminated the $100.0 million facility. The facility had an original maturity date of November 15, 2016 and was collateralized by JGW VII, LLC's structured settlement, annuity and lottery receivables. The Company expensed $1.1 million of unamortized debt issuance costs in connection with the termination of this credit facility, which was included in interest expense in the Company's consolidated statements of operations. In May 2016, the Company modified the terms of its $300.0 million multi-tranche and lender credit facility collateralized by JGW V, extending the commitment termination date from July 24, 2016 to July 24, 2017 and changing the facility termination date to November 13, 2017. As part of the modification, the base interest rate on each tranche was increased by 0.30% . The Company incurred $1.5 million in debt issuance costs in connection with the modification which will be amortized over the life of the facility and included in interest expense in the Company's consolidated statements of operations. In May 2016, the commitment period of the $100.0 million credit facility of JGW-S III, LLC was modified to end on May 19, 2018 followed by an 18 -month amortization period. The facility originally had a two -year revolving period upon notice by the issuer or the note holder with all principal and interest outstanding payable no later than October 15, 2048. This facility was terminated on September 25, 2017. Interest expense, including unused fees, for the years ended December 31, 2017 , 2016 and 2015 related to borrowings under revolving credit facilities and other similar borrowings was $6.4 million , $8.2 million and $9.0 million , respectively. The weighted average interest rate on outstanding VIE borrowings under revolving credit facilities and other similar borrowings as of December 31, 2017 and 2016 was 6.69% and 5.00% , respectively. The above agreements also contain covenants which include certain financial requirements, including minimum tangible net worth, working capital and minimum liquidity, as defined in the agreements. The Company was in compliance with its debt covenants as of December 31, 2017 and 2016 . |
Other Borrowings Under Revolvin
Other Borrowings Under Revolving Credit Facilities and Other Similar Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Other Borrowings Under Revolving Credit Facilities and Other Similar Borrowings | Other Borrowings Under Revolving Credit Facilities and Other Similar Borrowings The Company had the following lines of credit with various financial institutions, which primarily are used for the funding of mortgage loans held for sale, as of: December 31, 2017 December 31, 2016 (In thousands) $95.0 million warehouse line of credit maturing on February 9, 2018 with an interest rate of LIBOR plus 2.35%, subject to a floor of 2.50% (3.84% as of December 31, 2017 and 3.07% as of December 31, 2016) and a non-usage fee of 0.25%. $ 64,494 $ 65,565 $150.0 million warehouse line of credit maturing on August 15, 2018 with an interest rate of LIBOR plus 2.15%, subject to a floor of 2.40% (3.64% as of December 31, 2017 and 2.97% as of December 31, 2016). The facility does not incur a non-usage fee. 117,639 39,140 $95.0 million warehouse line of credit maturing on November 15, 2018 with an interest rate of LIBOR plus 2.60%, subject to a floor of 3.10% (4.09% as of December 31, 2017 and 3.32% as of December 31, 2016) and a non-usage fee of 0.25%. 66,016 39,347 $25.0 million warehouse line of credit with an interest rate of LIBOR plus 2.15%, subject to a floor of 2.50% (2.87% as of December 31, 2016) and a non-usage fee of 0.25%. The facility matured on February 5, 2017. — 13,057 $100.0 million warehouse line of credit with an interest rate of LIBOR plus 2.25% (2.97% as of December 31, 2016). The facility did not incur a non-usage fee. The facility was terminated in March 2017. — 68,479 $10.0 million operating line of credit maturing August 15, 2018 with an interest rate of Prime plus 0.50%, subject to a floor of 5.00% (5.00% as of December 31, 2017 and 5.00% as of December 31, 2016) and a non-usage fee of 0.50%. 5,500 4,000 Total other borrowings under revolving credit facilities and other similar borrowings $ 253,649 $ 229,588 In August 2016, the Company increased the capacity of its $6.0 million operating line of credit to $10.0 million . In August 2017, the Company terminated its $50.0 million warehouse line of credit that was scheduled to mature on May 11, 2018. On January 8, 2018, the capacity of the $95.0 million warehouse line of credit was extended at that level until March 11, 2018, at which time the capacity reverted back to $70.0 million , and will remain at that level until its maturity on November 15, 2018. In February 2018, the maturity of the $95.0 million warehouse line of credit, expected to mature on February 9, 2018, was extended for 45 days. On March 26, 2018, the capacity of the $95.0 million warehouse line of credit was increased to $125.0 million and the maturity was extended through April 30, 2019. Interest expense, including unused fees, for the years ended December 31, 2017 and 2016 related to other borrowings under revolving credit facilities and other similar borrowings was $8.0 million and $5.8 million , respectively. The weighted average interest rate on outstanding other borrowings under revolving credit facilities and other similar borrowings as of December 31, 2017 and 2016 was 3.84% and 2.86% , respectively. As of December 31, 2017 and 2016 , the Company had pledged mortgage loans held for sale as collateral under the above warehouse lines of credit. Additionally, as of December 31, 2017 and 2016 , the Company had pledged MSRs as collateral under its operating line of credit. The above agreements also contain covenants which include certain financial requirements, including maintenance of maximum adjusted leverage ratio, minimum net worth, minimum tangible net worth, minimum liquidity, minimum current ratio, minimum unencumbered cash, positive net income, and limitations on additional indebtedness and sale of assets, as defined in the agreements. The Company was in compliance with its debt covenants as of December 31, 2017 and 2016 . |
VIE Long-Term Debt
VIE Long-Term Debt | 12 Months Ended |
Dec. 31, 2017 | |
VIE Long-Term Debt | |
VIE Long-Term Debt | VIE Long-Term Debt The debt issued by the Company's special purpose entities ("SPEs") is recourse only to the respective entities that issued the debt and is non-recourse to the Company and its other subsidiaries. Certain subsidiaries of the Company continue to receive fees for servicing the securitized assets which are eliminated upon consolidation. In addition, the risk to the Company's non-SPE subsidiaries from SPE losses is limited to cash reserves, residual interest amounts and the repurchase of structured settlement payment streams that are subsequently determined to be ineligible for inclusion in the securitization or permanent financing trusts. The VIE long-term debt consisted of the following as of: December 31, 2017 December 31, 2016 (In thousands) PLMT Permanent Facility $ 34,199 $ 37,630 Long-Term Pre-settlement Facility 5,118 5,427 2012-A Facility 488 708 LCSS Facility (2010-C) 11,516 12,015 LCSS Facility (2010-D) 7,159 7,159 Total VIE long-term debt $ 58,480 $ 62,939 PLMT Permanent Facility The Company has a $75.0 million floating rate asset backed loan with interest payable monthly at one-month LIBOR plus 1.25% which is currently in a runoff mode with the outstanding balance being reduced by periodic cash collections on the underlying lottery receivables. The interest rate on this loan was 2.61% and 1.87% at December 31, 2017 and 2016 , respectively. The loan matures on October 30, 2040. The debt agreement with the counterparty requires Peachtree Lottery Master Trust ("PLMT") to hedge the notional amount of the debt with a pay fixed and receive variable interest rate swap with the counterparty. The swaps are included within VIE derivative liabilities, at fair value, on the Company's consolidated balance sheets. Residual Term Facility On September 2, 2016, the Company issued $207.5 million in notes collateralized by the residual asset cash flows and reserve cash associated with 36 of the Company's securitizations with outstanding principal balances. Proceeds from the issuance of the notes were used, in part, to repay the $131.4 million outstanding principal balance on the Residual Term Facility (the "Residual Term Facility"). The Company incurred $0.4 million in debt termination costs and expensed $3.3 million of unamortized debt issuance costs in connection with the termination of the Residual Term Facility, which were included in interest expense in the Company's consolidated statements of operations. Previously, the Company had a $133.0 million Residual Term Facility that was scheduled to mature on May 15, 2021 and was collateralized by the cash flows from residual interests related to 28 securitizations. Interest accrued on the notes issued under the Residual Term Facility at a rate of 7.25% per annum with interest and principal payable monthly from cash flows from the collateralized residual interests. Long-Term Pre-settlement Facility In 2011, the Company issued three fixed rate notes totaling $45.1 million collateralized by pre-settlement funding transactions, of which, $5.1 million and $5.4 million principal amount remained outstanding as of December 31, 2017 and 2016 , respectively. In June 2016, the maturity date of each of the notes was extended until the sale of the collateral, at which point the proceeds will be distributed to the holders of the notes in full satisfaction of the Company's debt obligations. To the extent that there are sufficient cash receipts from collateralized pre-settlement funding transactions to pay for interest and principal due on the notes, interest expense will be recognized monthly on the notes at a rate of 9.25% per annum. 2012-A Facility In December 2012, the Company issued a series of notes collateralized by structured settlements. The proceeds to the Company from the issuance of the notes were $2.5 million and interest accrues on the notes at a fixed interest rate of 9.25% per annum. Interest and principal are payable monthly from cash receipts of collateralized structured settlement receivables. The notes mature on June 15, 2024. Long-Term Debt for Life Contingent Structured Settlements (2010-C & 2010-D) Long-Term Debt (2010-C) In November 2010, the Company issued a private asset class securitization note ("2010-C") registered under Rule 144A under the Securities Act ("Rule 144A"). The 2010-C bond issuance of $12.9 million is collateralized by life contingent structured settlements. 2010-C accrues interest at 10% per annum and matures on March 15, 2039. The interest and, if available, principal payments are payable monthly from cash receipts of collateralized life contingent structured settlements receivables. Long-Term Debt (2010-D) In December 2010, the Company paid $0.2 million to purchase the membership interests of LCSS, LLC from JLL Partners, Inc., a related party. LCSS, LLC owns 100% of the membership interests of LCSS III, LLC, which owns 100% of the membership interests of LCSS II, LLC ("LCSS II"). In November 2010, LCSS II issued $7.2 million of long-term debt ("2010-D") collateralized by life contingent structured settlements. 2010-D accrues interest at 10% per annum and matures on July 15, 2040. The interest and, if available, principal payments are payable monthly from cash receipts of collateralized life contingent structured settlements receivables. VIE Long-Term Debt As of December 31, 2017 , estimated principal payments on VIE long-term debt for the next five years and thereafter are as follows: Year Ending December 31, Estimated Principal Payments (In thousands) 2018 $ 4,707 2019 5,026 2020 5,643 2021 5,614 2022 5,990 Thereafter 30,834 Total $ 57,814 Interest expense for the years ended December 31, 2017 , 2016 and 2015 related to VIE long-term debt was $6.1 million , $17.6 million and $16.8 million , respectively. |
VIE Long-Term Debt Issued by Se
VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Value | 12 Months Ended |
Dec. 31, 2017 | |
VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Market Value | |
VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Value | VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Value Securitization Debt The Company elected the fair value option under ASC 825 to measure the securitization issuer debt and related finance receivables. The Company has determined that measurement of the securitization debt issued by SPEs at fair value better correlates with the value of the finance receivables held by SPEs, which are held to provide the cash flows for the note obligations. The debt issued by the Company's SPEs is recourse only to the respective entities that issued the debt and is non-recourse to the Company and its other subsidiaries. Certain subsidiaries of the Company continue to receive fees for servicing the securitized assets which are eliminated upon consolidation. In addition, the risk to the Company's non-SPE subsidiaries from SPE losses is limited to cash reserves, residual interest amounts and the repurchase of structured settlement payment streams that are subsequently determined to be ineligible for inclusion in the securitization or permanent financing trusts. During the year ended December 31, 2017 , the Company completed the pre-funding associated with the 2016-1 securitization, and three securitization transactions that were registered under Rule 144A. The following table summarizes these securitization transactions: 2017-3 2017-2 2017-1 (Bonds issued in millions) Issue date 12/19/2017 8/9/2017 3/22/2017 Bonds issued $58.7 $144.2 $131.8 Receivables securitized 1,017 2,201 2,129 Deal discount rate 4.27% 3.95% 4.35% Retained interest % 5.50% 5.50% 5.50% Class allocation (Moody's) Aaa 84.75% 84.25% 84.75% Baa2 9.75% 10.25% 9.75% During the year ended December 31, 2016 , the Company completed the initial close associated with the 2016-1 securitization transaction that was registered under Rule 144A. The following table summarizes the securitization transaction: 2016-1 (Bonds issued in millions) Issue date 10/26/2016 Bonds issued $117.3 Receivables securitized 861 Deal discount rate 3.89% Retained interest % 5.50% Class allocation (Moody's) Aaa 84.00% Baa2 10.50% The following table summarizes notes issued by securitization trusts as of December 31, 2017 and 2016 for which the Company has elected the fair value option and which are recorded as VIE long-term debt issued by securitization and permanent financing trusts, at fair value, on the Company's consolidated balance sheets: Securitization VIE Issuer Note(s) Maturity Outstanding Principal as of December 31, 2017 Fair Value as of December 31, 2017 Stated Outstanding Principal as of December 31, 2016 Fair Value as of December 31, 2016 (In thousands) (In thousands) 321 Henderson Receivables I, LLC 2003-A 11/15/2033 $ 5,776 $ 5,898 4.86% $ 9,971 $ 10,381 321 Henderson Receivables I, LLC 2004-A A-1 9/15/2045 14,604 15,015 Libor+0.35% 20,265 21,084 321 Henderson Receivables I, LLC 2004-A A-2 9/15/2045 18,432 19,725 5.54% 18,581 19,943 321 Henderson Receivables I, LLC 2005-1 A-1 11/15/2040 30,865 32,005 Libor+0.23% 39,548 41,233 321 Henderson Receivables I, LLC 2005-1 A-2 11/15/2046 35,395 37,934 5.58% 35,603 37,344 321 Henderson Receivables I, LLC 2005-1 B 10/15/2055 2,157 2,143 5.24% 2,169 2,089 321 Henderson Receivables II, LLC 2006-1 A-1 3/15/2041 6,059 6,305 Libor+0.20% 7,969 8,439 321 Henderson Receivables II, LLC 2006-1 A-2 3/15/2047 15,650 16,982 5.56% 16,826 18,015 321 Henderson Receivables II, LLC 2006-2 A-1 6/15/2041 9,833 10,407 Libor+0.20% 12,011 12,815 321 Henderson Receivables II, LLC 2006-2 A-2 6/15/2047 18,984 20,828 5.93% 19,781 21,158 Securitization VIE Issuer Note(s) Maturity Outstanding Principal as of December 31, 2017 Fair Value as of December 31, 2017 Stated Outstanding Principal as of December 31, 2016 Fair Value as of December 31, 2016 (In thousands) (In thousands) 321 Henderson Receivables II, LLC 2006-3 A-1 9/15/2041 8,310 8,839 Libor+0.20% 11,832 12,630 321 Henderson Receivables II, LLC 2006-3 A-2 9/15/2047 24,583 26,678 5.60% 25,367 26,997 321 Henderson Receivables II, LLC 2006-4 A-1 12/15/2041 8,752 9,049 Libor+0.20% 12,378 12,964 321 Henderson Receivables II, LLC 2006-4 A-2 12/15/2047 20,215 22,067 5.43% 20,587 21,814 321 Henderson Receivables II, LLC 2007-1 A-1 3/15/2042 20,434 20,902 Libor+0.20% 22,942 23,080 321 Henderson Receivables II, LLC 2007-1 A-2 3/15/2048 16,338 16,932 5.59% 16,526 16,281 321 Henderson Receivables II, LLC 2007-2 A-1 6/15/2035 26,040 26,554 Libor+0.21% 29,606 29,481 321 Henderson Receivables II, LLC 2007-2 A-2 7/16/2040 16,106 16,785 6.21% 16,367 16,182 321 Henderson Receivables II, LLC 2007-3 A-1 10/15/2048 45,033 51,631 6.15% 49,401 55,937 321 Henderson Receivables III, LLC 2008-1 A 1/15/2044 37,123 41,578 6.19% 42,759 48,723 321 Henderson Receivables III, LLC 2008-1 B 1/15/2046 3,235 4,427 8.37% 3,235 4,401 321 Henderson Receivables III, LLC 2008-1 C 1/15/2048 3,235 4,796 9.36% 3,235 4,746 321 Henderson Receivables III, LLC 2008-1 D 1/15/2050 3,529 5,755 10.81% 3,529 5,595 321 Henderson Receivables IV, LLC 2008-2 A 11/15/2037 51,554 59,420 6.27% 57,937 66,949 321 Henderson Receivables IV, LLC 2008-2 B 3/15/2040 6,194 8,982 8.63% 6,194 8,542 321 Henderson Receivables V, LLC 2008-3 A-1 6/15/2045 37,878 48,078 8.00% 40,923 51,960 321 Henderson Receivables V, LLC 2008-3 A-2 6/15/2045 4,682 5,923 8.00% 5,058 6,357 321 Henderson Receivables V, LLC 2008-3 B 3/15/2051 4,695 6,366 10.00% 4,695 5,937 321 Henderson Receivables VI, LLC 2010-1 A-1 7/15/2059 96,514 106,464 5.56% 109,598 122,048 321 Henderson Receivables VI, LLC 2010-1 B 7/15/2061 17,216 21,579 9.31% 19,550 24,827 JG Wentworth XXI, LLC 2010-2 A 1/15/2048 38,992 40,593 4.07% 45,655 48,163 JG Wentworth XXI, LLC 2010-2 B 1/15/2050 5,566 6,461 7.45% 6,517 7,674 JG Wentworth XXII, LLC 2010-3 A 10/15/2048 73,486 75,855 3.82% 87,140 91,069 JG Wentworth XXII, LLC 2010-3 B 10/15/2050 10,679 12,183 6.85% 12,663 14,618 JG Wentworth XXIII, LLC 2011-1 A 10/15/2056 132,542 142,439 4.89% 147,447 157,209 JG Wentworth XXIII, LLC 2011-1 B 10/15/2058 16,662 20,164 7.68% 18,536 22,063 JGWPT XXIV, LLC 2011-2 A 1/15/2063 118,314 128,821 5.13% 128,231 137,433 JGWPT XXIV, LLC 2011-2 B 1/15/2065 13,437 17,286 8.54% 14,564 18,327 JGWPT XXV, LLC 2012-1 A 2/16/2065 143,311 148,990 4.21% 155,623 159,282 JGWPT XXV, LLC 2012-1 B 2/15/2067 17,921 21,559 7.14% 19,460 22,890 JGWPT XXVI, LLC 2012-2 A 10/15/2059 101,448 102,601 3.84% 108,942 107,986 JGWPT XXVI, LLC 2012-2 B 10/17/2061 12,605 14,882 6.77% 13,537 15,328 JGWPT XXVII, LLC 2012-3 A 9/15/2065 128,462 125,365 3.22% 138,206 132,530 JGWPT XXVII, LLC 2012-3 B 9/15/2067 15,868 18,048 6.17% 17,071 18,210 JGWPT XXVIII, LLC 2013-1 A 4/15/2067 142,052 138,028 3.22% 153,545 146,476 JGWPT XXVIII, LLC 2013-1 B 4/15/2069 17,526 18,535 4.94% 18,589 18,273 JGWPT XXIX, LLC 2013-2 A 3/15/2062 121,960 126,354 4.21% 131,085 132,864 JGWPT XXIX, LLC 2013-2 B 3/17/2064 14,565 15,888 5.68% 14,985 15,298 JGWPT XXX, LLC 2013-3 A 1/17/2073 148,457 152,601 4.08% 160,527 161,722 JGWPT XXX, LLC 2013-3 B 1/15/2075 18,018 18,726 5.54% 18,248 18,462 JGWPT XXXI, LLC 2014-1 A 3/15/2063 166,591 169,999 3.96% 180,486 180,784 JGWPT XXXI, LLC 2014-1 B 3/15/2065 21,776 21,778 4.94% 21,776 21,097 JGWPT XXXII, LLC 2014-2 A 1/17/2073 166,529 165,011 3.61% 180,127 174,022 JGWPT XXXII, LLC 2014-2 B 1/15/2075 25,284 24,191 4.48% 25,284 23,260 Securitization VIE Issuer Note(s) Maturity Outstanding Principal as of December 31, 2017 Fair Value as of December 31, 2017 Stated Outstanding Principal as of December 31, 2016 Fair Value as of December 31, 2016 (In thousands) (In thousands) J.G. Wentworth XXXIII, LLC 2014-3 A 6/15/2077 155,393 152,534 3.50% 167,353 159,993 J.G. Wentworth XXXIII, LLC 2014-3 B 6/15/2079 21,408 20,254 4.40% 21,408 19,396 J.G. Wentworth XXXIV, LLC 2015-1 A 9/15/2072 164,602 158,861 3.26% 177,632 167,124 J.G. Wentworth XXXIV, LLC 2015-1 B 9/17/2074 20,957 19,574 4.25% 20,957 18,730 J.G. Wentworth XXXV, LLC 2015-2 A 3/15/2058 134,479 135,298 3.87% 139,521 136,423 J.G. Wentworth XXXV, LLC 2015-2 B 3/15/2060 16,350 15,820 4.83% 16,350 15,110 J.G. Wentworth XXXVI, LLC 2015-3 A 3/17/2070 82,822 84,351 4.08% 89,315 88,382 J.G. Wentworth XXXVI, LLC 2015-3 B 3/15/2072 10,383 10,556 5.68% 10,383 9,978 J.G. Wentworth XXXVII, LLC 2016-1 A 6/15/2067 101,412 99,519 3.41% 104,293 101,414 J.G. Wentworth XXXVII, LLC 2016-1 B 6/17/2069 13,000 12,988 5.19% 13,000 12,640 J.G. Wentworth XXXVIII, LLC 2017-1 A 8/16/2060 115,432 116,962 3.99% — — J.G. Wentworth XXXVIII, LLC 2017-1 B 8/15/2062 13,377 13,386 5.43% — — J.G. Wentworth XXXIX, LLC 2017-2 A 9/15/2072 125,774 122,216 3.53% — — J.G. Wentworth XXXIX, LLC 2017-2 B 9/17/2074 15,398 14,840 5.09% — — J.G. Wentworth XL, LLC 2017-3 A 2/15/2067 51,876 51,625 3.80% — — J.G. Wentworth XL, LLC 2017-3 B 2/15/2069 5,968 5,899 5.43% — — Structured Receivables Finance #2, LLC 2005-A A 5/15/2025 1,239 1,244 5.05% 5,013 5,138 Structured Receivables Finance #2, LLC 2005-A B 5/15/2025 7,047 7,440 6.95% 7,713 8,565 Peachtree Finance Company #2, LLC 2005-B A 4/15/2048 149 149 4.71% 5,154 5,245 Peachtree Finance Company #2, LLC 2005-B B 4/15/2048 4,376 4,468 6.21% 4,782 5,104 Structured Receivables Finance #3, LLC 2006-A A 1/15/2030 13,928 14,624 5.55% 19,194 20,726 Structured Receivables Finance #3, LLC 2006-A B 1/15/2030 6,873 7,747 6.82% 7,643 8,847 Structured Receivables Finance 2006-B, LLC 2006-B A 3/15/2038 27,100 29,215 5.19% 31,779 34,927 Structured Receivables Finance 2006-B, LLC 2006-B B 3/15/2038 6,271 7,204 6.30% 6,791 7,761 Structured Receivables Finance 2010-A, LLC 2010-A A 1/16/2046 41,540 44,700 5.22% 49,032 53,905 Structured Receivables Finance 2010-A, LLC 2010-A B 1/16/2046 9,322 11,511 7.61% 10,016 12,391 Structured Receivables Finance 2010-B, LLC 2010-B A 8/15/2036 33,386 34,332 3.73% 38,637 40,295 Structured Receivables Finance 2010-B, LLC 2010-B B 8/15/2036 11,456 14,529 7.97% 12,167 15,417 Total $ 3,492,790 $ 3,618,251 $ 3,460,820 $ 3,550,503 In connection with its 2015-1 securitization, the Company repaid in February 2015 approximately $6.9 million of long term debt issued by Structured Receivables Finance #1, LLC and recorded a gain on debt extinguishment of approximately $0.6 million , which was included in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. Permanent financing facilities The following table summarizes notes issued by permanent financing facilities as of December 31, 2017 and 2016 , respectively, for which the Company has elected the fair value option and are recorded as VIE long-term debt issued by securitization and permanent financing trusts, at fair value, on the Company's consolidated balance sheets: Securitization Maturity Note(s) Outstanding Principal as of December 31, 2017 Stated Fair Value as of December 31, 2017 (In thousands) (In thousands) JGW-S LC II 8/15/2040 2011-A $ 91,768 12.35% $ 91,769 PSS 7/14/2033 — 120,317 Libor + 1% 117,610 Crescit 6/15/2039 — 22,608 8.10% 28,523 JGW Residual I, LLC 3/22/2077 — 189,847 N/A 246,138 JGW Residual II, LLC 6/15/2067 — 2,046 N/A 2,487 Total $ 426,586 $ 486,527 Securitization Maturity Note(s) Outstanding Principal as of December 31, 2016 Stated Rate Fair Value as of December 31, 2016 (In thousands) (In thousands) JGW-S LC II 8/15/2040 2011-A $ 82,997 12.48% $ 82,997 PSS 7/14/2033 — 134,742 Libor + 1% 128,897 Crescit 6/15/2039 — 24,512 8.10% 30,991 JGW Residual I, LLC 3/22/2077 — 203,088 N/A 221,062 Total $ 445,339 $ 463,947 In connection with the refinancing of the Residual Term Facility, which was completed on September 2, 2016, the Company issued $207.5 million in notes collateralized by the residual asset cash flows and reserve cash associated with 36 of the Company's securitizations with outstanding principal balances. Proceeds from the issuance of the notes were used, in part, to repay the $131.4 million outstanding principal balance on the Residual Term Facility. In March 2017, the Company issued $2.3 million in notes collateralized by the residual asset cash flows and reserve cash associated with one of the Company's securitizations with an outstanding principal balance. The Company incurred $0.2 million of debt issuance costs, which were included in debt issuance expense in the Company's consolidated statements of operations. Principal and interest are paid monthly from the cash flows from the collateralized residual interests. Future repayment of VIE long-term debt issued by securitization trusts and permanent financing facilities is dependent on the receipt of cash flows from the corresponding encumbered VIE finance receivables. As of December 31, 2017 , estimated maturities for VIE long-term debt issued by securitization trusts and permanent financing facilities, at fair value, for the next five years and thereafter are as follows: Year Ending December 31, Estimated Maturities (In thousands) 2018 $ 323,094 2019 325,067 2020 309,798 2021 293,981 2022 280,023 Thereafter 2,387,413 Total $ 3,919,376 Interest expense for the years ended December 31, 2017 , 2016 and 2015 related to VIE long-term debt issued by securitization trusts and permanent financing facilities, at fair value, was $169.4 million , $152.1 million and $140.9 million , respectively. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Interest Rate Swaps The Company utilizes interest rate swaps to manage its exposure to changes in interest rates related to borrowings on its revolving credit facilities and other similar borrowings. Hedge accounting has not been applied to any of the Company's interest rate swaps. As of December 31, 2017 and 2016 , the Company did no t have any outstanding interest rate swaps related to its borrowings on revolving credit facilities. During the years ended December 31, 2017 , 2016 and 2015 and in connection with its securitizations, the Company terminated interest rate swaps with notional values of $21.8 million , $75.2 million , and $61.1 million , respectively. The total gain (loss) on the termination of these interest rate swaps for the years ended December 31, 2017 , 2016 and 2015 was $0.2 million , $(1.5) million , and $(0.2) million , respectively. These gains (losses) were recorded in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. There were no unrealized gain for these swaps for all three of the years ended December 31, 2017 , 2016 and 2015 . The Company also has interest rate swaps to manage its exposure to changes in interest rates related to its VIE long-term debt issued by securitization and permanent financing trusts. As of December 31, 2017 , the Company had eight outstanding swaps for VIE long-term debt with a total notional amount of $124.9 million . The Company pays fixed rates ranging from 4.50% to 5.77% and receives floating rates equal to one-month LIBOR plus an applicable margin. As of December 31, 2016 , the Company had eight outstanding swaps with total notional amounts of $156.6 million . The Company paid fixed rates ranging from 4.50% to 5.77% and received floating rates equal to 1-month LIBOR rate plus an applicable margin. These interest rate swaps were designed to closely match the borrowings under the respective floating rate asset backed loans in amortization. As of December 31, 2017 and 2016 , the terms of these interest rate swaps range from approximately 4.5 years to approximately 18.1 years and approximately 5.5 to approximately 19.1 years, respectively. For the years ended December 31, 2017 , 2016 and 2015 , the amount of unrealized gain recognized was $5.8 million , $7.0 million and $5.6 million , respectively. These gains were recorded in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. Additionally, the Company has interest-rate swaps to manage its exposure to changes in interest rates related to its borrowings under Peachtree Structured Settlements, LLC ("PSS"), a permanent financing VIE, and PLMT. As of December 31, 2017 , the Company had 133 outstanding swaps for PSS and PLMT with a total notional amount of $165.4 million . The Company pays fixed rates ranging from 4.90% to 8.70% and receives floating rates equal to one-month LIBOR plus an applicable margin. As of December 31, 2016 , the Company had 137 outstanding swaps with total notional amount of $181.2 million . The Company paid fixed rates ranging from 4.90% to 8.70% and received floating rates equal to 1-month LIBOR rate plus an applicable margin. The PSS and PLMT interest rate swaps were designed to closely match the borrowings under the respective floating rate asset backed loans in amortization. During the year ended December 31, 2016 , the Company terminated an interest rate swap for PSS with a notional value of $13.8 million and recorded a loss on the termination of $3.1 million . This was the only interest rate swap termination related to PSS and PLMT in the periods presented on the Company's consolidated statement of operations. As of December 31, 2017 and 2016 , the terms of the interest rate swaps for PSS and PLMT range from approximately 1 month to approximately 16.6 years and approximately 5 months to approximately 17.6 years, respectively. For the years ended December 31, 2017 , 2016 and 2015 the amount of unrealized gain recognized was $6.3 million , $9.3 million and $3.8 million , respectively. These gains were recorded in realized and unrealized gains on VIE and other finance receivables, long term debt and derivatives in the Company's consolidated statements of operations. The notional amounts and fair values of interest rate swaps are as follows as of: December 31, 2017 December 31, 2016 Entity Securitization Notional Amount Fair Value Notional Amount Fair Value (In thousands) 321 Henderson I, LLC 2004-A A-1 $ 14,604 $ (973 ) $ 20,265 $ (1,610 ) 321 Henderson I, LLC 2005-1 A-1 30,865 (3,064 ) 39,548 (4,495 ) 321 Henderson II, LLC 2006-1 A-1 6,059 (417 ) 7,969 (714 ) 321 Henderson II, LLC 2006-2 A-1 9,833 (1,163 ) 12,011 (1,654 ) 321 Henderson II, LLC 2006-3 A-1 8,310 (972 ) 11,832 (1,394 ) 321 Henderson II, LLC 2006-4 A-1 8,752 (526 ) 12,378 (965 ) 321 Henderson II, LLC 2007-1 A-2 20,434 (3,131 ) 22,942 (3,965 ) 321 Henderson II, LLC 2007-2 A-3 26,040 (5,471 ) 29,606 (6,664 ) PSS — 126,017 (17,865 ) 137,361 (22,190 ) PLMT — 39,397 (4,878 ) 43,792 (6,781 ) Total $ 290,311 $ (38,460 ) $ 337,704 $ (50,432 ) Interest Rate Lock Commitments and Forward Sale Commitments The Company enters into IRLCs to originate residential mortgage loans held for sale, at specified interest rates and within a specified period of time (generally between 30 and 90 days), with customers who have applied for a loan and meet certain credit and underwriting criteria. These IRLCs meet the definition of a derivative and are reflected in other assets or other liabilities on the Company's consolidated balance sheets at fair value with changes in fair value recognized in the realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs, in the Company's consolidated statements of operations. The fair value of the IRLCs are measured based on the value of the underlying mortgage loan, quoted GSE MBS prices, estimates of the fair value of the MSRs and the pull-through rate, net of commission expense and broker fees. The Company manages the interest rate price risk associated with its outstanding IRLCs and mortgage loans held for sale by entering into derivative loan instruments such as forward sale commitments and mandatory delivery commitments. Management expects these derivatives will experience changes in fair value opposite to changes in the fair value of the derivative loan commitments and mortgage loans held for sale, thereby reducing earnings volatility. The Company takes into account various factors and strategies in determining the portion of the mortgage pipeline (IRLCs) and mortgage loans held for sale it wants to economically hedge. The notional amounts and fair values associated with IRLCs and forward sale commitments were as follows as of: December 31, 2017 December 31, 2016 Notional Amount Fair Value Notional Amount Fair Value (In thousands) Derivative Assets: Interest rate lock commitments $ 574,198 $ 16,134 $ 355,870 $ 6,072 Forward sale commitments — — 406,000 659 Total $ 574,198 $ 16,134 $ 761,870 $ 6,731 Derivative Liabilities: Forward sale commitments $ 513,000 $ 623 $ — $ — Total $ 513,000 $ 623 $ — $ — The Company has exposure to credit loss in the event of contractual non-performance by its trading counterparties in derivative financial instruments that the Company uses in its interest rate risk management activities. The Company manages this credit risk by selecting only counterparties that the Company believes to be financially strong, by spreading the risk among multiple counterparties, by placing contractual limits on the amount of unsecured credit extended to any single counterparty and by entering into netting agreements with counterparties, as appropriate. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On December 22, 2017, the United States enacted significant changes to the U.S. tax law following the passage and signing of H.R.1, “An Act to Provide the Reconciliation Pursuant to Titles II and V of the Concurrent Resolution on the Budget for Fiscal Year 2018” (the “Act”) (previously known as “The Tax Cuts and Jobs Act”). As a result, we are required to re-measure our deferred tax assets and liabilities using the enacted rate at which we expect them to be recovered or settled. The effect of this re-measurement is recorded to income tax expense in the year the tax law is enacted. For the year ended December 31, 2017 , the re-measurement of our net deferred tax asset resulted in additional income tax benefit of $0.1 million . Concurrent with the enactment of the Act, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”), which allows companies to recognize the cumulative impact of the income tax effects triggered by the enactment of the Act over a period of up to twelve months in the reporting period in which the adjustment is identified. We applied SAB 118 effective December 22, 2017, and will continue to refine the measurement of the net deferred tax balance during the preparation of our 2017 tax return as additional guidance and information becomes available. The Corporation is required to file federal and applicable state corporate income tax returns and recognizes income taxes on its pre-tax income, which historically has consisted primarily of its share of JGW LLC's pre-tax income. JGW LLC is organized as a limited liability company which is treated as a "flow-through" entity for income tax purposes and therefore is not subject to income taxes. As a result, the Company's consolidated financial statements do not reflect a benefit or provision for income taxes on the pre-tax income or loss attributable to the non-controlling interests in JGW LLC. The Company's (benefit) provision for income taxes for the years ended December 31, 2017 , 2016 and 2015 , respectively, consists of the following: For the Year Ended December 31, 2017 2016 2015 (In thousands) Current: Federal $ 81 $ 183 $ (234 ) State 20 42 (71 ) 101 225 (305 ) Deferred: Federal 353 (12,910 ) (15,062 ) State 9,191 (2,655 ) (2,849 ) 9,544 (15,565 ) (17,911 ) Income tax (benefit) provision $ 9,645 $ (15,340 ) $ (18,216 ) The difference between the Company's effective income tax rate and the United States statutory rate is reconciled below: For the Year Ended December 31, 2017 2016 2015 Federal 35.0 % 35.0 % 35.0 % Income passed through to non-corporate members (2.9 ) (15.6 ) (15.9 ) Permanent items (0.5 ) (2.1 ) (11.1 ) State income tax 6.1 3.0 1.4 Deferred rate change (13.8 ) — — Valuation allowance (29.5 ) (10.5 ) (1.9 ) Other 0.8 3.7 1.0 Effective tax rate (4.8 )% 13.5 % 8.5 % The change in the Company's effective tax rate for the year ended December 31, 2017 compared to the year ended December 31, 2016 was primarily the result of: (i) the differences in the projected book and taxable income for the respective years as of the balance sheet dates; (ii) the impact of permanent differences between book and taxable income; (iii) a greater share of the Company's pre-tax book income (loss) being attributable to entities that are taxed as corporations, of which most record a full valuation allowance; (iv) the recording of additional valuation allowance as a result of legislative changes during the fourth quarter in Pennsylvania that caused more of our deferred tax assets to not be more likely than not to be realized; and (v) the increase in state income tax liabilities for the additional states relating to the mortgage company activity that does not have historical NOLs to offset future taxable income. The difference in effective tax rates between the two legal entities arises because JGW LLC is treated as a "flow-through" entity for income tax purposes and therefore is not subject to corporate-level income taxes. It should be noted, the reconciliation above includes an item for deferred rate change associated with the 2017 Tax Act. This deferred rate change is offset with the related change to valuation allowance. The rate change has minimal impact on tax expense. The change in the Company's effective tax rate for the year ended December 31, 2016 compared to the year ended December 31, 2015 was primarily the result of: (i) the differences in the projected book and taxable income for the respective years as of the balance sheet dates; (ii) the impact of permanent differences between book and taxable income; (iii) a greater share of the Company's pre-tax book income (loss) being attributable to separate subsidiary entities that are taxed as corporations, of which most record a full valuation allowance; (iv) the recording of the valuation allowance discussed above; and (v) the increase in state income tax liabilities for the additional states relating to the mortgage company activity that does not have historical NOLs to offset future taxable income. The difference in effective tax rates between the two legal entities arises because JGW LLC is treated as a "flow-through" entity for income tax purposes and therefore is not subject to corporate-level income taxes. Deferred income taxes reflect the net tax effects of temporary differences that may exist between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes using the enacted tax rates for the year in which the differences are expected to reverse. A summary of the components of deferred tax assets and deferred tax liabilities follows: December 31, 2017 December 31, 2016 (In thousands) Deferred tax assets: Net operating loss carryforwards $ 61,119 $ 63,127 Disallowed TRA obligations settlement accrual 46,789 — Other deferred assets 1,001 — Lottery winnings 574 880 Total deferred tax assets 109,483 64,007 Valuation allowance (74,224 ) (14,893 ) Total deferred tax assets, net 35,259 49,114 Deferred tax liabilities: Basis difference in partnership 45,210 48,101 Lottery winnings fair value adjustments — 2,023 Other deferred liabilities 603 — Total deferred tax liabilities 45,813 50,124 Deferred tax liabilities, net $ (10,554 ) $ (1,010 ) As of December 31, 2017 and 2016 , the Company had federal income tax net operating loss carry forwards of $210.8 million and $152.3 million , and state income tax net operating loss carry forwards of $222.8 million and $151.1 million , respectively, which will expire at various dates from 2033 through 2037. Future realization of tax benefits depends on the expectation of taxable income within a period of time that the tax benefits will reverse. The Company assesses available positive and negative evidence to determine if it is more likely than not that it will be able to realize its deferred tax assets prior to expiration. In accordance with ASC 740-10-30-18, the Company’s assessment involves analyzing the four possible sources of taxable income that may be available under tax law to realize a tax benefit for deductible temporary differences and carryforwards: (i) future taxable income exclusive of reversing temporary differences and carryforwards; (ii) future reversals of existing taxable temporary differences; (iii) taxable income in prior carryback period(s) if carryback is permitted by tax law; and (iv) tax planning strategies that would, if necessary, be implemented. Since its inception in 2013 and through December 31, 2017 , the Company has been in a cumulative loss position from both a book and tax perspective. As such, the Company is not relying on future taxable income exclusive of reversing temporary differences or taxable income in carryback periods. Additionally, the Company has not identified any tax planning strategies it could implement to realize the gross deferred tax assets. As a result, the Company is relying exclusively on the future reversal of existing deferred tax liabilities to support the realization of the deferred tax assets. The deferred tax liability primarily relates to the difference in the accretion of the Company's assets for book and tax purposes. The Company scheduled out the reversal of the deferred tax liability and concluded the future taxable income from the existing deferred tax liabilities would be sufficient to realize the deferred tax assets for NOLs. As such, the company has established a valuation allowance for any deferred tax assets in excess of these reversing deferred tax liabilities. Further, as a result of certain restructuring activities and taxable income limitations associated with the utilization of existing deferred tax assets, the Company is recording deferred tax liabilities associated with certain state jurisdictions. The Tax Reform Act of 1986 (the "Act") provides for a limitation on the annual use of net operating loss and tax credit carryforwards following certain ownership changes (as defined by the Act) that could limit the Company's ability to utilize these carryforwards. Generally, under Section 382 of the Internal Revenue Code, a change in ownership of a company of greater than 50% within a three-year period results in an annual limitation on that company’s ability to utilize its carryforwards from the tax periods prior to the ownership change. The Company completed a Section 382 study and determined that no limitation has been applied to its NOLs as of December 31, 2017. The Company will continue to monitor any changes in its ownership. As of December 31, 2017 and 2016 , the Company recorded valuation allowances in the amount of $74.2 million and $14.9 million , respectively, against the portion of its federal and state deferred tax assets that it has determined are not more likely than not of being realized. As of December 31, 2017 and 2016 , the Company had no gross unrecognized tax benefits. The Company does not expect any material increase or decrease in its gross unrecognized tax benefits during the next twelve months. If and when the Company does record unrecognized tax benefits in the future, any interest and penalties related to these unrecognized tax benefits will be recorded in the income tax expense line in the applicable statements of operations. The Company files its tax returns as prescribed by the tax laws of the jurisdictions in which it operates. In the normal course of business, the Company may be subject to examination by federal and certain state and local tax authorities. As of December 31, 2017 , the Company and its subsidiaries' U.S. federal income tax returns for the years 2014 through 2017 are open under the normal three-year statute of limitations from when the returns were filed and therefore subject to examination. State and local tax returns are generally subject to audit from 2013 through 2017 . Currently, no tax authorities are auditing the Company on any income tax matters. |
Installment Obligations Payable
Installment Obligations Payable | 12 Months Ended |
Dec. 31, 2017 | |
Installment Obligations Payable [Abstract] | |
Installment Obligations Payable | Installment Obligations Payable The Company's Asset Advantage ® program generates income and losses from both the related trust accounts and the corresponding installment obligation for each trust account. Income or loss from the trust accounts will be offset in equal amount with income or loss from the installment obligations. Each obligation has an installment payment schedule agreed to by the obligee prior to the time of issuance of the obligation. An obligee may request an unscheduled installment payment, which must be agreed to by the Company, and if so agreed, the Company may generally charge a penalty of up to 20% of the unscheduled installment amount. Virtually all of the obligations are guaranteed by corporate guarantees issued by third party financial institutions to the extent of assets held in related trust accounts. The actual maturities of the obligations depend on, among other things, the obligees' designated payment schedules, the performance of the obligees' index choices and the extent to which the obligees have taken any unscheduled installment payments. As of December 31, 2017 , estimated maturities for the next five years and thereafter are as follows: Year Ended December 31, Estimated Maturities (In thousands) 2018 $ 13,486 2019 10,826 2020 8,834 2021 6,612 2022 6,137 Thereafter 39,649 Total $ 85,544 |
Stockholders' (Deficit) Equity
Stockholders' (Deficit) Equity | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' (Deficit) Equity | Stockholders' (Deficit) Equity The following reflects the stockholders' (deficit) equity prior to the effects of the Plan on January 25, 2018: On November 14, 2013, the Corporation consummated an initial public offering ("IPO") and amended and restated its certificate of incorporation to provide for, among other things, the authorization of 500,000,000 shares of Class A common stock, (the "Class A common stock"), par value $0.00001 per share, 500,000,000 shares of Class B common stock, (the "Class B common stock"), par value $0.00001 per share, 500,000,000 shares of Class C "non-voting" common stock, par value $0.00001 per share (the "Class C common stock"), and 100,000,000 shares of blank check preferred stock. Also, concurrent with the consummation of the Corporation's IPO, JGW LLC merged with and into a newly formed subsidiary of the Corporation. In November 2017, the Company filed post-effective amendments to its Registration Statements to remove from registration any shares that remain unsold at the termination of the offering covered by the Registration Statements. As of December 31, 2017 , there were 16,352,775 shares of Class A common stock issued and 15,810,703 shares outstanding. Additionally, there were 8,629,738 shares of Class B common stock issued and outstanding as of December 31, 2017 . There were no shares of Class C common stock issued or outstanding as of December 31, 2017 . Repurchases of Class A Common Stock On May 2, 2014, the Company's Board of Directors approved the repurchase of an aggregate of $15.0 million of Class A common stock (the "Stock Repurchase Program") under Rule 10b5-1 of the Securities Exchange Act of 1934, as amended. Purchases under the Stock Repurchase Program were to be made from time to time in open market purchases, privately negotiated transactions, accelerated stock repurchase programs, issuer self-tender offers or otherwise in accordance with applicable federal securities laws. The Stock Repurchase Program did not obligate the Company to acquire any particular amount of Class A common stock and the pace of repurchase activity depended on factors such as levels of cash generation from operations, cash requirements for investment in the Company's business, repayment of debt, current stock price, market conditions and other factors. The Stock Repurchase Program could be suspended, modified or discontinued at any time and had no set expiration date. Since the inception of the Stock Repurchase Program and through December 31, 2015, the Company had repurchased 1,546,017 shares of Class A common stock for an aggregate purchase price of $15.0 million . As of December 31, 2015, the Company had repurchased the maximum amount of shares authorized by the Board of Directors. On May 26, 2015, the Company repurchased in a privately negotiated transaction 426,332 shares of its Class A common stock held by the former President and Chief Operating Officer of the Company for an aggregate purchase price of $3.9 million . The purchase price of $9.24 per share represented a 3.0% discount from the closing price of the Company's Class A common stock on May 22, 2015, the date the parties executed the associated agreement. Class A Common Stock Holders of Class A common stock are entitled to one vote for each share held of record on all matters submitted to a vote of stockholders. Holders of Class A common stock are entitled to share ratably (based on the number of shares of Class A common stock held) if and when any dividend is declared by the Board of Directors. Upon dissolution, liquidation or winding up, holders of Class A common stock are entitled to a pro rata distribution of any assets available for distribution to common stockholders, and do not have preemptive, subscription, redemption, or conversion rights. Class B Common Stock Shares of Class B common stock will only be issued in the future to the extent that additional common membership interests in JGW LLC (the "Common Interests," and the holders of such Common Interests, the "Common Interestholders") are issued by JGW LLC, in which case the Company would issue a corresponding number of shares of Class B common stock. Holders of Class B common stock are entitled to ten votes for each share held of record on all matters submitted to a vote of stockholders. Holders of Class B common stock do not have any right to receive dividends and upon liquidation, dissolution or winding up and will only be entitled to receive an amount per share equal to the $0.00001 par value. Holders of Class B common stock do not have preemptive rights to purchase additional shares of Class B common stock. Subject to the terms and conditions of the operating agreement of JGW LLC, each Common Interestholder has the right to exchange their Common Interests in JGW LLC, together with the corresponding number of shares of Class B common stock, for shares of Class A common stock or, at the option of JGW LLC, cash equal to the market value of one share of Class A common stock. Class C Common Stock Holders of Class C common stock are generally not entitled to vote on any matters. Holders of Class C common stock are entitled to share ratably (based on the number of shares of Class C common stock held) if and when any dividend is declared by the Board of Directors. Upon dissolution, liquidation or winding up, holders of Class C common stock will be entitled to a pro rata distribution of any assets available for distribution to common stockholders (except the de minimis par value of the Class B common stock), and do not have preemptive rights to purchase additional shares of Class C common stock. Subject to the terms and conditions of the operating agreement of JGW LLC, Peach Group Holdings, Inc. ("PGHI Corp.") and its permitted transferees have the right to exchange the non-voting Common Interests in JGW LLC they hold for shares of Class C common stock or, at the option of JGW LLC, cash equal to the market value of Class C common stock. Each share of Class C common stock may, at the option of the holder, be converted at any time into a share of Class A common stock on a one -for- one basis. Preferred Stock The Company's certificate of incorporation provides that the Board of Directors has the authority, without action by the stockholders, to designate and issue up to 100,000,000 shares of preferred stock in one or more classes or series and to fix the powers, rights, preferences, and privileges of each class or series of preferred stock, including dividend rights, conversion rights, voting rights, terms of redemption, liquidation preferences, and the number of shares constituting any class or series, which may be greater than the rights of the holders of the common stock. No preferred stock had been issued or was outstanding as of December 31, 2017 and 2016 . Warrants Issued to PGHI Corp. In connection with the IPO and the related restructuring, the Class C Profits Interests of JGW LLC held by PGHI Corp. were canceled and holders received in exchange warrants to purchase shares of Class A common stock. The warrants issued in respect of the Tranche C-1 Profits Interests of JGW LLC entitle the holders thereof to purchase up to 483,217 shares of Class A common stock and have an exercise price of $35.78 per share. The warrants issued in respect of the Tranche C-2 Profits Interests of JGW LLC also entitle the holders thereof to purchase up to 483,217 shares of Class A common stock and have an exercise price of $63.01 per share. All of the warrants issued are currently exercisable, terminate on January 8, 2022, and may not be transferred. No warrants were exercised during the years ended December 31, 2017 or 2016 . JGW LLC Operating Agreement Pursuant to the operating agreement of JGW LLC, the holders of JGW LLC Common Interests (other than the Company) have the right, subject to terms of the operating agreement as described therein, to exchange their Common Interests and an equal number of shares of Class B common stock for an equivalent number of shares of Class A common stock, or in the case of PGHI Corp., an equivalent number of shares of Class C common stock. During the years ended December 31, 2017 , 2016 and 2015 , 70,549 , 196,101 and 984,949 Common Interests in JGW LLC, in addition to an equal number of shares of Class B common stock, were exchanged for 70,549 , 196,101 and 984,949 shares of the Class A common stock pursuant to the operating agreement, respectively. |
Non-Controlling Interests
Non-Controlling Interests | 12 Months Ended |
Dec. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Non-Controlling Interests | Non-Controlling Interests The Corporation consolidates the financial results of JGW LLC whereby it records a non-controlling interest for the economic interest in JGW LLC held by the Common Interestholders. Pursuant to an agreement between the Corporation and JGW LLC, any time the Corporation cancels, issues or repurchases shares of Class A common stock, JGW LLC cancels, issues or repurchases, as applicable, an equivalent number of Common Interests. In addition, any time Common Interestholders exchange their Common Interests for shares of Class A common stock, JGW LLC is required to transfer an equal number of Common Interests to the Corporation. Changes in the non-controlling and the Corporation's interest in JGW LLC for the year ending December 31, 2017 are presented in the following table: Total Common Interests Held By: The J.G. Wentworth Company Non-controlling Total Balance as of December 31, 2016 15,730,473 13,070,781 28,801,254 Common Interests acquired by The J.G. Wentworth Company as a result of the exchange of units for shares of Class A common stock 70,549 (70,549 ) — Issuance of Class A common stock for vested equity awards 9,681 — 9,681 Common Interests forfeited — (9,871 ) (9,871 ) Balance as of December 31, 2017 15,810,703 12,990,361 28,801,064 The non-controlling interests include the Common Interestholders who were issued shares of Class B common stock in connection with the IPO as well as other Common Interestholders who may convert their Common Interests into 4,360,623 shares of Class C common stock. In accordance with the Plan, on the Effective Date, the non-controlling interests in the Company's consolidated statements of operations were canceled. Refer to Note 1 for additional information. |
Risks and Uncertainties
Risks and Uncertainties | 12 Months Ended |
Dec. 31, 2017 | |
Risks and Uncertainties [Abstract] | |
Risks and Uncertainties | Risks and Uncertainties The Company's finance receivables are primarily obligations of insurance companies. The exposure to credit risk with respect to these finance receivables is generally limited due to the large number of insurance companies of generally high credit quality comprising the receivable base, their dispersion across geographical areas, and possible availability of state insurance guarantee funds. As of December 31, 2017 and 2016 , three insurance companies and related subsidiaries comprised approximately 35% and 33% , respectively, of the Company's gross finance receivables balance. The Company is also subject to numerous risks associated with structured settlements. These risks include, but are not limited to, restrictions on assignability of structured settlements, potential changes in the U.S. tax law related to taxation of structured settlements, diversion by a seller of scheduled payments to the Company, and other potential risks of regulation and/or legislation. A majority of states have regulated the business by passing statutes that govern the sale of structured settlement payments. Generally, the laws require a court approval to consummate a sale. The Company's earnings are dependent upon the fair value of the finance receivables it purchases relative to the value it can obtain by financing these assets in securitization or other transactions. Accordingly, earnings are subject to risks and uncertainties surrounding exposure to changes in the interest rate environment, competitive pressures affecting the ability to maintain sufficient effective purchase yields, and the ability to sell or securitize finance receivables at profitable levels in the future. For the years ended December 31, 2017 , 2016 and 2015 , the Company's structured settlement business accounted for 73% , 66% and 83% of total revenues, respectively. In the normal course of business, companies in the mortgage banking industry encounter certain economic and regulatory risks. Economic risks include interest rate and credit risk. The Company is subject to interest rate risk to the extent that in a rising interest rate environment, the Company may experience a decrease in loan production, as well as decreases in the value of mortgage loans held for sale and in commitments to originate loans, which may negatively impact the Company's operations. Credit risk is the risk of default that may result from the borrowers' inability or unwillingness to make contractually required payments during the period in which loans are being held for sale. The Company sells mortgage loans to investors without recourse. As such, the investors have assumed the risk of loss or default by the borrower. However, the Company is usually required by these investors to make certain standard representations and warranties relating to credit information, loan documentation and collateral. To the extent that the Company does not comply with such representations, or there are early payment defaults, the Company may be required to repurchase the mortgage loans or indemnify these investors for any losses from borrower defaults. In addition, if mortgage loans pay-off within a specified time frame, the Company may be required to refund a portion of the sales proceeds to the investors. As of December 31, 2017 , 17.8% and 22.8% of the mortgage loans the Company serviced as measured by unpaid principal balances were concentrated in Virginia and California, respectively. As of December 31, 2016 , 21.1% and 21.0% of the mortgage loans the Company serviced as measured by unpaid principal balances were concentrated in Virginia and California, respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Arrangements The Company had an arrangement (the "Arrangement") with a counterparty for the sale of LCSS assets that met certain eligibility criteria, which expired on June 30, 2012. Pursuant to the Arrangement, the Company also has a borrowing agreement (the "Borrowing Agreement") with the counterparty that gave the counterparty a borrowing base to draw on from the Company for the purchase of LCSS assets. As of December 31, 2017 and 2016 , the amount owed from the counterparty pursuant to this Borrowing Agreement is $11.4 million and $10.8 million , respectively, is earning interest at an annual rate of 5.35% and is included in Other receivables, net of allowance for losses, on the Company's consolidated balance sheets. The Arrangement also has put options, which expire on December 30, 2019 and 2020, that give the counterparty the option to sell, on those dates, purchased LCSS assets back to the Company if the underlying claimant is still alive on that date. The put options, if exercised by the counterparty, require the Company to purchase LCSS assets at a target internal rate of return ("IRR") of 3.5% above the original target IRR paid by the counterparty. Tax Receivable Agreement Common Interestholders may exchange their Common Interests for shares of Class A common stock, or, in the case of PGHI Corp., shares of Class C common stock, on a one -for- one basis or, in each case, at the option of JGW LLC, cash. For income tax purposes, such exchanges are treated as sales of Common Interests in JGW LLC to the Corporation. JGW LLC made an election under Section 754 of the Internal Revenue Code of 1986 in connection with the filing of its 2014 federal income tax return which, upon each exchange, effectively treats the Corporation as having purchased an undivided interest in each of the assets owned by JGW LLC. As such, each exchange may result in increases (or decreases) in the Corporation's tax basis in the tangible and intangible assets of JGW LLC that otherwise would not have been available. Any such increases (decreases) in tax basis are, in turn, anticipated to create incremental tax deductions (income) that would reduce (increase) the amount of income tax the Corporation would otherwise be required to pay in the future. In connection with the IPO, the Corporation entered into the TRA with Common Interestholders who held in excess of approximately 1% of the Common Interests outstanding immediately prior to the IPO. The TRA requires the Company to pay those Common Interestholders 85% of the amount of cash savings, if any, in U.S. federal, state and local income tax that the Company actually realizes in any tax year from increases in tax basis realized as a result of any future exchanges by Common Interestholders of their Common Interests for shares of Class A or Class C common stock (or cash). The cash savings in income tax paid to any such Common Interestholders will reduce the cash that may otherwise be available to the Corporation for operations and to make future distributions to holders of Class A common stock. For purposes of the TRA, cash savings in income tax will be computed by comparing the Corporation's actual income tax liability for a covered tax year to the amount of such taxes that the Corporation would have been required to pay for such covered tax year had there been no increase to the Corporation's share of the tax basis of the tangible and intangible assets of JGW LLC as a result of such sale and any such exchanges and had the Corporation not entered into the TRA. The TRA continues until all such tax benefits have been utilized or expired, unless the Corporation exercises its right to terminate the TRA upon a change of control for an amount based on the remaining payments expected to be made under the TRA. The exchange of Common Interests for shares of Class A common stock in 2015 and 2014 resulted in a $53.3 million and $207.0 million increase, respectively, in the Corporation's share of the tax basis of JGW LLC's assets, which created current and future income tax deductions for the Corporation. The increase in tax basis, however, did not result in an income tax cash savings for the years ended December 31, 2015 and 2014, because the Corporation would not have been a tax payer in the absence of such tax basis increase. Consequently, there is no liability associated with the 2015 or 2014 exchanges pursuant to the TRA. The Corporation will compute any tax liability for similar exchanges in 2017 in conjunction with the preparation of its 2017 Federal tax returns. The Corporation, however, does not expect to have any tax liability associated with the 2017 tax year and does not expect to benefit from income tax cash savings related to basis adjustments associated with the 2017 exchanges pursuant to the TRA, or have any liability in connection with exchanges pursuant to the TRA made in 2017. The filing by the Company of Chapter 11 Cases qualified as a Material Breach under the foregoing agreement. Upon the triggering of a Material Breach following such filing, all obligations under the TRA were accelerated and the claimants were owed the present value of all future tax attributes to be distributed to such claimants, subject to certain discounting and based on assumptions regarding the remaining payments expected to be made under the TRA. It is estimated that, the occurrence of a Material Breach in December 2017 resulted in claims against the Company held by the TRA's claimants in the aggregate amount of $160.1 million , which were included within reorganization items, net in the Company's consolidated statements of operations and within LSTC on the Company's consolidated balance sheet. As part of the Chapter 11 Cases and in accordance with the previously announced Plan, which became effective on January 25, 2018, the claims under the TRA were discharged and, in consideration, each TRA claimant received its pro rata share of the New Class A common stock and the New Class B common stock of the Company or cash consideration, at the sole election of each holder of a TRA claim. Consequently, as of January 25, 2018, the TRA claimants now hold, in the aggregate, 161,961 shares of New Class A common stock and 141,384 shares of New Class B common stock and received $4.8 million of cash consideration. The aggregate fair value of the total settlement was $6.6 million . Loss on Contingencies In the normal course of business, the Company is subject to various legal proceedings and claims. These proceedings and claims have not been finally resolved and the Company cannot make any assurances as to their ultimate disposition. It is management's opinion, based on the information currently available at this time, that the expected outcome of these matters will not have a material adverse effect on the financial position, the results of operations, or cash flows of the Company. Commitments to Extend Credit The Company enters into IRLCs with customers who have applied for residential mortgage loans and meet certain credit and underwriting criteria. These commitments expose the Company to market risk if interest rates change and the loan is not economically hedged or committed to an investor. The Company is also exposed to credit loss if the loan is originated and not sold to an investor and the mortgagor does not perform. The collateral upon extension of credit typically consists of a first deed of trust in the mortgagor's residential property. Commitments to originate loans do not necessarily reflect future cash requirements as some commitments are expected to expire without being drawn upon. Total commitments to originate loans as of December 31, 2017 and 2016 approximated $574.2 million and $355.9 million , respectively. |
Share-based Compensation
Share-based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Compensation | Share-based Compensation Under the Company's 2013 Omnibus Incentive Plan (the "2013 Plan"), stock options, restricted stock, restricted stock units and stock appreciation rights units may be granted to officers, employees, non-employee directors and consultants of the Company. As of December 31, 2017 and 2016 , 1.1 million shares and 1.2 million shares of unissued Class A common stock were available to grant under the 2013 Plan. As of December 31, 2017 , the Company had granted non-qualified stock options and performance-based restricted stock units to its employees under the 2013 Plan. The Company recognizes compensation cost, net of a forfeiture rate, in compensation and benefits expense in the Company's consolidated statements of operations only for those awards that are expected to vest. The forfeiture rate is estimated based on historical experience taking into account the Company's expectations about future forfeitures. Stock Options The Company has granted options to purchase Class A common stock. These stock options have exercise prices equal to the fair value of the Class A common stock on the date of grant, a contractual term of ten years and vest generally in equal annual installments over a five -year period following the date of grant, subject to the holder's continued employment with the Company through the applicable vesting date. The fair value of stock option awards granted during the years ended December 31, 2017 and 2016 was estimated using the Black-Scholes valuation model and included the following assumptions: Year Ended December 31, 2017 Year Ended December 31, 2016 Fair value $ 0.19 $0.17 - $0.62 Risk-free interest rate 2.07 % 1.35% - 1.86% Expected volatility 43.58 % 40.84% - 44.50% Expected life of options in years 6.5 6.5 Expected dividend yield — — The Company recognizes compensation expense for the fair value of the stock options on a straight-line basis over the requisite service period of the awards. During the years ended December 31, 2017 , 2016 and 2015 , the Company recognized $1.2 million , $1.1 million and $1.2 million of share-based compensation expense, respectively, in connection with the stock options issued under the 2013 Plan. A summary of stock option activity for the year ended December 31, 2017 is as follows: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term ( In Years ) Aggregate Intrinsic Value (In Millions) Outstanding as of December 31, 2016 1,376,549 $ 5.77 7.73 $ — Granted 206,500 0.41 Exercised — — Canceled — — Forfeited (81,261 ) 1.05 Expired (9,058 ) 9.23 Outstanding as of December 31, 2017 1,492,730 $ 1.69 6.98 $ — Expected to vest as of December 31, 2017 1,447,343 1.72 6.97 — Vested as of December 31, 2017 142,586 8.72 6.98 — During the years ended December 31, 2017 , 2016 and 2015 , stock options representing the right to acquire 73,497 , 141,540 and 233,713 shares vested with an aggregate grant date fair value of $0.2 million , $0.7 million and $1.2 million , respectively. The aggregate intrinsic value represents the total pre-tax value of the difference between the closing price of Class A common stock on the last trading day of the period and the exercise price of the options, multiplied by the number of in-the-money stock options that would have been received by the option holders had all the option holders exercised their options on December 31, 2017 . The intrinsic value of the Company's stock options changes based on the closing price of the Company's stock. As of December 31, 2017 , $2.0 million of total unrecognized compensation expense related to the outstanding stock options is expected to be recognized over a weighted average period of 1.7 years. In April 2016, the Board authorized a one-time stock modification program for 1,266,125 outstanding options that were issued prior to January 1, 2016 and held by 45 participants. The stock modification program was approved by shareholders at the Annual Meeting on June 2, 2016. On July 29, 2016, the Tender Offer and Consent Solicitation Statement was sent to 33 eligible employees, who were employed as of that date by the Company, who were given 20 business days to consent to the modification. On August 26, 2016, the solicitation period expired with 32 employees electing to participate for an aggregate of 1,195,927 shares to be modified. Pursuant to the approved stock modification program, on August 29, 2016, the exercise price of the outstanding options to purchase an aggregate of 147,963 shares of Class A common stock by all persons, other than a key executive officer of the Company as described in detail below, was modified to $0.32 per share, which was the closing price per share of the Class A common stock on the OTCQX Market on August 29, 2016. In addition, the vesting date of such modified options was changed to August 29, 2019. Also on August 29, 2016, options to purchase 180,000 shares of Class A common stock held by the key executive officer were canceled and the Company simultaneously granted new stock options to purchase 180,000 shares of Class A common stock to the key executive officer, at an exercise price equal to $0.32 per share, with an expiration date of August 29, 2029. On the same date, the exercise price of outstanding options held by the key executive officer to purchase an aggregate of 180,000 shares of Class A common stock was modified to $0.32 per share, and the vesting date was changed to August 29, 2019. Pursuant to the approved stock modification program, on August 29, 2017, the exercise price of outstanding options to purchase an aggregate of 486,953 shares of Class A common stock by all persons was modified to $0.17 per share, which was the closing price per share of the Class A common stock on the OTCQX Market on August 29, 2017. In addition, the vesting date of such modified options was changed to August 29, 2019. Except with respect to the modified exercise price and expiration date, the modified options remain subject to all terms and conditions of their original grant agreements, including termination provisions. As provided in the Tender Offer and Consent Solicitation Statement, the remainder of the options with respect to which elections were properly tendered and not withdrawn prior to the expiration of the solicitation period will be modified on one or more future modification dates (to the extent not then exercised, expired or terminated), if the closing price of the Company's Class A common stock on each such future modification date is less than the original exercise price of such options. There are options to purchase a maximum of 180,000 shares of Class A common stock potentially subject to modification on August 29, 2018. The valuation of the options that were modified on August 29, 2017 and 2016 is based on the following terms: Year Ended December 31, 2017 Year Ended December 31, 2016 Fair value $0.06 - $0.07 $0.13 - $0.15 Risk-free interest rate 1.58% - 1.67% 1.19% - 1.37% Expected volatility 43.31% - 44.73% 43.81% - 44.52% Expected life of options in years 4.1 - 6.5 5.1 - 6.5 Expected dividend yield — — For the year ended December 31, 2017 , the stock option modification resulted in an incremental compensation cost of less than $0.1 million which will be recognized over the two -year vesting period. For the year ended December 31, 2016 , the stock option modification resulted in an incremental compensation cost of less than $0.1 million which will be recognized over the three -year vesting period. There was no stock option modification for the year ended December 31, 2015 . Performance-Based Restricted Stock Units A summary of performance-based restricted stock units for the year ended December 31, 2017 is as follows: Performance-Based Restricted Stock Units Weighted-Average Grant-Date Fair Value Outstanding as of December 31, 2016 207,500 $ 1.18 Granted 103,250 0.41 Vested (9,681 ) 1.23 Forfeited (72,819 ) 6.51 Outstanding as of December 31, 2017 228,250 $ 0.97 Expected to vest as of December 31, 2017 87,000 0.41 Each performance-based restricted stock unit will vest into 0 to 1.5 shares of Class A common stock depending on the degree to which the performance goals are met. Compensation expense resulting from these awards is: (i) recognized ratably from the date of the grant until the date the restrictions lapse; (ii) based on the trading price of the Class A common stock on the date of grant; and (iii) based on the probability of achievement of the specific performance-based goals. In February 2017, the Company modified the performance goals associated with the performance-based restricted stock units granted in 2015 and 2016 . As of December 31, 2017 , management concluded that it was (i) improbable that the modified performance goals associated with the performance-based restricted stock units granted in 2015 and 2016 would vest and (ii) probable that the performance goals associated with the performance-based restricted stock units granted in 2017 would be met and the corresponding performance-based restricted stock units would vest. In April 2016, the Company modified the performance goals associated with the performance-based restricted stock units granted in 2014 and 2015. As of December 31, 2017 , management concluded that it was probable that the modified performance goals associated with the performance-based restricted stock units granted in 2014 would be met and the corresponding performance-based restricted stock units would vest. As of December 31, 2017 , management concluded that (i) it was improbable that the modified performance goals associated with the performance-based restricted stock units granted in 2015 would be met and (ii) it was improbable that the performance goals associated with the performance-based restricted stock units granted in 2016 would be met. During the years ended December 31, 2017 , 2016 and 2015 , the Company recognized share-based compensation expense (income) of less than $0.1 million , less than $0.1 million and $(0.3) million , respectively, in connection with the performance-based restricted stock units. The aggregate grant-date fair value of the performance-based restricted stock units granted during the years ended December 31, 2017 , 2016 and 2015 was less than $0.1 million , less than $0.1 million and $1.5 million , respectively. As of December 31, 2017 , there was less than $0.1 million of total unrecognized compensation cost relating to outstanding performance-based restricted stock units that is not expected to be recognized. As of December 31, 2017 , 9,681 of the performance-based restricted stock units had vested. Restricted Stock Restricted stock granted to independent directors under the 2013 Plan cliff vest on the first anniversary after the grant date. The fair value of restricted stock is determined based on the trading price of the Class A common stock on the date of grant. There was no restricted stock granted during the year ended December 31, 2017 . The aggregate grant date fair value of the restricted stock granted was $0.1 million for each of the years ended December 31, 2016 and 2015 . As of December 31, 2017 , there was no unrecognized compensation cost relating to restricted stock. The Company recognizes compensation expense for the fair value of restricted stock on a straight-line basis over the one -year cliff vesting period. During each of the years ended December 31, 2016 and 2015 , the Company recognized $0.1 million of share-based compensation expense in connection with the restricted stock. As of December 31, 2017 , there was no recognized compensation cost relating to restricted stock. Unvested Restricted Common Interests in JGW LLC The following table summarizes the activities of unvested Restricted Common Interests in JGW LLC for the year ended December 31, 2017 : Unvested Restricted Common Interests Weighted - Average Grant - Date Fair Value Outstanding as of December 31, 2016 9,871 $ 9.06 Vested in period — — Forfeited (9,871 ) 9.06 Outstanding as of December 31, 2017 — $ — Expected to vest as of December 31, 2017 — — There were no Restricted Common Interests in JGW LLC granted during the years ended December 31, 2017 , 2016 or 2015 . The aggregate grant-date fair value of the Restricted Common Interests in JGW LLC that vested during the years ended December 31, 2017 , 2016 and 2015 was less than $0.1 million , $0.1 million and $0.5 million , respectively. As of December 31, 2017 , there was no unrecognized compensation cost related to outstanding unvested Restricted Common Interests in JGW LLC. Total share-based compensation expense recognized for the years ended December 31, 2016 and 2015 related to the Restricted Common Interests JGW LLC was less than $0.1 million and $0.3 million , respectively. There was no share-based compensation expense recognized for the year ended December 31, 2017 related to the Restricted Common Interests JGW LLC. Effects of Chapter 11 Cases on share-based compensation During the bankruptcy period, the accounting for share-based payments, including modifications or extinguishments, continued in accordance with ASC 718 and ASC 505-50, and consequently the Company continued to recognize compensation cost during the requisite service period. As part of the Chapter 11 Cases and in accordance with the previously announced Plan, which became effective on January 25, 2018 , a new Management Incentive Plan was adopted, the terms of which were set forth in the Plan and are further described in Note 31 . All prior share-base compensation under the 2013 Plan was canceled on the Effective Date. Refer to Note 1 for additional information. |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plan | Employee Benefit Plan The Company maintains a saving plan under Section 401(k) of the Internal Revenue Code that covers all employees who have attained 21 years of age and achieved the applicable and requisite service period. Matching contributions are at the discretion of the Company's Board of Directors. For certain employees, matching contributions by the Company were 50% on the first 8% of compensation contributed each pay period. For other employees, matching contributions by the Company were 15% of the employee's contributed amount on a per pay basis. Employee benefit plan expense was included in compensation and benefits expense in the Company's consolidated statements of operations and was as follows for the years ended December 31: 2017 2016 2015 (In thousands) Employee benefit plan expense $ 920 $ 862 $ 668 |
Cost Savings Activities
Cost Savings Activities | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Cost Savings Activities | Cost Savings Activities In late 2015 , the Company initiated a cost reduction plan to reduce excess capacity and improve efficiency within the business units. The associated workforce reductions in connection with the Company's cost savings activities were substantially complete as of June 30, 2016. The Company recorded severance charges of less than $0.1 million and $2.9 million for the years ended December 31, 2017 , and 2016 , respectively, which were included within compensation and benefits in the Company's consolidated statements of operations. In addition, the Company recorded lease termination charges of $2.0 million and $0.8 million for the years ended December 31, 2017 and 2016 , which were included within general and administrative in the Company's consolidated statements of operations. The lease termination charges represent the fair value of the liability at the cease use date and were determined based on the remaining lease rental payments obligation reduced by estimated and actual sublease income for the property. The Company did not record severance or lease termination charges for the year ended December 31, 2015 . Both the severance liability and the lease termination costs are included in accrued expenses and accounts payable on the Company's consolidated balance sheets. A reconciliation of the liabilities associated with the cost reduction plan by reportable segment is as follows: Structured Settlements Home Lending Consolidated (In thousands) Balance at December 31, 2016 $ 1,201 $ 90 $ 1,291 Payments (1,460 ) (149 ) (1,609 ) Adjustments 1,944 71 2,015 Balance at December 31, 2017 $ 1,685 $ 12 $ 1,697 |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share Basic earnings per share ("EPS") measures the performance of an entity over the reporting period. Diluted EPS measures the performance of an entity over the reporting period while giving effect to all potentially dilutive common shares that were outstanding during the period. In accordance with ASC 260, Earnings Per Share , all outstanding unvested share-based payments that contain rights to non-forfeitable dividends and participate in the undistributed earnings with the common stockholders are considered participating securities. The shares of Class B common stock do not share in the earnings of the Company and are therefore not considered participating securities. Accordingly, basic and diluted net earnings per share of Class B common stock have not been presented. In connection with the IPO, Class C Profits Interests of JGW LLC held by PGHI Corp. were exchanged for a total of 966,434 warrants to purchase shares of Class A common stock. For the years ended December 31, 2017 , 2016 and 2015 , these warrants were not included in the computation of diluted loss per common share because they were antidilutive under the treasury stock method. During the years ended December 31, 2017 , 2016 and 2015 , 1,506,729 , 1,399,304 and 1,455,645 of weighted average stock options outstanding, respectively, were not included in the computation of diluted earnings (loss) per common share because they were antidilutive under the treasury stock method. During the years ended December 31, 2017 , 2016 and 2015 , 241,888 , 225,822 and 188,218 of weighted-average performance-based restricted stock units, respectively, were antidilutive and, therefore, excluded, from the computation of diluted loss per common share. The operating agreement of JGW LLC gives Common Interestholders the right (subject to the terms of the operating agreement as described therein) to exchange their Common Interests for shares of Class A common stock on a one -for- one basis at fair value, subject to customary conversion rate adjustments for stock splits, stock dividends and reclassifications. The Company applies the "if-converted" method to the Common Interests and vested Restricted Common Interests in JGW LLC to determine the dilutive weighted average shares of Class A common stock outstanding. The Company applies the treasury stock method to the unvested Restricted Common Interests and the "if-converted" method on the resulting number of additional Common Interests to determine the dilutive weighted average shares of Class A common stock outstanding represented by these interests. In computing the dilutive effect that the exchange of Common Interests and Restricted Common Interests would have on EPS, the Company considered that net loss attributable to holders of Class A common stock would decrease due to the elimination of non-controlling interests (including any tax impact). Based on these calculations, the 13,016,480 , 13,075,774 and 13,623,240 weighted average Common Interests and vested Restricted Common Interests outstanding, respectively, and the 3,673 , 19,306 and 102,562 weighted average unvested Restricted Common Interests outstanding, respectively, for the years ended December 31, 2017 , 2016 and 2015 , respectively, were antidilutive and excluded from the computation of diluted loss per common share. The following table is a reconciliation of the numerator and denominator used in the basic and diluted EPS calculations for the years ended December 31, 2017 , 2016 and 2015 : Years Ended December 31, 2017 2016 2015 (Dollars in thousands, except per share data) Numerator: Numerator for basic EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock $ (191,333 ) $ (46,857 ) $ (95,312 ) Effect of dilutive securities: JGW LLC Common Interests and vested Restricted Common Interests — — — JGW LLC unvested Restricted Common Interests — — — Numerator for diluted EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock $ (191,333 ) $ (46,857 ) $ (95,312 ) Denominator: Denominator for basic EPS -Weighted average shares of Class A common stock 15,782,303 15,649,474 14,690,746 Effect of dilutive securities: Stock options — — — Warrants — — — Restricted common stock and performance-based restricted stock units — — — JGW LLC Common Interests and vested Restricted Common Interests — — — JGW LLC unvested Restricted Common Interests — — — Dilutive potential common shares — — — Denominator for diluted EPS - Adjusted weighted average shares of Class A common stock 15,782,303 15,649,474 14,690,746 Basic loss per share of Class A common stock $ (12.12 ) $ (2.99 ) $ (6.49 ) Diluted loss per share of Class A common stock $ (12.12 ) $ (2.99 ) $ (6.49 ) |
Business Segments
Business Segments | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments The Company's business segments are determined based on products and services offered, as well as the nature of the related business activities, and reflect the manner in which financial information is currently evaluated by management. The Company has identified the following two reportable segments: (i) Structured Settlements and (ii) Home Lending. The Company's Chief Operating Decision Maker ("CODM") evaluates reportable segments using Segment Adjusted Earnings Before Interest Expense, Income Taxes, Depreciation and Amortization ("Segment Adjusted EBITDA") for purposes of making decisions about allocating resources and evaluating their performance. The Company defines Segment Adjusted EBITDA as net income (loss) under U.S. GAAP before non-cash compensation expenses, certain other expenses, provision for or benefit from income taxes, depreciation and amortization and, for the Structured Settlements segment, amounts related to the consolidation of the securitization and permanent financing trusts the Company uses to finance its business, interest expense associated with its senior secured credit facility, debt issuance costs and broker and legal fees incurred in connection with sales of finance receivables. During 2016, the CODM began using Segment Adjusted EBITDA as the primary means by which he evaluates segment performance since (i) Segment Adjusted EBITDA represents a better measure of the Company's operating performance, especially for the Structured Settlements segment because the operations of the VIEs do not impact the business segments' performance and (ii) Segment Adjusted EBITDA is the metric used in determining whether performance-based restricted stock units issued to management will vest. Prior periods have been adjusted to reflect the current measurement method. The application and development of management reporting methodologies is a dynamic process and is subject to periodic enhancements. The implementation of these enhancements to the internal management reporting methodology may materially affect the results disclosed for each segment with no impact on consolidated results. Whenever significant changes to management reporting methodologies take place, prior period information is reclassified whenever practicable. Additionally, Segment Adjusted EBITDA is not indicative of cash flow generation. Below is a summary of Segment Adjusted EBITDA, a measure of the Company's segments' profitability. Structured Settlements Home Lending Other Adjustments/Eliminations Subtotal Reportable Segments (In thousands) Year Ended December 31, 2017 Segment Adjusted EBITDA $ 16,834 $ 14,139 $ — $ 30,973 Year Ended December 31, 2016 Segment Adjusted EBITDA $ 16,165 $ 31,189 $ — $ 47,354 Year Ended December 31, 2015 (1) Segment Adjusted EBITDA $ 49,619 $ 2,727 $ — $ 52,346 (1) Home Lending was acquired on July 31, 2015, and, therefore, the results include only five months of Home Lending's operations. The following table presents certain information regarding the Company's business segments. Structured Settlements Home Lending Other Adjustments/Eliminations Consolidated (In thousands) Year Ended December 31, 2017 Total revenues $ 313,935 $ 114,777 $ — $ 428,712 Total assets 4,633,094 418,371 — 5,051,465 Year Ended December 31, 2016 Total revenues $ 215,399 $ 109,273 $ — $ 324,672 Total assets 4,611,705 381,202 — 4,992,907 Year Ended December 31, 2015 (1) Total revenues $ 269,635 $ 26,732 $ — $ 296,367 Total assets 4,801,965 249,133 — 5,051,098 (1) Home Lending was acquired on July 31, 2015, and, therefore, the results include only five months of Home Lending's operations. Below is a reconciliation of Segments' Adjusted EBITDA, a measure of the Company's segments' profitability, for the Company's two reportable segments to loss before income taxes for the years ended December 31, 2017 , 2016 and 2015 : Year Ended December 31, 2017 Year Ended December 31, 2016 Year Ended December 31, 2015 (1) (In thousands) Structured Settlements Segment Adjusted EBITDA $ 16,834 $ 16,165 $ 49,619 Home Lending Segment Adjusted EBITDA 14,139 31,189 2,727 Subtotal Segment Adjusted EBITDA for Reportable Segments $ 30,973 $ 47,354 $ 52,346 Securitization-related adjustments: Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates 10,859 (77,652 ) (75,802 ) Interest income from securitized finance receivables 176,754 177,781 171,773 Interest income on retained interests in finance receivables (1,955 ) (16,149 ) (21,652 ) Servicing income on securitized finance receivables (5,117 ) (5,181 ) (5,284 ) Interest expense on long-term debt related to securitization and permanent financing trusts (175,565 ) (162,442 ) (147,723 ) Swap termination expense related to securitization entities — (3,053 ) — Professional fees relating to securitizations (5,314 ) (5,605 ) (5,913 ) (Provision) credit for losses associated with permanently financed VIEs (113 ) 60 (25 ) Subtotal of securitization-related adjustments $ (451 ) $ (92,241 ) $ (84,626 ) Other adjustments: Share-based compensation (1,038 ) (1,448 ) (1,291 ) Impact of pre-funding on unsecuritized finance receivables 3,199 (3,199 ) (1,618 ) Lease termination, severance and other restructuring related expenses (15,544 ) (3,602 ) (3,095 ) Merger and acquisition related expense — (550 ) (2,946 ) Debt modification expense (223 ) (2,399 ) (792 ) Impairment charges and loss on disposal of assets (8,369 ) (5,483 ) (121,594 ) Term loan interest expense (39,469 ) (40,559 ) (40,386 ) TRA obligations (160,113 ) — — Debt issuance (5,881 ) (4,455 ) (6,741 ) Broker and legal fees incurred in connection with sale of finance receivables — (1,959 ) — Depreciation and amortization (4,147 ) (4,814 ) (4,613 ) Loss before income taxes $ (201,063 ) $ (113,355 ) $ (215,356 ) (1) Home Lending was acquired on July 31, 2015, and, therefore, the results include only five months of Home Lending's operations. |
Condensed Combined Debtor-In-Po
Condensed Combined Debtor-In-Possession Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Debtor in Possession Disclosure [Abstract] | |
Condensed Combined Debtor-In-Possession Financial Information | Condensed Combined Debtor-in-Possession Financial Information In accordance with ASC 852, aggregate financial information of the Debtors is presented below as of December 31, 2017 for the condensed combined balance sheet and for the year ended December 31, 2017 for the condensed combined statement of operations, condensed combined statement of other comprehensive loss, condensed combined statement of changes in stockholders' deficit and condensed combined statement of cash flows. All of the operations of the Company are conducted by affiliates of the Company who are not Debtors (the "Non-Debtor Affiliates"). The Non-Debtor Affiliates did not file for bankruptcy. The principal operating Non-Debtor Affiliates are: Green Apple Management Company, LLC ("Green Apple"), J.G. Wentworth Management Company, LLC ("JGM"), Settlement Funding Management Company, LLC ("SFM"), J.G. Wentworth Originations LLC ("Originations"), Peachtree Originations LLC ("Peachtree," and collectively with Green Apple, JGM, SFM and Originations, the "Structured Settlements Operating Affiliates") and J.G. Wentworth Home Lending, LLC ("JGHL"). Most of the Debtors’ obligations are paid by the Structured Settlements Operating Affiliates, with certain obligations paid by other Non-Debtor Affiliates. Since the Debtors do not independently generate revenue, the Non-Debtor Affiliates collect and move funds through the accounts of the Structured Settlements Operating Affiliates and other Non-Debtor Affiliates to ensure the continued operation of the Company’s businesses. Consequently, most inter-company transactions occur among the Non-Debtor Affiliates, given the limited obligations of the Debtor entities. To the extent, however, certain liabilities are paid by Non-Debtor Affiliates on behalf of the Debtors, the Debtors incur inter-company liabilities (the Inter-company Liabilities) to Non-Debtor Affiliates that are reflected on the Company’s books and records. None of the Debtors provide services to, or satisfies liabilities on behalf of, any Non-Debtor Affiliates, and therefore no Inter-company Liabilities are owed and reflected by any of the Debtors from Non-Debtor Affiliates. LSTC include the "Term Loan Claims" and "TRA obligations." Reorganization items, net represent amounts incurred after the Petition Date as a direct result of the bankruptcy. The filing by the Company of Chapter 11 Cases qualified as a Material Breach under the TRA. Consequently, all obligations under the TRA were accelerated and the claimants were owed the present value of all future tax attributes, subject to certain discounting and based on assumptions regarding the remaining payments expected to be made under the TRA. The TRA obligations was estimated to be $160.1 million . In addition, Reorganization items, net, comprise of legal and professional fees in the amount of $1.3 million . As a result of the foregoing, the Non-Debtor Affiliates are accounted for as non-consolidated subsidiaries in these financial statements. Inter-company transactions among the Debtors have been eliminated in the Debtors' financial information. Inter-company transactions amongst the Debtors and Non-Debtor Affiliates have not been eliminated in the Debtors’ financial information. Debtors' Condensed Combined Balance Sheets December 31, 2017 (Dollars in thousands) ASSETS Cash and cash equivalents $ — Due from affiliates 209,580 Intangible assets, net of accumulated amortization 566 Investment in non-debtor subsidiaries 512,565 Other assets 1,380 Total Assets $ 724,091 LIABILITIES AND STOCKHOLDERS’ DEFICIT Accrued expenses and accounts payable $ 15 Deferred tax liabilities, net 9,362 Due to affiliates 357,698 Total liabilities not subject to compromise $ 367,075 Liabilities subject to compromise (1) 607,109 Total Liabilities $ 974,184 Class A common stock, par value $0.00001 per share; 500,000,000 shares authorized, 16,352,775 and 15,810,703 issued and outstanding, respectively as of December 31, 2017 $ — Class B common stock, par value $0.00001 per share; 500,000,000 shares authorized, 8,629,738 issued and outstanding as of December 31, 2017 — Class C common stock, par value $0.00001 per share; 500,000,000 shares authorized, 0 issued and outstanding as of December 31, 2017 — Additional paid-in-capital 106,217 Accumulated deficit (308,955 ) (202,738 ) Less: treasury stock at cost, 542,072 shares as of December 31, 2017 (2,138 ) Total stockholders' deficit, The J.G. Wentworth Company (204,876 ) Non-controlling interests (45,217 ) Total Stockholders' Deficit $ (250,093 ) Total Liabilities and Stockholders’ Deficit $ 724,091 (1) Liabilities subject to compromise as of December 31, 2017 are presented in accordance with ASC 852. These liabilities include the "Term Loan Claims" and the "TRA Claims" as defined in the Plan. Debtors' Condensed Combined Statement of Operations Year Ended December 31, 2017 (Dollars in thousands) REVENUES Income from investment in non-debtor subsidiaries $ 18,764 Total revenues $ 18,764 EXPENSES Interest expense $ 39,469 Compensation and benefits 1,038 General and administrative 1,775 Professional and consulting 15,789 Depreciation and amortization 487 Reorganization items, net (2) 161,370 Total expenses $ 219,928 Loss before income taxes (201,164 ) Provision for income taxes 9,544 Net loss $ (210,708 ) Less: net loss attributable to non-controlling interests (19,375 ) Net loss attributable to The J.G. Wentworth Company $ (191,333 ) (2) Reorganization items, net for the year ended December 31, 2017 are presented in accordance with ASC 852 and include (i) $160.1 million of TRA obligations and, (ii) $1.3 million of professional and consulting fees incurred in connection with the Company's bankruptcy proceedings from the Petition Date through December 31, 2017 . Debtors' Condensed Combined Statement of Other Comprehensive Loss Year Ended December 31, 2017 (In thousands) Net loss $ (210,708 ) Other comprehensive loss: Reclassification adjustment for gain in net income — Unrealized gains on notes receivable arising during the year — Total other comprehensive loss — Total comprehensive loss (210,708 ) Less: comprehensive loss allocated to non-controlling interests (19,375 ) Comprehensive loss attributable to The J.G. Wentworth Company $ (191,333 ) Debtors' Condensed Combined Statement of Changes in Stockholders' Deficit Accumulated Non-controlling Interest Additional Paid-In- Treasury Stock Common Stock - Class A Common Stock - Class B Total Shares Dollars Shares Dollars Shares Dollars December 31, 2016 $ (117,622 ) $ (26,471 ) $ 105,823 542,072 $ (2,138 ) 15,730,473 $ — 8,710,158 $ — $ (40,408 ) Net loss (191,333 ) (19,375 ) — — — — — — — (210,708 ) Share-based compensation — 468 570 — — — — (9,871 ) — 1,038 Capital distributions — (15 ) — — — — — — — (15 ) Issuance of Class A common stock for vested equity awards — — — — — 9,681 — — — — Exchange of JGW LLC common interests into Class A common stock — 176 (176 ) — — 70,549 — (70,549 ) — — December 31, 2017 $ (308,955 ) $ (45,217 ) $ 106,217 542,072 $ (2,138 ) 15,810,703 $ — 8,629,738 $ — $ (250,093 ) Debtors' Condensed Combined Statement of Cash Flows Year Ended December 31, 2017 (In thousands) Cash flows from operating activities: Net loss $ (210,708 ) Adjustments to reconcile net loss to net cash used in operating activities: Amortization of intangibles 487 Amortization of debt issuance costs 5,370 Accretion of interest expense 2,998 Share-based compensation expense 1,038 Deferred income taxes, net 9,348 (Increase) decrease in operating assets: Due from affiliates (98,852 ) Investment in non-debtor subsidiaries (17,373 ) Other assets (1,304 ) (Decrease) increase in operating liabilities: Accrued expenses and accounts payable (76 ) Accrued interest 6,581 Due to affiliates 142,390 TRA obligations 160,113 Net cash provided by operating activities $ 12 Cash flows from financing activities: Capital distributions $ (17 ) Net cash used in financing activities $ (17 ) Net decrease in cash (5 ) Cash and cash equivalents at beginning of the year 5 Cash and cash equivalents at the end of the year $ — Supplemental disclosure of cash flow information: Reorganization items, net: TRA obligations $ 160,113 Professional and consulting $ 1,257 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events The Company has assessed subsequent events through April 2, 2018 . Amended and Restated Certificate of Incorporation of The J.G. Wentworth Company On January 25, 2018, in connection with the Company’s emergence from bankruptcy and upon the filing of the New Certificate of Incorporation with the Secretary of State of the State of Delaware, the Class A common stock, Class B common stock and Class C common stock that were issued and outstanding under the Company’s prior certificate of incorporation were canceled. In addition, the warrants issued to PGHI Corp. were canceled. On January 25, 2018, the Company amended and restated its certificate of incorporation (the "New Certificate of Incorporation") to provide for, among other things, the authorization of 225,000,000 shares of new Class A common stock, (the "New Class A common stock"), par value $0.00001 per share, and 25,000,000 shares of new Class B common stock, (the "New Class B common stock"), par value $0.00001 per share. The Company is not authorized to issue any shares of preferred stock under the New Certificate of Incorporation. The powers, preferences, and rights and the qualifications, limitations, and restrictions of the New Class A Common Stock and the New Class B Common Stock are included the New Certificate of Incorporation. Holders of New Class A common stock, which include previous holders of the Term Loan Claims, TRA Claims and participants in the Management Incentive Plan, are entitled to one vote for each share held of record on all matters submitted to a vote of stockholders. Upon dissolution, liquidation or winding up, holders of New Class A common stock are entitled to a pro rata distribution of any assets available for distribution to common stockholders, and do not have preemptive, subscription, redemption, or conversion rights. Holders of New Class B common stock, which include the JLL Holders, are entitled to one vote for each share held of record on all matters submitted to a vote of stockholders. Holders of New Class B common stock do not have any right to receive dividends and upon liquidation, dissolution or winding up. In addition, on the Effective Date, the Company entered into a stockholders agreement with all of its stockholders. The stockholders agreement provides that our Board of Directors will include one director designated by Axar Capital Management LP, one director designated by HPS Investor Partners, LLC and one director designated by Waddell & Reed Investment Management Company, in each case so long as such stockholder has an ownership percentage of at least 13% of the Company’s stock. The stockholders agreement also provides for other customary rights and obligations, including “tag along” rights, “drag along” obligations and information rights. Amended and Restated JGW LLC Operating Agreement On January 25, 2018, the Operating Agreement of JGW LLC was amended and restated. Pursuant to the operating agreement of JGW LLC, the holders of JGW LLC Common Interests have the right, subject to terms of the operating agreement, to exchange their Common Interests and an equal number of shares of New Class B common stock for an equivalent number of shares of New Class A common stock. Other than those previously disclosed herein and within Note 1, there have been no subsequent events that occurred during such period that would require disclosure in, or would be required to be recognized in, these consolidated financial statements. Impact on Net Operating Loss Carryforwards Under the Plan, the Company's pre-petition debt and certain other obligations were canceled and extinguished. Absent an exception, the Company will recognize significant cancellation of debt income ("CODI") upon discharge of its outstanding indebtedness for an amount of consideration that is less than its adjusted issue price. In accordance with Section 108 Internal Revenue Code of 1986 (the "Code"), the Company will exclude the amount of discharged indebtedness from taxable income since the Code provides that a debtor in a bankruptcy may exclude CODI from income but must reduce certain tax attributes by the amount of CODI realized as a result of the consummation of a plan of reorganization. The amount of CODI is the adjusted issue price of any indebtedness discharged less than the sum of (i) the amount of cash paid, (ii) the issue price of any new indebtedness issued, and (iii) the fair market value of any other consideration, including equity, issued. As a result of the CODI and in accordance with Code, the Company will reduce our NOL carryovers and limit its ability to utilize its NOLs. |
Summary of Significant Accoun40
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP"). In the opinion of management, the consolidated financial statements reflect all adjustments which are necessary for a fair presentation of financial position, results of operations, and cash flows for the periods presented. All such adjustments are of a normal and recurring nature. Effective on December 12, 2017, the Company began to apply ASC 852, which is applicable to companies under Chapter 11 bankruptcy protection. It requires the financial statements for periods subsequent to the Chapter 11 filing to distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business and to be reported separately as reorganization items, net in the consolidated statements of operations. In addition, the consolidated balance sheet must distinguish debtor pre-petition liabilities subject to compromise ("LSTC") from pre-petition liabilities that are not subject to compromise and from post-petition liabilities in the accompanying consolidated balance sheet. Where there is uncertainty about whether a secured claim will be paid or impaired under the Chapter 11 proceedings, the entire amount of the claim was classified as a LSTC. LSTC include the all claims and obligations arising under or relating to the Term Loan Payable (the "Term Loan Claims") and all claims and obligations arising under or relating to the tax receivable agreement (the "TRA obligations"). LSTC include unsecured or under-secured liabilities incurred prior to the Petition Date. These liabilities represent the amounts expected to be allowed on known or potential claims to be resolved through the Chapter 11 Cases and remain subject to future adjustments based on negotiated settlements with claimants, actions of the Bankruptcy Court, rejection of executory contracts, proofs of claims or other events. Additionally, LSTC also include certain items that may be assumed under a plan of reorganization, and as such, may be subsequently reclassified to LSTC. Generally, actions to enforce or otherwise effect payment of prepetition liabilities are subject to the automatic stay or an approved motion of the Bankruptcy Court. Reorganization items, net on the Company's consolidated statement of operations represent amounts incurred after the petition date, December 12, 2017 (the "Petition Date") as a direct result of the bankruptcy. The filing by the Company of Chapter 11 Cases qualified as a Material Breach under a tax receivable agreement ("TRA"). Consequently, all obligations under the TRA were accelerated and the claimants were owed the present value of all future tax attributes, subject to certain discounting and based on assumptions regarding the remaining payments expected to be made under the TRA. The TRA obligations was estimated to be $160.1 million . In addition, reorganization items, net comprise of legal and professional fees in the amount of $1.3 million . As of the Petition Date through December 31, 2017 , the Company ceased recording interest expense on outstanding pre-petition LSTC of approximately $1.8 million . The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the amounts of revenues and expenses during the reporting periods. The most significant balance sheet accounts that could be affected by such estimates are variable interest entity ("VIE") finance receivables, at fair value; other finance receivables, at fair value; mortgage loans held for sale, at fair value; mortgage servicing rights, at fair value; intangible assets, net of accumulated amortization; goodwill; VIE derivative liabilities, at fair value; and VIE long-term debt issued by securitization and permanent financing trusts, at fair value. Actual results could differ from those estimates and such differences could be material. The accompanying consolidated financial statements include the accounts of the Corporation, its wholly-owned subsidiaries, other entities in which the Company has a controlling financial interest and those entities that are considered VIEs where the Company has been determined to be the primary beneficiary in accordance with ASC 810, Consolidation ("ASC 810"). |
Consolidation | Consolidation The consolidated financial statements include the accounts of The J.G. Wentworth Company, its wholly-owned subsidiaries, and other entities in which the Company has a controlling financial interest, and those variable interest entities where the Company's wholly-owned subsidiaries are the primary beneficiaries. All material intercompany balances and transactions are eliminated in consolidation. In the normal course of business, the Company is involved with various entities that are considered to be VIEs. A VIE is an entity that has either a total investment that is insufficient to permit the entity to finance its activities without additional subordinated financial support or whose equity investors lack the characteristics of a controlling financial interest under the voting interest model of consolidation. The Company is required to consolidate any VIE for which it is determined to be the primary beneficiary. The primary beneficiary is the entity that has the power to direct those activities of the VIE that most significantly impact the VIE's economic performance and has the obligation to absorb losses from or the right to receive benefits from the VIE that could potentially be significant to the VIE. The Company reviews all significant interests in the VIEs it is involved with including consideration of the activities of the VIEs that most significantly impact the VIEs' economic performance and whether the Company has control over those activities. As a result of adopting ASC 810, the Company determined it was the primary beneficiary of the VIEs used to securitize its finance receivables ("VIE finance receivables"). The Company elected the fair value option with respect to assets and liabilities in its securitization VIEs as part of their initial consolidation on January 1, 2010. On an ongoing basis, the Company assesses whether or not it is the primary beneficiary of a VIE or whether the Company has acquired or divested the power to direct the activities of the VIE through changes in governing documents or other circumstances. The reassessment also considers whether the Company has acquired or disposed of a financial interest that could be significant to the VIE. As a result of this assessment, the consolidation status of the legal entities with which the Company is involved may change. As of December 31, 2017 , there was no change in the consolidation status of the legal entities with which the Company is involved. The debt issued by the Company's securitization VIEs is reported on the Company's consolidated balance sheets as VIE long-term debt issued by securitization and permanent financing trusts, at fair value ("VIE securitization debt"). The VIE securitization debt is recourse solely to the VIE finance receivables held by such special purpose entities ("SPEs") and is non-recourse to the Company and its other consolidated subsidiaries. The VIEs will continue in operation until all securitization debt is paid and all residual cash flows are collected. As a result of the long lives of many finance receivables purchased and securitized by the Company, most consolidated VIEs have expected lives in excess of 20 years. The Company acquires receivables associated with structured settlement payments from individuals in exchange for cash, and these receivables are carried at fair value in VIE finance receivables, at fair value, and Other finance receivables, at fair value, on the Company's consolidated balance sheets. Unearned income is calculated as the amount the fair value exceeds the cost basis of the receivables. Unearned income on VIE and other finance receivables is recognized as interest income using the effective interest method over the life of the related structured settlement. Changes in fair value are recorded in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. The Company, through its subsidiaries, sells finance receivables to SPEs. An SPE issues notes secured by undivided interests in the receivables. Payments due on these notes generally correspond to receipts from the receivables in terms of the timing of payments due. The Company retains an interest in the SPEs and is deemed to have control over these SPEs due to the Company's servicing or subservicing role and therefore consolidates these SPEs. |
Fair Value Measurements | Fair Value Measurements Under ASC 820, Fair Value Measurement ("ASC 820"), fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the orderly transaction between market participants at the measurement date. Fair value measurement establishes a fair value hierarchy that prioritizes the inputs of valuation techniques used to measure fair value. These three levels of fair value hierarchy are defined as follows: • Level 1 - inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date. • Level 2 - inputs to the valuation methodology include quoted prices in markets that are not active or quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. • Level 3 - inputs to the valuation methodology are unobservable. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Fair value is a market based measure considered from the perspective of a market participant who holds the assets or owes the liabilities rather than an entity specific measure. Therefore, even when market assumptions are not readily available, the Company's own assumptions are set to reflect those that market participants would use in pricing the assets or liabilities at the measurement date. The Company uses valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The Company also evaluates various factors to determine whether certain transactions are orderly and may make adjustments to transactions or quoted prices when the volume and level of activity for an asset or liability have decreased significantly. The above conditions could cause certain assets and liabilities to be reclassified from Level 1 to Level 2 or Level 3 or reclassified from Level 2 to Level 3. The inputs or methodology used for valuing the assets or liabilities are not necessarily an indication of the risk associated with the assets and liabilities. |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when the following conditions have been satisfied: (1) the transferred assets have been isolated from the Company, beyond the reach of the Company and its creditors; (2) the transferee obtains the right to pledge or exchange the transferred assets; and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets or through an agreement that permits the transferee to require the transferor to repurchase the transferred financial assets that is so favorable to the transferee that it is probable that the transferee will require the transferor to repurchase them. Transfers that do not meet the criteria to be accounted for as sales are accounted for as secured borrowings. The amendments to ASC 860, Transfers and Servicing ("ASC 860"), eliminated the concept of a qualified special purpose entity, changed the requirements for derecognizing financial assets, and required additional disclosures about transfers of financial assets, including securitization transactions and continuing involvement with transferred financial assets. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all cash accounts, which are not subject to withdrawal restrictions or penalties, and all highly liquid debt instruments purchased with an initial maturity of three months or less to be cash equivalents. Cash and cash equivalents are carried at cost plus accrued interest, which approximates fair value due to the short maturities of these investments. |
Restricted Cash and Investments | Restricted Cash and Investments Restricted cash balances represent the use of trust or escrow accounts to secure the cash assets managed by the Company, certificates of deposit supporting letters of credit and warehouse lines of credit, customer purchase holdbacks, collateral collections and split payment collections, cash held in association with securitizations pending delivery of the second pool of assets and collateral for broker dealer margin calls. The Structured Settlements segment acts as the master servicer and/or the subservicer for structured settlements and annuities, lottery winnings and pre-settlements. The Home Lending segment acts as master servicer for its mortgage loan servicing portfolio. Trust accounts are established for collections with payments being made from the restricted cash accounts to the lenders and other appropriate parties on a monthly basis in accordance with the applicable loan agreements or indentures. At certain times, the Company has cash balances in excess of FDIC insurance limits of $250,000 for interest-bearing accounts, which potentially subject the Company to market and credit risks. The Company has not experienced any losses to date as a result of these risks. Restricted investments in the amounts of $3.9 million and $4.6 million as of December 31, 2017 and 2016 , respectively, include certificates of deposit which are pledged to meet certain state requirements in order to conduct business in certain states. The certificates of deposit are carried at face value inclusive of interest, which approximates fair value as such instruments are renewed annually. |
Allowance for Losses on Receivables | Allowance for Losses on Receivables The Company maintains an allowance for losses on receivables which represents management's estimate for losses inherent in the portfolio. The Company determines the adequacy of its allowance based upon an evaluation of the finance receivables' collateral, the financial strength of the related insurance company that issued the structured settlement, current economic conditions, historical loss experience, known and inherent risks in the portfolios and other relevant factors. Defaulted payment balances that are deemed uncollectible are charged against the allowance for losses on receivables, and subsequent recoveries, if any, are credited to the allowance. On an ongoing basis, the Company reviews the ability to collect all amounts owed on VIE and other finance receivables carried at amortized cost. |
Mortgage Loans Held for Sale, at Fair Value | Mortgage Loans Held for Sale, at Fair Value Mortgage loans held for sale are carried at fair value with changes in the fair value recognized in current period earnings and included within realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs in the consolidated statements of operations. At the date of funding of the mortgage loan held for sale, the funded amount of the loan plus the related derivative asset or liability of the associated interest rate lock commitment ("IRLC") becomes the initial recorded investment in the mortgage loan held for sale. Such amount is expected to approximate the fair value of the loan. The fair value of mortgage loans held for sale is calculated using observable market information including pricing from actual market transactions, investor commitment prices, or broker quotations. Gains and losses from the sale of mortgages are recognized in earnings based upon the difference between the sales proceeds and carrying value of the related loans upon sale. Origination fees and costs are recognized in earnings at the time of funding. Gains and losses from the sale of mortgages and origination fees and costs are recorded in realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs in the Company's consolidated statements of operations. |
Mortgage Servicing Rights, at Fair Value | Mortgage Servicing Rights, at Fair Value Mortgage servicing rights ("MSRs") are contractual arrangements where the rights to service existing mortgages are either retained by the original lender or sold to other parties who specialize in the various functions of servicing mortgages. MSRs are initially recorded at fair value at the time the underlying loans are sold. The Company records the changes in fair value in changes in mortgage servicing rights, net, in the Company's consolidated statements of operations. To determine the fair value of the MSRs, the Company uses a discounted cash flow approach incorporating assumptions that management believes market participants would use in estimating future net servicing income, including estimates of the contractual service fees, ancillary income and late fees, the cost of servicing, the discount rate, float earning value, inflation rate, prepayment speeds and default rates. The Company elected to subsequently measure its existing MSRs portfolio using the fair value method, in which MSRs are measured at fair value each reporting period and changes in fair value are recorded in earnings in the period in which changes in value occur. Changes in the fair value of MSRs are included in the changes in mortgage servicing rights, net, in the consolidated statements of operations. |
Premises and equipment | Premises and equipment Premises and equipment are stated at cost, net of accumulated depreciation or amortization and are comprised primarily of computer equipment, office furniture and software licensed from third parties. Depreciation and amortization is computed using the straight-line method over the estimated useful lives of the individual assets. For assets under capital lease obligations and leasehold improvements, amortization is computed over the lesser of the estimated useful lives of the improvements or the lease term. The estimated useful lives of the assets range from 3 to 10 years. |
Intangible Assets | Intangible Assets The Company has both finite lived and indefinite lived intangible assets, which are accounted for under ASC 350, Intangibles - Goodwill and Other ("ASC 350") and ASC 360, Property, Plant and Equipment ("ASC 360"). Indefinite-lived intangible assets are tested for impairment whenever events or changes in circumstances suggest that an asset's carrying value may not be fully recoverable, and are tested at least annually. An impairment loss, if any, calculated as the difference between the estimated fair value and the carrying value of an asset, is recognized if the sum of the estimated undiscounted cash flows relating to the asset is less than the corresponding carrying value. The Company's indefinite-lived intangible assets consist of licenses and approvals. Finite-lived intangible assets consist primarily of databases, customer relationships, trade names and affinity relationships. The Company's databases are amortized over their estimated useful lives of 10 years . Customer relationships are amortized over their estimated useful lives of 3 years to 15 years . Amortizable trade names are amortized over their useful life of 3 years . Affinity relationships are amortized over their estimated useful life of 10 years . |
Business Combinations | Business Combinations The Company records the identifiable assets acquired, the liabilities assumed, and any non-controlling interests of companies that are acquired at their estimated fair value as of the date of acquisition, and includes the results of operations from the date of the acquisition in the consolidated statement of operations. The Company recognizes, as goodwill, the excess of the acquisition price over the estimated fair value of the net assets acquired. |
Goodwill | Goodwill Goodwill represents the excess of the purchase price over the fair value of the net assets acquired in a business combination, and is accounted for under ASC 350. Goodwill has an indefinite useful life and is evaluated for impairment at the reporting-unit level on an annual basis during the fourth quarter or more frequently if events or changes in circumstances indicate potential impairment between annual measurement dates. The Company has the option of performing a qualitative assessment of impairment to determine whether any further quantitative testing for impairment is necessary. Prior to the third quarter of 2017, a two-step process was used. The initial qualitative approach assesses whether the existence of events or circumstances lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events and circumstances, the Company determines it is more likely than not that the fair value is less than carrying value, a two-step quantitative impairment test is performed. A step 1 analysis involves calculating the fair value of the associated reporting unit and comparing it to the reporting unit's carrying value. If the fair value of the reporting unit exceeds the carrying value of the reporting unit including goodwill and the carrying value of the reporting unit is positive, goodwill is considered not to be impaired and no further analysis is required. In 2017 the Company early adopted ASU 2017-04 (as described under "Recently Adopted Accounting Pronouncements"). The adoption of ASU 2017-04 does not impact the Company’s eligibility to continue to take advantage of the extended transition periods afforded to emerging growth companies under the JOBS Act. |
Marketable Securities | Marketable Securities Assets acquired through the Company's installment sale transaction structure (the "Asset Advantage ® program") are invested in a diverse portfolio of marketable debt and equity securities. Marketable securities are considered trading securities and are carried at fair value in accordance with ASC 820 with realized and unrealized gains and losses included in realized and unrealized gains (losses) on marketable securities, net, in the Company's consolidated statements of operations and classified as Level 1 or Level 2 assets in the valuation hierarchy of fair value measurements. Marketable securities are held for resale in anticipation of fluctuations in market prices. Marketable securities are recorded in marketable securities, at fair value, on the Company's consolidated balance sheets. Interest on debt securities is recognized in interest income as earned and dividend income on marketable equity securities is recognized in interest income on the ex-dividend date in the Company's consolidated statements of operations. |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities The Company holds derivative instruments that do not qualify for hedge accounting treatment as defined by ASC 815, Derivatives and Hedging ("ASC 815"). The objective for holding these instruments is to economically offset variability in forecasted cash flows associated with interest rate fluctuations. Interest rate swaps are recorded at fair value in VIE derivative liabilities, at fair value, on the Company's consolidated balance sheets with changes in fair value recorded in realized and unrealized gains on VIE and other finance receivables, long-term debt and derivatives in the Company's consolidated statements of operations. The Company also enters into commitments to originate and purchase mortgage loans at interest rates that are determined prior to the funding or purchase of the loan. IRLCs are considered freestanding derivatives and are recorded at fair value at inception. Changes in fair value subsequent to inception are based on the change in fair value of the underlying loan and changes in the probability that the loan will fund within the terms of the commitment. The Company uses derivative financial instruments, primarily forward sales commitments, to manage exposure to interest rate risk and changes in the fair value of IRLCs and mortgage loans held for sale. The Company may also enter into commitments to sell mortgage backed securities ("MBS") as part of its overall hedging strategy. The Company has elected not to apply hedge accounting to these freestanding derivatives. The fair value of freestanding derivatives is recorded in other assets or other liabilities on the Company's consolidated balance sheets with changes in fair value included in realized and unrealized gains on sale of mortgage loans held for sale, net of direct costs, in the consolidated statements of operations. |
Loans Eligible for Repurchase from Ginnie Mae | Loans Eligible for Repurchase from Ginnie Mae For certain loans that the Company securitized with Ginnie Mae, the Company has the unilateral right to repurchase any individual loan if that loan meets certain criteria, including being delinquent greater than 90 days or in default. As a result of this unilateral right, the Company must recognize the delinquent loans on its consolidated balance sheets and establish a corresponding liability regardless of the Company's intention to repurchase the loan. The amount of loans eligible for repurchase from Ginnie Mae and the liability for loans eligible for repurchase from Ginnie Mae are included in other assets and other liabilities, respectively, on the Company's consolidated balance sheets. |
Income Taxes | Income Taxes Tax laws are complex and subject to different interpretations by the taxpayer and respective taxing authorities. The United States recently enacted comprehensive tax reform legislation known as the Tax Cuts and Jobs Act (the "2017 Tax Act") that, among other things, reduces the U.S. federal corporate income tax rate from 35% to 21% and we are required to re-measure our deferred tax assets and liabilities using the enacted rate at which we expect them to be recovered or settled. In response, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the 2017 Tax Act and allows the registrant to record provisional amounts during a measurement period not to extend beyond one year of the enactment date. We have analyzed the provisional impacts related to the one-time transition tax and determined there is no impact to the deferred tax balances included in our consolidated financial statements for the year ended December 31, 2017. The ultimate impact may materially differ from these provisional amounts, due to, among other things, additional analysis, changes in interpretations and assumptions we have made, additional regulatory guidance that may be issued, and actions we may take as a result of the Tax Act. JGW LLC and the majority of its subsidiaries operate in the U.S. as non-tax paying entities, and are treated as disregarded entities for U.S. federal and state income tax purposes and generally as corporate entities in non-U.S. jurisdictions. In addition, certain of JGW LLC's wholly-owned subsidiaries are operating as corporations within the U.S. and subject to U.S. federal and state tax. As non-tax paying entities, the majority of JGW LLC's net income or loss is attributable to its members and included in their tax returns. The current and deferred income tax provision (benefit) relates to both the income (loss) attributable to the Corporation from JGW LLC and to the tax-paying subsidiaries of JGW LLC. Income taxes are accounted for using the liability method of accounting in accordance with ASC 740, Income Taxes . Under this method, deferred tax assets and liabilities are recognized for the expected future tax consequences of the differences between the carrying amounts of assets and liabilities and their respective tax basis, using currently enacted tax rates. The effect on deferred assets and liabilities of a change in tax rates is recognized in income in the period when the change is enacted. Deferred tax assets are reduced by a valuation allowance when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in these jurisdictions. If, based on this analysis, the Company determines that uncertainties in tax positions exist, a reserve will be established. The Company will recognize accrued interest and penalties related to uncertain tax positions in the Company's consolidated statements of operations. |
Segment Reporting | Segment Reporting The Company reports operating segments in accordance with ASC 280. Operating segments are components of an entity for which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and assess performance. ASC 280 requires that a public entity report a measure of segment profit or loss, certain specific revenue and expense items, segment assets, and information on the way that the Company identified its operating segments. The Company's business segments are determined based on products and services offered, as well as the nature of the related business activities, and they reflect the manner in which financial information is currently evaluated by management. The Company has identified the following two reportable segments: (i) Structured Settlements and (ii) Home Lending. The Company's Structured Settlements segment also includes corporate activities, payment solutions, pre-settlements and providing (i) access to providers of personal lending and (ii) access to providers of funding for pre-settled legal claims. |
Interest Income, Loan Servicing Fees and Other Revenue Recognition | Interest Income Interest income on mortgage loans held for sale is accrued and is based upon the principal amount outstanding and contractual interest rates. Income recognition is discontinued when loans become 90 days delinquent or when, in management's opinion, the collectability of principal and interest becomes doubtful and the mortgage loans held for sale are put on a non-accrual basis. When the loan is placed on non-accrual status, the related interest receivable is reversed against interest income of the current period. If a non-accrual loan is returned to accrual status, the accrued interest existing at the date the residential loan is placed on non-accrual status and interest during the non-accrual period are recorded as interest income as of the date the loan no longer meets the non-accrual criteria. For finance receivables, the Company suspends recognizing interest income when it is probable that the Company will be unable to collect all payments according to the contractual terms of the underlying agreements. Management considers all information available in assessing collectability. Collectability is measured on a receivable-by-receivable basis by either the present value of estimated future cash flows discounted at the effective rate, the observable market price for the receivable or the fair value of the collateral if the receivable is collateral dependent. Large groups of smaller balance homogeneous receivables, such as pre-settlement funding transactions, are collectively assessed for collectability. A receivable is charged off when in the Company's judgment, the receivable or portion of the receivable is considered uncollectible. Payments received on past due receivables and finance receivables the Company has suspended recognizing interest income on are applied first to principal and then to accrued interest. Interest income on past due receivables and finance receivables, if received, is recorded using the cash basis method of accounting. Additionally, the Company generally does not resume recognition of interest income once it has been suspended. Loan Servicing Fees Loan servicing fees associated with mortgage loan operations represent revenue earned for servicing loans for various investors and are included in servicing, broker, and other fees in the consolidated statements of operations. The loan servicing fees are based on a contractual percentage of the outstanding principal balance and are recognized into income when earned. Loan servicing expenses are charged to operations as incurred, and included in direct subservicing costs in the Company's consolidated statements of operations. Other Revenue Recognition Servicing, broker, and other fees in the Company’s consolidated statements of operations primarily include broker fees and subservicing fees earned from servicing structure settlement contracts. Broker fee income is recognized when the contract between the purchasing counterparty and the seller is closed for the sale of receivables. |
Share-Based Compensation | Share-Based Compensation The Company applies ASC 718, Compensation - Stock Compensation ("ASC 718"), which requires that the compensation cost relating to share-based payment transactions, based on the fair value of the equity or liability instruments issued, be included in the Company's consolidated statements of operations. The Company has determined that these share-based payment transactions represent equity awards under ASC 718 and therefore measures the cost of employee services received in exchange for share-based compensation on the grant-date fair value of the award, and recognizes the cost over the period the employee is required to provide services for the award. For all grants or modifications of stock options, the fair value at the grant date is calculated using option pricing models based on the value of the entity's shares at the award or modification date. Compensation expense for performance-based restricted stock units is recognized ratably from the date of the grant until the date the restrictions lapse and is based on the trading price of the Class A common stock on the date of grant or modification and the probability of achievement of the specific performance-based goals. In 2016, the Company modified the terms of stock options granted to its employees and may do so again in the future. The Company accounts for the incremental increase in the fair value over the original award on the date of the modification as an expense for vested awards and over the remaining service (vesting) period for unvested awards. The incremental compensation cost is the excess of the fair value of the modified award on the date of modification over the fair value of the original award immediately before the modification. Share-based compensation expense is included in compensation and benefits expense in the Company's consolidated statements of operations. |
Debt Issuance Costs | Debt Issuance Costs Debt issuance costs related to liabilities for which the Company has elected the fair value option are expensed when incurred. Debt issuance costs related to liabilities for which the Company has not elected the fair value option are capitalized and amortized over the expected term of the borrowing or debt issuance. With the adoption of Accounting Standards Update ("ASU") No. 2015-03, Simplifying the Presentation of Debt Issuance Costs ("ASU 2015-03") and ASU No. 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements ("ASU 2015-15"), capitalized amounts are netted against the related debt facility on the Company's consolidated balance sheets and amortization of such costs is included in interest expense in the Company's consolidated statements of operations over the life of the debt facility. |
Advertising Expenses | Advertising Expenses Advertising costs are expensed as incurred. The costs are included in advertising expense in the Company's consolidated statements of operations. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements Effective in the third quarter of fiscal 2017, the Company adopted ASU No. 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment ("ASU 2017-04).Under ASU 2017-04, Step 2 of the goodwill impairment test has been eliminated. Step 2 of the goodwill impairment test required companies to determine the implied fair value of the reporting unit’s goodwill. Under the new guidance, companies will perform their annual, or interim, goodwill impairment test by comparing the reporting unit’s carrying value, including goodwill, to the fair value. ASU 2017-04 also eliminates the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test. Therefore, the same impairment assessment applies to all reporting units. An entity still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. Early adoption of ASU 2017-04 is permitted for all entities for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company early adopted ASU 2017-04 in 2017. For its interim goodwill impairment test performed during the three months ended September 30, 2017, the Company identified events and circumstances that indicated it was more likely than not that the fair value of the reporting unit was less than its carrying value. The adoption of ASU 2017-04 does not impact the Company’s eligibility to continue to take advantage of the extended transition periods afforded to emerging growth companies under the JOBS Act. There were no balance sheet line items as of December 31, 2016 impacted by the adoption of ASU 2017-04. Effective in the fourth quarter of fiscal 2017, the Company adopted ASU No. 2015-12, Simplifying the Accounting for Measurement Period Adjustments ("ASU 2015-12). This ASU eliminates the requirement to retrospectively account for these adjustments to their respective provisional amount with a corresponding adjustment to goodwill. There was no significant impact on the Company's financial statements upon the adoption of ASU 2015-12. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of finite-lived intangible assets | Intangible assets subject to amortization include the following as of: Structured Settlements Home Lending Cost Accumulated Amortization Cost Accumulated Amortization (In thousands) December 31, 2017 Database $ 4,609 $ (4,473 ) $ — $ — Customer relationships 16,096 (15,909 ) — — Domain names 486 (473 ) — — Trade name (1) 613 (368 ) 1,095 (990 ) Affinity relationships — — 9,547 (2,308 ) Intangible assets subject to amortization $ 21,804 $ (21,223 ) $ 10,642 $ (3,298 ) December 31, 2016 Database $ 4,609 $ (4,356 ) $ — $ — Customer relationships 16,096 (15,750 ) — — Domain names 486 (461 ) — — Trade name (1) 613 (157 ) 1,095 (700 ) Affinity relationships — — 9,547 (1,354 ) Intangible assets subject to amortization $ 21,804 $ (20,724 ) $ 10,642 $ (2,054 ) (1) During the three months ended June 30, 2016, the trade name the Company acquired in connection with the Company's 2011 acquisition of Orchard Acquisition Company ("OAC") was determined to be a finite-lived asset, subject to amortization. |
Schedule of finite-lived intangible assets, future amortization expense | Estimated future amortization expense for amortizable intangible assets for each of the succeeding five calendar years and thereafter is as follows: Year Ending December 31, Estimated Future Amortization Expense (In thousands) 2018 $ 1,560 2019 1,035 2020 957 2021 954 2022 954 Thereafter 2,465 Total future amortization expense $ 7,925 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value of assets and liabilities | The following table sets forth the Company's assets and liabilities that are carried at fair value on the Company's consolidated balance sheets as of: Quoted Prices in Active Significant Other Significant Total at (In thousands) December 31, 2017 Assets Marketable securities, at fair value $ 83,251 $ 2,293 $ — $ 85,544 VIE and other finance receivables, at fair value — — 4,278,956 4,278,956 Mortgage loans held for sale, at fair value — 261,194 — 261,194 Mortgage servicing rights, at fair value — — 56,134 56,134 Interest rate lock commitments, at fair value (1) — — 16,134 16,134 Total Assets $ 83,251 $ 263,487 $ 4,351,224 $ 4,697,962 Liabilities VIE derivative liabilities, at fair value $ — $ 38,460 $ — $ 38,460 VIE long-term debt issued by securitization and permanent financing trusts, at fair value — — 4,104,778 4,104,778 Forward sale commitments, at fair value (2) — 623 — 623 Total Liabilities $ — $ 39,083 $ 4,104,778 $ 4,143,861 (1) Included in other assets on the Company's consolidated balance sheets. (2) Included in other liabilities on the Company's consolidated balance sheets. Quoted Prices in Active Significant Other Significant Total at (In thousands) December 31, 2016 Assets Marketable securities, at fair value $ 74,421 $ 2,266 $ — $ 76,687 VIE and other finance receivables, at fair value — — 4,157,037 4,157,037 Mortgage loans held for sale, at fair value — 232,770 — 232,770 Mortgage servicing rights, at fair value — — 41,697 41,697 Interest rate lock commitments, at fair value (1) — — 6,072 6,072 Forward sale commitments, at fair value (1) — 659 — 659 Total Assets $ 74,421 $ 235,695 $ 4,204,806 $ 4,514,922 Liabilities VIE derivative liabilities, at fair value $ — $ 50,432 $ — $ 50,432 VIE long-term debt issued by securitization and permanent financing trusts, at fair value — — 4,014,450 4,014,450 Total Liabilities $ — $ 50,432 $ 4,014,450 $ 4,064,882 (1) Included in other assets on the Company's consolidated balance sheets. |
Schedule of the Company's quantitative information about Level 3 fair value measurements | The following table sets forth the Company's quantitative information about its Level 3 fair value measurements as of: Fair Value Valuation Technique Significant Unobservable Input Range (In thousands) December 31, 2017 Assets VIE and other finance receivables, at fair value $ 4,278,956 Discounted cash flow Discount rate 3.37% - 10.19% (4.17%) Mortgage servicing rights, at fair value 56,134 Discounted cash flow Discount rate 9.50% - 12.50% (9.95%) Prepayment speed 4.45% - 14.16% (8.87%) Cost of servicing $65 - $90 ($71) Interest rate lock commitments, at fair value 16,134 Internal model Pull-through rate 0.00% - 100.00% (79.32%) Total Assets $ 4,351,224 Liabilities VIE long-term debt issued by securitization and permanent financing trusts, at fair value 4,104,778 Discounted cash flow Discount rate 2.21% - 10.19% (4.10%) Total Liabilities $ 4,104,778 December 31, 2016 Assets VIE and other finance receivables, at fair value $ 4,157,037 Discounted cash flow Discount rate 3.16% - 12.77% (4.32%) Mortgage servicing rights, at fair value 41,697 Discounted cash flow Discount rate 9.50% - 14.06% (10.11%) Prepayment speed 6.04% - 21.82% (7.96%) Cost of servicing $65 - $90 ($73) Interest rate lock commitments, at fair value 6,072 Internal model Pull-through rate 37.25% - 97.00% (79.53%) Total Assets $ 4,204,806 Liabilities VIE long-term debt issued by securitization and permanent financing trusts, at fair value 4,014,450 Discounted cash flow Discount rate 1.47% - 11.91% (4.25%) Total Liabilities $ 4,014,450 |
Schedule of changes in assets measured at fair value using significant unobservable inputs (Level 3) | The changes in assets measured at fair value using significant unobservable inputs (Level 3) during the years ended December 31, 2017 and 2016 were as follows: VIE and other Mortgage servicing rights, at fair value Interest rate lock commitments, at fair value Total (In thousands) Balance as of December 31, 2016 $ 4,157,037 $ 41,697 $ 6,072 $ 4,204,806 Total included in earnings (losses): 0 Unrealized gains 184,368 14,437 16,134 214,939 Realized gain on sale of finance receivable 3,024 — — 3,024 Included in other comprehensive gain — — — — Purchases of finance receivables 285,868 — — 285,868 Interest accreted 173,652 — — 173,652 Payments received (505,999 ) — — (505,999 ) Sale of finance receivables (18,994 ) — — (18,994 ) Transfers to other balance sheet line items — — (6,072 ) (6,072 ) Transfers in (out) of Level 3 — — — — Balance as of December 31, 2017 $ 4,278,956 $ 56,134 $ 16,134 $ 4,351,224 The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: December 31, 2017 $ 184,368 $ 14,437 $ 16,134 $ 214,939 Balance as of December 31, 2015 $ 4,386,147 $ 29,287 $ 4,934 $ 4,420,368 Total included in earnings (losses): Unrealized gains 33,241 12,410 6,072 51,723 Realized gain on sale of finance receivable 69,598 — — 69,598 Included in other comprehensive gain — — — — Purchases of finance receivables 273,298 — — 273,298 Interest accreted 173,194 — — 173,194 Payments received (507,110 ) — — (507,110 ) Sale of finance receivables (271,331 ) — — (271,331 ) Transfers to other balance sheet line items — — (4,934 ) (4,934 ) Transfers in (out) of Level 3 — — — — Balance as of December 31, 2016 $ 4,157,037 $ 41,697 $ 6,072 $ 4,204,806 The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: December 31, 2016 $ 33,241 $ 12,410 $ 6,072 $ 51,723 |
Schedule of changes in liabilities measured at fair value using significant unobservable inputs (Level 3) | The changes in liabilities measured at fair value using significant unobservable inputs (Level 3) during the years ended December 31, 2017 and 2016 were as follows: VIE long-term debt issued (In thousands) Balance as of December 31, 2016 $ 4,014,450 Total included in (earnings) losses: Unrealized losses 87,404 Issuances 340,573 Interest accreted (10,296 ) Repayments (327,353 ) Transfers in (out) of Level 3 — Balance as of December 31, 2017 $ 4,104,778 The amount of net losses for the period included in revenues attributable to the change in unrealized gains or losses relating to long-term debt still held as of: December 31, 2017 $ 87,404 Balance as of December 31, 2015 $ 3,928,818 Total included in (earnings) losses: Unrealized losses 97,829 Issuances 337,667 Interest accreted (30,234 ) Repayments (319,630 ) Transfers in (out) of Level 3 — Balance as of December 31, 2016 $ 4,014,450 The amount of net losses for the period included in revenues attributable to the change in unrealized gains or losses relating to long-term debt still held as of: December 31, 2016 $ 97,829 |
Schedule of realized and unrealized gains and losses included in earnings in the accompanying consolidated statements of operations | Realized and unrealized gains and losses included in revenues in the accompanying consolidated statements of operations for the years ended December 31, 2017 , 2016 , and 2015 are reported in the following asset line items: VIE and other finance receivables and long-term debt, at fair value Mortgage servicing rights, at fair value Interest rate lock commitments, at fair value (In thousands) Net gains included in revenues for the year ended December 31, 2017 $ 99,988 $ 14,437 $ 16,134 Unrealized gains for the year ended December 31, 2017 relating to assets and long term debt still held as of December 31, 2017 $ 96,964 $ 14,437 $ 16,134 Net gains included in revenues for the year ended December 31, 2016 $ 5,010 $ 12,410 $ 6,072 Unrealized (losses) gains for the year ended December 31, 2016 relating to assets and long term debt still held as of December 31, 2016 $ (64,588 ) $ 12,410 $ 6,072 Net gains included in revenues for the year ended December 31, 2015 $ 70,930 $ 1,649 $ 4,934 Unrealized gains for the year ended December 31, 2015 relating to assets and long term debt still held as of December 31, 2015 $ 65,324 $ 1,649 $ 4,934 |
Schedule of estimated fair values of financial instruments | The Company discloses fair value information about financial instruments, whether or not recorded at fair value on the Company's consolidated balance sheets, for which it is practicable to estimate that value. As such, the estimated fair values of the Company's financial instruments were as follows: December 31, 2017 December 31, 2016 (In thousands) Estimated Carrying Estimated Carrying Financial assets: VIE and other finance receivables, at fair value $ 4,278,956 $ 4,278,956 $ 4,157,037 $ 4,157,037 VIE and other finance receivables, net of allowance for losses (1) 80,504 81,809 88,300 93,944 Other receivables, net of allowance for losses (1) 20,918 20,918 17,771 17,771 Mortgage loans held for sale, at fair value 261,194 261,194 232,770 232,770 Mortgage servicing rights, at fair value 56,134 56,134 41,697 41,697 Marketable securities, at fair value 85,544 85,544 76,687 76,687 Interest rate lock commitments, at fair value (2) 16,134 16,134 6,072 6,072 Forward sale commitments, at fair value (2) — — 659 659 Financial liabilities: Term loan payable (1)(4) — — 242,730 431,872 VIE derivative liabilities, at fair value 38,460 38,460 50,432 50,432 VIE borrowings under revolving credit facilities and other similar borrowings (1) 25,369 22,834 58,798 56,432 Other borrowings under revolving credit facilities and other similar borrowings (1) 252,267 253,649 229,221 229,588 VIE long-term debt (1) 55,792 58,480 57,268 62,939 VIE long-term debt issued by securitization and permanent financing trusts, at fair value 4,104,778 4,104,778 4,014,450 4,014,450 Forward sale commitments, at fair value (3) 623 623 — — Installment obligations payable (1) 85,544 85,544 76,687 76,687 Liabilities subject to compromise: Term loan payable (1)(4) 153,119 446,996 — — TRA obligations (1)(5) 6,646 160,113 — — (1)These represent financial instruments not recorded on the consolidated balance sheets at fair value. Such financial instruments would be classified as Level 3 within the fair value hierarchy. (2) Included in other assets on the Company's consolidated balance sheets. (3) Included in other liabilities on the Company's consolidated balance sheets. (4) As of December 31, 2017 , the fair value of the term loan payable was estimated based on the total enterprise value of the Company after reorganization, as determined in the Plan, as a percentage of the New Common Equity issued and allocated to all holders of the term loan payable. (5) At the time of the filing by the Company of Chapter 11 Cases, it was estimated that all claims against the Company held by the TRA's claimants were in the aggregate amount of $160.1 million . Pursuant to the Plan, on January 25, 2018, the TRA claimants received, in the aggregate, 161,961 shares of New Class A common stock, 141,384 shares of New Class B common stock and $4.8 million of cash consideration, resulting in an aggregate fair value of $6.6 million . |
VIE and Other Finance Receiva43
VIE and Other Finance Receivables, at Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
VIE and Other Finance Receivables, at Fair Value [Abstract] | |
Schedule of VIE and other finance receivables for which the fair value option was elected | VIE and other finance receivables for which the fair value option was elected consist of the following: December 31, 2017 December 31, 2016 (In thousands) Maturity value $ 6,715,441 $ 6,584,344 Unearned income (2,436,485 ) (2,427,307 ) Net carrying amount $ 4,278,956 $ 4,157,037 |
Schedule of encumbrances on VIE and other finance receivables, at fair value | Encumbrances on VIE and other finance receivables, at fair value, were as follows: Encumbrance December 31, 2017 December 31, 2016 (In thousands) VIE long-term debt issued by securitization and permanent financing trusts (2) $ 4,227,389 $ 4,060,069 $100.0 million credit facility (JGW-S III) (1) — 27,966 $150.0 million credit facility (JGW V) (1) 9,287 55,868 $75.0 million credit facility (JGW VIII) (1) 32,943 — Encumbered VIE finance receivables 4,269,619 4,143,903 Unencumbered 9,337 13,134 Total VIE and other finance receivables, at fair value $ 4,278,956 $ 4,157,037 (1) Refer to Note 14 . (2) Refer to Note 17 . |
Schedule of expected cash flows of receivables based on maturity value | As of December 31, 2017 , the expected cash flows of VIE and other finance receivables, at fair value, based on maturity value for the next five years and thereafter were as follows: Year ended December 31, Expected cash flows (In thousands) 2018 $ 496,138 2019 490,082 2020 458,467 2021 436,427 2022 409,900 Thereafter 4,424,427 Total $ 6,715,441 |
Schedule of servicing fee | Servicing fee revenue related to those receivables is included in servicing, broker, and other fees in the Company's consolidated statements of operations, and was as follows: Years Ended December 31, 2017 2016 2015 (In thousands) Servicing fee income $ 989 $ 929 $ 811 |
VIE and Other Finance Receiva44
VIE and Other Finance Receivables, net of Allowance for Losses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Schedule of VIE and other finance receivables, net of allowance for losses | The Company did not elect the fair value option for VIE and other finance receivables, net of allowance for losses, which consist of the following: December 31, 2017 December 31, 2016 (In thousands) Structured settlements and annuities $ 64,437 $ 67,872 Less: unearned income (38,764 ) (42,030 ) 25,673 25,842 Lottery winnings 55,641 63,957 Less: unearned income (13,777 ) (16,799 ) 41,864 47,158 Pre-settlement funding transactions 24,425 31,853 Less: unearned income (261 ) (441 ) 24,164 31,412 Attorney cost financing 358 616 Less: unearned income — — 358 616 VIE and other finance receivables 92,059 105,028 Less: allowance for losses (10,250 ) (11,084 ) VIE and other finance receivables, net of allowances $ 81,809 $ 93,944 |
Schedule of encumbrances on VIE and other finance receivables, net of allowance for losses | Encumbrances on VIE and other finance receivables, net of allowance for losses, were as follows: Encumbrance December 31, 2017 December 31, 2016 (In thousands) VIE long-term debt (1) $ 63,031 $ 69,354 VIE and encumbered securitized debt 63,031 69,354 VIE unencumbered assets 10,774 15,971 Non-VIE unencumbered assets 8,004 8,619 Unencumbered 18,778 24,590 Total VIE and other finance receivables, net of allowances $ 81,809 $ 93,944 (1) Refer to Note 16 . |
Schedule of expected cash flows of receivables based on maturity value | As of December 31, 2017 , the expected cash flows of VIE and other finance receivables, at fair value, based on maturity value for the next five years and thereafter were as follows: Year ended December 31, Expected cash flows (In thousands) 2018 $ 496,138 2019 490,082 2020 458,467 2021 436,427 2022 409,900 Thereafter 4,424,427 Total $ 6,715,441 |
Schedule of activity in the allowance for losses for VIE and other finance receivables | Activity in the allowance for losses for VIE and other finance receivables is as follows : Structured Lottery winnings Pre-settlement Attorney cost Total (In thousands) For the year ended December 31, 2017 Allowance for losses: Balance as of December 31, 2016 $ 93 $ — $ 10,707 $ 284 $ 11,084 Credit (provision) for loss 6 (7 ) 2,601 — 2,600 Charge-offs (27 ) — (3,431 ) — (3,458 ) Recoveries 17 7 — — 24 Balance as of December 31, 2017 $ 89 $ — $ 9,877 $ 284 $ 10,250 Individually evaluated for impairment $ 89 $ — $ 2,321 $ 284 $ 2,694 Collectively evaluated for impairment — — 7,556 — 7,556 Balance as of December 31, 2017 $ 89 $ — $ 9,877 $ 284 $ 10,250 VIE and other finance receivables, net: Individually evaluated for impairment $ 25,584 $ 41,864 $ 109 $ 74 $ 67,631 Collectively evaluated for impairment — — 14,178 — 14,178 Balance as of December 31, 2017 $ 25,584 $ 41,864 $ 14,287 $ 74 $ 81,809 For the year ended December 31, 2016 Allowance for losses: Balance as of December 31, 2015 $ 69 $ — $ 10,013 $ 284 $ 10,366 Provision for loss (91 ) 7 3,515 — 3,431 Charge-offs (32 ) (7 ) (2,821 ) — (2,860 ) Recoveries 147 — — — 147 Balance as of December 31, 2016 $ 93 $ — $ 10,707 $ 284 $ 11,084 Individually evaluated for impairment $ 93 $ — $ 2,091 $ 284 $ 2,468 Collectively evaluated for impairment — — 8,616 — 8,616 Balance as of December 31, 2016 $ 93 $ — $ 10,707 $ 284 $ 11,084 VIE and other finance receivables, net: Individually evaluated for impairment $ 25,749 $ 47,158 $ 85 $ 332 $ 73,324 Collectively evaluated for impairment — — 20,620 — 20,620 Balance as of December 31, 2016 $ 25,749 $ 47,158 $ 20,705 $ 332 $ 93,944 |
Schedule of gross pre-settlement funding transactions based on their year of origination | The following table presents gross finance receivables related to pre-settlement funding transactions based on their year of origination as of: Year of Origination December 31, 2017 December 31, 2016 (In thousands ) 2009 $ 416 $ 690 2010 1,609 1,848 2011 2,816 3,891 2012 2,769 4,279 2013 2,619 5,390 2014 12,037 13,085 2015 2,159 2,670 Total $ 24,425 $ 31,853 |
Schedule of portfolio delinquency status excluding presettlement funding transactions and attorney cost financing | The following table presents portfolio delinquency status excluding pre-settlement funding transactions and attorney cost financing as of: 30-59 60-89 Greater Total Current VIE and Other VIE and Other (In thousands) December 31, 2017 Structured settlements and annuities $ 10 $ 7 $ 146 $ 163 $ 25,421 $ 25,584 $ — Lottery winnings — 119 59 178 41,686 41,864 — Total $ 10 $ 126 $ 205 $ 341 $ 67,107 $ 67,448 $ — December 31, 2016 Structured settlements and annuities $ 11 $ 5 $ 88 $ 104 $ 25,645 $ 25,749 $ — Lottery winnings — 4 205 209 46,949 47,158 — Total $ 11 $ 9 $ 293 $ 313 $ 72,594 $ 72,907 $ — |
VIE and Other Finance Receivables, net | Structured settlements, annuities and lottery winnings | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Schedule of expected cash flows of receivables based on maturity value | As of December 31, 2017 , the expected cash flows of structured settlements, annuities and lottery winnings based on maturity value for the next five years and thereafter are as follows: Year Ended December 31, Expected cash flows (In thousands) 2018 $ 13,232 2019 10,085 2020 10,267 2021 10,530 2022 10,349 Thereafter 65,615 Total $ 120,078 |
Other Receivables, Net of All45
Other Receivables, Net of Allowance for Losses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Schedule of other receivables | Other receivables include the following as of: December 31, 2017 December 31, 2016 (In thousands) Advances receivable $ 1,922 $ 1,800 Notes receivable 10,513 9,627 Tax withholding receivables on lottery winnings 246 246 Broker fee receivable 414 984 Other 8,096 5,394 Other receivables, gross 21,191 18,051 Less: allowance for losses (273 ) (280 ) Other receivables, net of allowances for losses $ 20,918 $ 17,771 |
Schedule of activity in the allowance for doubtful accounts for other receivables | Activity in the allowance for doubtful accounts for other receivables for the following years ended was as follows: December 31, 2017 December 31, 2016 (In thousands) Beginning balance $ 280 $ 273 Provision for losses (4 ) 12 Recoveries — (5 ) Charge-offs (3 ) — Ending balance $ 273 $ 280 |
Mortgage Loans Held for Sale,46
Mortgage Loans Held for Sale, at Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Schedule of mortgage loans held for sale | Mortgage loans held for sale, at fair value, were as follows: December 31, 2017 December 31, 2016 (In thousands) Unpaid principal balance of mortgage loans held for sale $ 253,427 $ 230,261 Fair value adjustment 7,767 2,509 Mortgage loans held for sale, at fair value $ 261,194 $ 232,770 A reconciliation of the changes in mortgage loans held for sale, at fair value, is presented in the following table: Years Ended December 31, 2017 2016 (In thousands) Balance at beginning of period $ 232,770 $ 124,508 Originations and purchases of mortgage loans held for sale, net of fees 3,789,972 3,441,939 Proceeds from sale of and principal payments on mortgage loans held for sale (3,817,815 ) (3,408,065 ) Net change in fair value of mortgage loans held for sale 56,267 74,388 Balance at end of period $ 261,194 $ 232,770 |
Schedule of activity in the loan indemnification reserve | The activity in the loan servicing and repurchase reserve was as follows: Years Ended December 31, 2017 2016 (In thousands) Balance at beginning of period $ 3,010 $ 2,575 Provision for loan servicing and repurchases 2,264 2,527 Write-offs, net (2,057 ) (2,092 ) Balance at end of period $ 3,217 $ 3,010 |
Mortgage Servicing Rights, at47
Mortgage Servicing Rights, at Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Transfers and Servicing [Abstract] | |
Summary of activity of mortgage servicing rights | The activity of MSRs was as follows: Years Ended December 31, 2017 2016 (In thousands) Balance at beginning of year $ 41,697 $ 29,287 Additions due to loans sold, servicing retained 20,812 17,294 Reductions due to loan payoffs and foreclosures (8,201 ) (7,178 ) Fair value adjustment 1,826 2,294 Mortgage servicing rights, at fair value $ 56,134 $ 41,697 |
Schedule of assumptions for fair value of mortgage servicing rights | The key assumptions used in determining the fair value of the Company's MSRs were as follows: December 31, 2017 December 31, 2016 Range (Weighted Average) Discount rate 9.50% - 12.50% (9.95%) 9.50% - 14.06% (10.11%) Prepayment speed 4.45% - 14.16% (8.87%) 6.04% - 21.82% (7.96%) Cost of servicing $65 - $90 ($71) $65 - $90 ($73) |
Schedule of sensitivity analysis of fair value of mortgage servicing rights | The hypothetical effect of an adverse change in these key assumptions that would result in a decrease in fair values is as follows: December 31, 2017 December 31, 2016 (In thousands) Discount rate: Effect on value - 100 basis points adverse change $ (2,170 ) $ (1,612 ) Effect on value - 200 basis points adverse change $ (4,184 ) $ (3,109 ) Prepayment speed: Effect on value - 5% adverse change $ (990 ) $ (686 ) Effect on value - 10% adverse change $ (1,945 ) $ (1,370 ) Cost of servicing: Effect on value - 5% adverse change $ (410 ) $ (327 ) Effect on value - 10% adverse change $ (820 ) $ (653 ) |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of premises and equipment | Premises and equipment includes the following as of: December 31, 2017 December 31, 2016 (In thousands) Computer software and equipment $ 8,469 $ 7,612 Furniture, fixtures and equipment 6,292 5,975 Leasehold improvements 1,324 1,115 Total fixed assets at cost 16,085 14,702 Less: accumulated depreciation (12,931 ) (10,697 ) Premises and equipment, net of accumulated depreciation $ 3,154 $ 4,005 |
Debt Issuance Costs (Tables)
Debt Issuance Costs (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Issuance Costs | |
Schedule of debt issuance costs | Debt issuance costs consist of the following as of: December 31, 2017 December 31, 2016 (In thousands) Debt issuance costs $ 40,355 $ 44,717 Less: accumulated amortization (31,498 ) (31,250 ) Unamortized debt issuance costs $ 8,857 $ 13,467 |
Schedule of debt issuance costs included in debt issuance expense | Debt issuance costs related to VIE long-term debt issued by securitization and permanent financing trusts, at fair value, are expensed as incurred and included in debt issuance expense in the Company's consolidated statements of operations, and were as follows for the years ended December 31: 2017 2016 2015 (In thousands) Debt issuance costs related to securitizations $ 5,878 $ 5,117 $ 6,741 |
Operating and Capital Leases (T
Operating and Capital Leases (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Summary of future minimum lease payments due under non-cancellable operating leases | As of December 31, 2017 , the following summarizes future minimum lease payments due under non-cancelable operating leases (excluding both contingent rentals and any expected rental income under non-cancelable subleases) for the next five years and thereafter are as follows: Year Ended December 31, Operating Leases (In thousands) 2018 $ 6,805 2019 5,431 2020 4,274 2021 4,215 2022 3,891 Thereafter 13,653 Total $ 38,269 |
Schedule of rent expense for office and equipment | Lease expense for office and equipment is included in general and administrative expense in the Company's consolidated statements of operations and was as follows for the years ended December 31: 2017 2016 2015 (In thousands) Lease expense $ 5,322 $ 4,119 $ 2,387 |
Schedule of future minimum lease payments for capital leases | As of December 31, 2017 , the following summarizes future minimum lease payments due under capital leases for the next five years and thereafter are as follows: Year Ended December 31, Capital Leases (In thousands) 2018 $ 65 2019 65 2020 59 2021 — 2022 — Thereafter — Total $ 189 |
VIE Borrowings Under Revolvin51
VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings | |
Schedule of VIE borrowings under revolving credit facilities and other similar borrowings | VIE borrowings under revolving credit facilities and other similar borrowings on the Company's consolidated balance sheets consist of the following as of: Entity December 31, 2017 December 31, 2016 (In thousands) $100.0 million variable funding note facility with interest payable monthly (6.50% as of December 31, 2016), collateralized by JGW-S III, LLC's ("JGW-S III") structured settlements receivables. JGW-S III was charged monthly an unused fee of 0.75% per annum for the undrawn balance of its line of credit. This facility was terminated on September 25, 2017. JGW-S III $ — $ 18,912 $150.0 million multi-tranche and lender credit facility with interest payable monthly as follows: Tranche A rate is 3.55% plus either the LIBOR or the Commercial Paper rate depending on the lender (5.07% at December 31, 2017 and 3.92% and 4.43% at December 31, 2016); Tranche B rate is 6.05% plus LIBOR (7.57% at December 31, 2017 and 6.42% at December 31, 2016). The commitment period ends on November 30, 2018 and is collateralized by JGW V, LLC's ("JGW V") structured settlements, annuity and lottery receivables. JGW V is charged monthly an unused fee of 0.625% per annum for the undrawn balance of its line of credit. JGW V 2,654 37,520 $75.0 million variable funding note facility with interest payable monthly (7.00% as of December 31, 2017). The commitment period ends on September 24, 2019 and is collateralized by JGW VIII, LLC's ("JGW VIII") structured settlements and annuity receivables. JGW VIII is charged monthly an unused fee of 1.00% per annum for the undrawn balance of its line of credit. JGW VIII 20,180 — Total VIE borrowings under revolving credit facilities and other similar borrowings $ 22,834 $ 56,432 |
Other Borrowings Under Revolv52
Other Borrowings Under Revolving Credit Facilities and Other Similar Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Instrument [Line Items] | |
Schedule of warehouse lines of credit | VIE borrowings under revolving credit facilities and other similar borrowings on the Company's consolidated balance sheets consist of the following as of: Entity December 31, 2017 December 31, 2016 (In thousands) $100.0 million variable funding note facility with interest payable monthly (6.50% as of December 31, 2016), collateralized by JGW-S III, LLC's ("JGW-S III") structured settlements receivables. JGW-S III was charged monthly an unused fee of 0.75% per annum for the undrawn balance of its line of credit. This facility was terminated on September 25, 2017. JGW-S III $ — $ 18,912 $150.0 million multi-tranche and lender credit facility with interest payable monthly as follows: Tranche A rate is 3.55% plus either the LIBOR or the Commercial Paper rate depending on the lender (5.07% at December 31, 2017 and 3.92% and 4.43% at December 31, 2016); Tranche B rate is 6.05% plus LIBOR (7.57% at December 31, 2017 and 6.42% at December 31, 2016). The commitment period ends on November 30, 2018 and is collateralized by JGW V, LLC's ("JGW V") structured settlements, annuity and lottery receivables. JGW V is charged monthly an unused fee of 0.625% per annum for the undrawn balance of its line of credit. JGW V 2,654 37,520 $75.0 million variable funding note facility with interest payable monthly (7.00% as of December 31, 2017). The commitment period ends on September 24, 2019 and is collateralized by JGW VIII, LLC's ("JGW VIII") structured settlements and annuity receivables. JGW VIII is charged monthly an unused fee of 1.00% per annum for the undrawn balance of its line of credit. JGW VIII 20,180 — Total VIE borrowings under revolving credit facilities and other similar borrowings $ 22,834 $ 56,432 |
Home Lending | |
Debt Instrument [Line Items] | |
Schedule of warehouse lines of credit | The Company had the following lines of credit with various financial institutions, which primarily are used for the funding of mortgage loans held for sale, as of: December 31, 2017 December 31, 2016 (In thousands) $95.0 million warehouse line of credit maturing on February 9, 2018 with an interest rate of LIBOR plus 2.35%, subject to a floor of 2.50% (3.84% as of December 31, 2017 and 3.07% as of December 31, 2016) and a non-usage fee of 0.25%. $ 64,494 $ 65,565 $150.0 million warehouse line of credit maturing on August 15, 2018 with an interest rate of LIBOR plus 2.15%, subject to a floor of 2.40% (3.64% as of December 31, 2017 and 2.97% as of December 31, 2016). The facility does not incur a non-usage fee. 117,639 39,140 $95.0 million warehouse line of credit maturing on November 15, 2018 with an interest rate of LIBOR plus 2.60%, subject to a floor of 3.10% (4.09% as of December 31, 2017 and 3.32% as of December 31, 2016) and a non-usage fee of 0.25%. 66,016 39,347 $25.0 million warehouse line of credit with an interest rate of LIBOR plus 2.15%, subject to a floor of 2.50% (2.87% as of December 31, 2016) and a non-usage fee of 0.25%. The facility matured on February 5, 2017. — 13,057 $100.0 million warehouse line of credit with an interest rate of LIBOR plus 2.25% (2.97% as of December 31, 2016). The facility did not incur a non-usage fee. The facility was terminated in March 2017. — 68,479 $10.0 million operating line of credit maturing August 15, 2018 with an interest rate of Prime plus 0.50%, subject to a floor of 5.00% (5.00% as of December 31, 2017 and 5.00% as of December 31, 2016) and a non-usage fee of 0.50%. 5,500 4,000 Total other borrowings under revolving credit facilities and other similar borrowings $ 253,649 $ 229,588 |
VIE Long-Term Debt (Tables)
VIE Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
VIE Long-Term Debt | |
Schedule of VIE long-term debt | The VIE long-term debt consisted of the following as of: December 31, 2017 December 31, 2016 (In thousands) PLMT Permanent Facility $ 34,199 $ 37,630 Long-Term Pre-settlement Facility 5,118 5,427 2012-A Facility 488 708 LCSS Facility (2010-C) 11,516 12,015 LCSS Facility (2010-D) 7,159 7,159 Total VIE long-term debt $ 58,480 $ 62,939 |
VIE long-term debt | |
Debt Instrument [Line Items] | |
Schedule of estimated principal payments of borrowings | As of December 31, 2017 , estimated principal payments on VIE long-term debt for the next five years and thereafter are as follows: Year Ending December 31, Estimated Principal Payments (In thousands) 2018 $ 4,707 2019 5,026 2020 5,643 2021 5,614 2022 5,990 Thereafter 30,834 Total $ 57,814 |
VIE Long-Term Debt Issued by 54
VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Variable Interest Entity [Line Items] | |
Summary of securitization SPE transactions | During the year ended December 31, 2017 , the Company completed the pre-funding associated with the 2016-1 securitization, and three securitization transactions that were registered under Rule 144A. The following table summarizes these securitization transactions: 2017-3 2017-2 2017-1 (Bonds issued in millions) Issue date 12/19/2017 8/9/2017 3/22/2017 Bonds issued $58.7 $144.2 $131.8 Receivables securitized 1,017 2,201 2,129 Deal discount rate 4.27% 3.95% 4.35% Retained interest % 5.50% 5.50% 5.50% Class allocation (Moody's) Aaa 84.75% 84.25% 84.75% Baa2 9.75% 10.25% 9.75% During the year ended December 31, 2016 , the Company completed the initial close associated with the 2016-1 securitization transaction that was registered under Rule 144A. The following table summarizes the securitization transaction: 2016-1 (Bonds issued in millions) Issue date 10/26/2016 Bonds issued $117.3 Receivables securitized 861 Deal discount rate 3.89% Retained interest % 5.50% Class allocation (Moody's) Aaa 84.00% Baa2 10.50% |
VIE long-term debt issued by securitizations and permanent financing trusts | |
Variable Interest Entity [Line Items] | |
Schedule of estimated maturities of borrowings | As of December 31, 2017 , estimated maturities for VIE long-term debt issued by securitization trusts and permanent financing facilities, at fair value, for the next five years and thereafter are as follows: Year Ending December 31, Estimated Maturities (In thousands) 2018 $ 323,094 2019 325,067 2020 309,798 2021 293,981 2022 280,023 Thereafter 2,387,413 Total $ 3,919,376 |
Securitization trusts | |
Variable Interest Entity [Line Items] | |
Summary of notes issued | The following table summarizes notes issued by securitization trusts as of December 31, 2017 and 2016 for which the Company has elected the fair value option and which are recorded as VIE long-term debt issued by securitization and permanent financing trusts, at fair value, on the Company's consolidated balance sheets: Securitization VIE Issuer Note(s) Maturity Outstanding Principal as of December 31, 2017 Fair Value as of December 31, 2017 Stated Outstanding Principal as of December 31, 2016 Fair Value as of December 31, 2016 (In thousands) (In thousands) 321 Henderson Receivables I, LLC 2003-A 11/15/2033 $ 5,776 $ 5,898 4.86% $ 9,971 $ 10,381 321 Henderson Receivables I, LLC 2004-A A-1 9/15/2045 14,604 15,015 Libor+0.35% 20,265 21,084 321 Henderson Receivables I, LLC 2004-A A-2 9/15/2045 18,432 19,725 5.54% 18,581 19,943 321 Henderson Receivables I, LLC 2005-1 A-1 11/15/2040 30,865 32,005 Libor+0.23% 39,548 41,233 321 Henderson Receivables I, LLC 2005-1 A-2 11/15/2046 35,395 37,934 5.58% 35,603 37,344 321 Henderson Receivables I, LLC 2005-1 B 10/15/2055 2,157 2,143 5.24% 2,169 2,089 321 Henderson Receivables II, LLC 2006-1 A-1 3/15/2041 6,059 6,305 Libor+0.20% 7,969 8,439 321 Henderson Receivables II, LLC 2006-1 A-2 3/15/2047 15,650 16,982 5.56% 16,826 18,015 321 Henderson Receivables II, LLC 2006-2 A-1 6/15/2041 9,833 10,407 Libor+0.20% 12,011 12,815 321 Henderson Receivables II, LLC 2006-2 A-2 6/15/2047 18,984 20,828 5.93% 19,781 21,158 Securitization VIE Issuer Note(s) Maturity Outstanding Principal as of December 31, 2017 Fair Value as of December 31, 2017 Stated Outstanding Principal as of December 31, 2016 Fair Value as of December 31, 2016 (In thousands) (In thousands) 321 Henderson Receivables II, LLC 2006-3 A-1 9/15/2041 8,310 8,839 Libor+0.20% 11,832 12,630 321 Henderson Receivables II, LLC 2006-3 A-2 9/15/2047 24,583 26,678 5.60% 25,367 26,997 321 Henderson Receivables II, LLC 2006-4 A-1 12/15/2041 8,752 9,049 Libor+0.20% 12,378 12,964 321 Henderson Receivables II, LLC 2006-4 A-2 12/15/2047 20,215 22,067 5.43% 20,587 21,814 321 Henderson Receivables II, LLC 2007-1 A-1 3/15/2042 20,434 20,902 Libor+0.20% 22,942 23,080 321 Henderson Receivables II, LLC 2007-1 A-2 3/15/2048 16,338 16,932 5.59% 16,526 16,281 321 Henderson Receivables II, LLC 2007-2 A-1 6/15/2035 26,040 26,554 Libor+0.21% 29,606 29,481 321 Henderson Receivables II, LLC 2007-2 A-2 7/16/2040 16,106 16,785 6.21% 16,367 16,182 321 Henderson Receivables II, LLC 2007-3 A-1 10/15/2048 45,033 51,631 6.15% 49,401 55,937 321 Henderson Receivables III, LLC 2008-1 A 1/15/2044 37,123 41,578 6.19% 42,759 48,723 321 Henderson Receivables III, LLC 2008-1 B 1/15/2046 3,235 4,427 8.37% 3,235 4,401 321 Henderson Receivables III, LLC 2008-1 C 1/15/2048 3,235 4,796 9.36% 3,235 4,746 321 Henderson Receivables III, LLC 2008-1 D 1/15/2050 3,529 5,755 10.81% 3,529 5,595 321 Henderson Receivables IV, LLC 2008-2 A 11/15/2037 51,554 59,420 6.27% 57,937 66,949 321 Henderson Receivables IV, LLC 2008-2 B 3/15/2040 6,194 8,982 8.63% 6,194 8,542 321 Henderson Receivables V, LLC 2008-3 A-1 6/15/2045 37,878 48,078 8.00% 40,923 51,960 321 Henderson Receivables V, LLC 2008-3 A-2 6/15/2045 4,682 5,923 8.00% 5,058 6,357 321 Henderson Receivables V, LLC 2008-3 B 3/15/2051 4,695 6,366 10.00% 4,695 5,937 321 Henderson Receivables VI, LLC 2010-1 A-1 7/15/2059 96,514 106,464 5.56% 109,598 122,048 321 Henderson Receivables VI, LLC 2010-1 B 7/15/2061 17,216 21,579 9.31% 19,550 24,827 JG Wentworth XXI, LLC 2010-2 A 1/15/2048 38,992 40,593 4.07% 45,655 48,163 JG Wentworth XXI, LLC 2010-2 B 1/15/2050 5,566 6,461 7.45% 6,517 7,674 JG Wentworth XXII, LLC 2010-3 A 10/15/2048 73,486 75,855 3.82% 87,140 91,069 JG Wentworth XXII, LLC 2010-3 B 10/15/2050 10,679 12,183 6.85% 12,663 14,618 JG Wentworth XXIII, LLC 2011-1 A 10/15/2056 132,542 142,439 4.89% 147,447 157,209 JG Wentworth XXIII, LLC 2011-1 B 10/15/2058 16,662 20,164 7.68% 18,536 22,063 JGWPT XXIV, LLC 2011-2 A 1/15/2063 118,314 128,821 5.13% 128,231 137,433 JGWPT XXIV, LLC 2011-2 B 1/15/2065 13,437 17,286 8.54% 14,564 18,327 JGWPT XXV, LLC 2012-1 A 2/16/2065 143,311 148,990 4.21% 155,623 159,282 JGWPT XXV, LLC 2012-1 B 2/15/2067 17,921 21,559 7.14% 19,460 22,890 JGWPT XXVI, LLC 2012-2 A 10/15/2059 101,448 102,601 3.84% 108,942 107,986 JGWPT XXVI, LLC 2012-2 B 10/17/2061 12,605 14,882 6.77% 13,537 15,328 JGWPT XXVII, LLC 2012-3 A 9/15/2065 128,462 125,365 3.22% 138,206 132,530 JGWPT XXVII, LLC 2012-3 B 9/15/2067 15,868 18,048 6.17% 17,071 18,210 JGWPT XXVIII, LLC 2013-1 A 4/15/2067 142,052 138,028 3.22% 153,545 146,476 JGWPT XXVIII, LLC 2013-1 B 4/15/2069 17,526 18,535 4.94% 18,589 18,273 JGWPT XXIX, LLC 2013-2 A 3/15/2062 121,960 126,354 4.21% 131,085 132,864 JGWPT XXIX, LLC 2013-2 B 3/17/2064 14,565 15,888 5.68% 14,985 15,298 JGWPT XXX, LLC 2013-3 A 1/17/2073 148,457 152,601 4.08% 160,527 161,722 JGWPT XXX, LLC 2013-3 B 1/15/2075 18,018 18,726 5.54% 18,248 18,462 JGWPT XXXI, LLC 2014-1 A 3/15/2063 166,591 169,999 3.96% 180,486 180,784 JGWPT XXXI, LLC 2014-1 B 3/15/2065 21,776 21,778 4.94% 21,776 21,097 JGWPT XXXII, LLC 2014-2 A 1/17/2073 166,529 165,011 3.61% 180,127 174,022 JGWPT XXXII, LLC 2014-2 B 1/15/2075 25,284 24,191 4.48% 25,284 23,260 Securitization VIE Issuer Note(s) Maturity Outstanding Principal as of December 31, 2017 Fair Value as of December 31, 2017 Stated Outstanding Principal as of December 31, 2016 Fair Value as of December 31, 2016 (In thousands) (In thousands) J.G. Wentworth XXXIII, LLC 2014-3 A 6/15/2077 155,393 152,534 3.50% 167,353 159,993 J.G. Wentworth XXXIII, LLC 2014-3 B 6/15/2079 21,408 20,254 4.40% 21,408 19,396 J.G. Wentworth XXXIV, LLC 2015-1 A 9/15/2072 164,602 158,861 3.26% 177,632 167,124 J.G. Wentworth XXXIV, LLC 2015-1 B 9/17/2074 20,957 19,574 4.25% 20,957 18,730 J.G. Wentworth XXXV, LLC 2015-2 A 3/15/2058 134,479 135,298 3.87% 139,521 136,423 J.G. Wentworth XXXV, LLC 2015-2 B 3/15/2060 16,350 15,820 4.83% 16,350 15,110 J.G. Wentworth XXXVI, LLC 2015-3 A 3/17/2070 82,822 84,351 4.08% 89,315 88,382 J.G. Wentworth XXXVI, LLC 2015-3 B 3/15/2072 10,383 10,556 5.68% 10,383 9,978 J.G. Wentworth XXXVII, LLC 2016-1 A 6/15/2067 101,412 99,519 3.41% 104,293 101,414 J.G. Wentworth XXXVII, LLC 2016-1 B 6/17/2069 13,000 12,988 5.19% 13,000 12,640 J.G. Wentworth XXXVIII, LLC 2017-1 A 8/16/2060 115,432 116,962 3.99% — — J.G. Wentworth XXXVIII, LLC 2017-1 B 8/15/2062 13,377 13,386 5.43% — — J.G. Wentworth XXXIX, LLC 2017-2 A 9/15/2072 125,774 122,216 3.53% — — J.G. Wentworth XXXIX, LLC 2017-2 B 9/17/2074 15,398 14,840 5.09% — — J.G. Wentworth XL, LLC 2017-3 A 2/15/2067 51,876 51,625 3.80% — — J.G. Wentworth XL, LLC 2017-3 B 2/15/2069 5,968 5,899 5.43% — — Structured Receivables Finance #2, LLC 2005-A A 5/15/2025 1,239 1,244 5.05% 5,013 5,138 Structured Receivables Finance #2, LLC 2005-A B 5/15/2025 7,047 7,440 6.95% 7,713 8,565 Peachtree Finance Company #2, LLC 2005-B A 4/15/2048 149 149 4.71% 5,154 5,245 Peachtree Finance Company #2, LLC 2005-B B 4/15/2048 4,376 4,468 6.21% 4,782 5,104 Structured Receivables Finance #3, LLC 2006-A A 1/15/2030 13,928 14,624 5.55% 19,194 20,726 Structured Receivables Finance #3, LLC 2006-A B 1/15/2030 6,873 7,747 6.82% 7,643 8,847 Structured Receivables Finance 2006-B, LLC 2006-B A 3/15/2038 27,100 29,215 5.19% 31,779 34,927 Structured Receivables Finance 2006-B, LLC 2006-B B 3/15/2038 6,271 7,204 6.30% 6,791 7,761 Structured Receivables Finance 2010-A, LLC 2010-A A 1/16/2046 41,540 44,700 5.22% 49,032 53,905 Structured Receivables Finance 2010-A, LLC 2010-A B 1/16/2046 9,322 11,511 7.61% 10,016 12,391 Structured Receivables Finance 2010-B, LLC 2010-B A 8/15/2036 33,386 34,332 3.73% 38,637 40,295 Structured Receivables Finance 2010-B, LLC 2010-B B 8/15/2036 11,456 14,529 7.97% 12,167 15,417 Total $ 3,492,790 $ 3,618,251 $ 3,460,820 $ 3,550,503 |
Permanent financing VIEs | |
Variable Interest Entity [Line Items] | |
Summary of notes issued | The following table summarizes notes issued by permanent financing facilities as of December 31, 2017 and 2016 , respectively, for which the Company has elected the fair value option and are recorded as VIE long-term debt issued by securitization and permanent financing trusts, at fair value, on the Company's consolidated balance sheets: Securitization Maturity Note(s) Outstanding Principal as of December 31, 2017 Stated Fair Value as of December 31, 2017 (In thousands) (In thousands) JGW-S LC II 8/15/2040 2011-A $ 91,768 12.35% $ 91,769 PSS 7/14/2033 — 120,317 Libor + 1% 117,610 Crescit 6/15/2039 — 22,608 8.10% 28,523 JGW Residual I, LLC 3/22/2077 — 189,847 N/A 246,138 JGW Residual II, LLC 6/15/2067 — 2,046 N/A 2,487 Total $ 426,586 $ 486,527 Securitization Maturity Note(s) Outstanding Principal as of December 31, 2016 Stated Rate Fair Value as of December 31, 2016 (In thousands) (In thousands) JGW-S LC II 8/15/2040 2011-A $ 82,997 12.48% $ 82,997 PSS 7/14/2033 — 134,742 Libor + 1% 128,897 Crescit 6/15/2039 — 24,512 8.10% 30,991 JGW Residual I, LLC 3/22/2077 — 203,088 N/A 221,062 Total $ 445,339 $ 463,947 |
Derivative Financial Instrume55
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of notional amounts and fair values of the Company's interest rate swaps | The notional amounts and fair values of interest rate swaps are as follows as of: December 31, 2017 December 31, 2016 Entity Securitization Notional Amount Fair Value Notional Amount Fair Value (In thousands) 321 Henderson I, LLC 2004-A A-1 $ 14,604 $ (973 ) $ 20,265 $ (1,610 ) 321 Henderson I, LLC 2005-1 A-1 30,865 (3,064 ) 39,548 (4,495 ) 321 Henderson II, LLC 2006-1 A-1 6,059 (417 ) 7,969 (714 ) 321 Henderson II, LLC 2006-2 A-1 9,833 (1,163 ) 12,011 (1,654 ) 321 Henderson II, LLC 2006-3 A-1 8,310 (972 ) 11,832 (1,394 ) 321 Henderson II, LLC 2006-4 A-1 8,752 (526 ) 12,378 (965 ) 321 Henderson II, LLC 2007-1 A-2 20,434 (3,131 ) 22,942 (3,965 ) 321 Henderson II, LLC 2007-2 A-3 26,040 (5,471 ) 29,606 (6,664 ) PSS — 126,017 (17,865 ) 137,361 (22,190 ) PLMT — 39,397 (4,878 ) 43,792 (6,781 ) Total $ 290,311 $ (38,460 ) $ 337,704 $ (50,432 ) |
Schedule of notional amounts and fair value associated with derivatives | The notional amounts and fair values associated with IRLCs and forward sale commitments were as follows as of: December 31, 2017 December 31, 2016 Notional Amount Fair Value Notional Amount Fair Value (In thousands) Derivative Assets: Interest rate lock commitments $ 574,198 $ 16,134 $ 355,870 $ 6,072 Forward sale commitments — — 406,000 659 Total $ 574,198 $ 16,134 $ 761,870 $ 6,731 Derivative Liabilities: Forward sale commitments $ 513,000 $ 623 $ — $ — Total $ 513,000 $ 623 $ — $ — |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of provision (benefit) for income taxes | The Company's (benefit) provision for income taxes for the years ended December 31, 2017 , 2016 and 2015 , respectively, consists of the following: For the Year Ended December 31, 2017 2016 2015 (In thousands) Current: Federal $ 81 $ 183 $ (234 ) State 20 42 (71 ) 101 225 (305 ) Deferred: Federal 353 (12,910 ) (15,062 ) State 9,191 (2,655 ) (2,849 ) 9,544 (15,565 ) (17,911 ) Income tax (benefit) provision $ 9,645 $ (15,340 ) $ (18,216 ) |
Schedule of reconciliation of difference between effective income tax rate and the United States statutory rate | The difference between the Company's effective income tax rate and the United States statutory rate is reconciled below: For the Year Ended December 31, 2017 2016 2015 Federal 35.0 % 35.0 % 35.0 % Income passed through to non-corporate members (2.9 ) (15.6 ) (15.9 ) Permanent items (0.5 ) (2.1 ) (11.1 ) State income tax 6.1 3.0 1.4 Deferred rate change (13.8 ) — — Valuation allowance (29.5 ) (10.5 ) (1.9 ) Other 0.8 3.7 1.0 Effective tax rate (4.8 )% 13.5 % 8.5 % |
Summary of the components of deferred tax assets and deferred tax liabilities | A summary of the components of deferred tax assets and deferred tax liabilities follows: December 31, 2017 December 31, 2016 (In thousands) Deferred tax assets: Net operating loss carryforwards $ 61,119 $ 63,127 Disallowed TRA obligations settlement accrual 46,789 — Other deferred assets 1,001 — Lottery winnings 574 880 Total deferred tax assets 109,483 64,007 Valuation allowance (74,224 ) (14,893 ) Total deferred tax assets, net 35,259 49,114 Deferred tax liabilities: Basis difference in partnership 45,210 48,101 Lottery winnings fair value adjustments — 2,023 Other deferred liabilities 603 — Total deferred tax liabilities 45,813 50,124 Deferred tax liabilities, net $ (10,554 ) $ (1,010 ) |
Installment Obligations Payab57
Installment Obligations Payable (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Installment Obligations Payable [Abstract] | |
Schedule of estimated maturities for the next five years and thereafter | As of December 31, 2017 , estimated maturities for the next five years and thereafter are as follows: Year Ended December 31, Estimated Maturities (In thousands) 2018 $ 13,486 2019 10,826 2020 8,834 2021 6,612 2022 6,137 Thereafter 39,649 Total $ 85,544 |
Non-Controlling Interests (Tabl
Non-Controlling Interests (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Schedule of changes in the non-controlling and JGWPT Holdings Inc.'s interests in Holdings LLC | Changes in the non-controlling and the Corporation's interest in JGW LLC for the year ending December 31, 2017 are presented in the following table: Total Common Interests Held By: The J.G. Wentworth Company Non-controlling Total Balance as of December 31, 2016 15,730,473 13,070,781 28,801,254 Common Interests acquired by The J.G. Wentworth Company as a result of the exchange of units for shares of Class A common stock 70,549 (70,549 ) — Issuance of Class A common stock for vested equity awards 9,681 — 9,681 Common Interests forfeited — (9,871 ) (9,871 ) Balance as of December 31, 2017 15,810,703 12,990,361 28,801,064 |
Share-based Compensation (Table
Share-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of assumptions used in the Black-Scholes valuation model for options granted | The fair value of stock option awards granted during the years ended December 31, 2017 and 2016 was estimated using the Black-Scholes valuation model and included the following assumptions: Year Ended December 31, 2017 Year Ended December 31, 2016 Fair value $ 0.19 $0.17 - $0.62 Risk-free interest rate 2.07 % 1.35% - 1.86% Expected volatility 43.58 % 40.84% - 44.50% Expected life of options in years 6.5 6.5 Expected dividend yield — — The valuation of the options that were modified on August 29, 2017 and 2016 is based on the following terms: Year Ended December 31, 2017 Year Ended December 31, 2016 Fair value $0.06 - $0.07 $0.13 - $0.15 Risk-free interest rate 1.58% - 1.67% 1.19% - 1.37% Expected volatility 43.31% - 44.73% 43.81% - 44.52% Expected life of options in years 4.1 - 6.5 5.1 - 6.5 Expected dividend yield — — |
Summary of stock option activity | A summary of stock option activity for the year ended December 31, 2017 is as follows: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term ( In Years ) Aggregate Intrinsic Value (In Millions) Outstanding as of December 31, 2016 1,376,549 $ 5.77 7.73 $ — Granted 206,500 0.41 Exercised — — Canceled — — Forfeited (81,261 ) 1.05 Expired (9,058 ) 9.23 Outstanding as of December 31, 2017 1,492,730 $ 1.69 6.98 $ — Expected to vest as of December 31, 2017 1,447,343 1.72 6.97 — Vested as of December 31, 2017 142,586 8.72 6.98 — A summary of performance-based restricted stock units for the year ended December 31, 2017 is as follows: Performance-Based Restricted Stock Units Weighted-Average Grant-Date Fair Value Outstanding as of December 31, 2016 207,500 $ 1.18 Granted 103,250 0.41 Vested (9,681 ) 1.23 Forfeited (72,819 ) 6.51 Outstanding as of December 31, 2017 228,250 $ 0.97 Expected to vest as of December 31, 2017 87,000 0.41 |
Summary of restricted stock activity | The following table summarizes the activities of unvested Restricted Common Interests in JGW LLC for the year ended December 31, 2017 : Unvested Restricted Common Interests Weighted - Average Grant - Date Fair Value Outstanding as of December 31, 2016 9,871 $ 9.06 Vested in period — — Forfeited (9,871 ) 9.06 Outstanding as of December 31, 2017 — $ — Expected to vest as of December 31, 2017 — — |
Employee Benefit Plan (Tables)
Employee Benefit Plan (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
Schedule of employee benefit plan expense | Employee benefit plan expense was included in compensation and benefits expense in the Company's consolidated statements of operations and was as follows for the years ended December 31: 2017 2016 2015 (In thousands) Employee benefit plan expense $ 920 $ 862 $ 668 |
Cost Savings Activities (Tables
Cost Savings Activities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and related costs | A reconciliation of the liabilities associated with the cost reduction plan by reportable segment is as follows: Structured Settlements Home Lending Consolidated (In thousands) Balance at December 31, 2016 $ 1,201 $ 90 $ 1,291 Payments (1,460 ) (149 ) (1,609 ) Adjustments 1,944 71 2,015 Balance at December 31, 2017 $ 1,685 $ 12 $ 1,697 |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of computation of loss per common share attributable to JGWPT Holdings Inc. | The following table is a reconciliation of the numerator and denominator used in the basic and diluted EPS calculations for the years ended December 31, 2017 , 2016 and 2015 : Years Ended December 31, 2017 2016 2015 (Dollars in thousands, except per share data) Numerator: Numerator for basic EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock $ (191,333 ) $ (46,857 ) $ (95,312 ) Effect of dilutive securities: JGW LLC Common Interests and vested Restricted Common Interests — — — JGW LLC unvested Restricted Common Interests — — — Numerator for diluted EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock $ (191,333 ) $ (46,857 ) $ (95,312 ) Denominator: Denominator for basic EPS -Weighted average shares of Class A common stock 15,782,303 15,649,474 14,690,746 Effect of dilutive securities: Stock options — — — Warrants — — — Restricted common stock and performance-based restricted stock units — — — JGW LLC Common Interests and vested Restricted Common Interests — — — JGW LLC unvested Restricted Common Interests — — — Dilutive potential common shares — — — Denominator for diluted EPS - Adjusted weighted average shares of Class A common stock 15,782,303 15,649,474 14,690,746 Basic loss per share of Class A common stock $ (12.12 ) $ (2.99 ) $ (6.49 ) Diluted loss per share of Class A common stock $ (12.12 ) $ (2.99 ) $ (6.49 ) |
Business Segments (Tables)
Business Segments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Operating data by reportable segment | Below is a summary of Segment Adjusted EBITDA, a measure of the Company's segments' profitability. Structured Settlements Home Lending Other Adjustments/Eliminations Subtotal Reportable Segments (In thousands) Year Ended December 31, 2017 Segment Adjusted EBITDA $ 16,834 $ 14,139 $ — $ 30,973 Year Ended December 31, 2016 Segment Adjusted EBITDA $ 16,165 $ 31,189 $ — $ 47,354 Year Ended December 31, 2015 (1) Segment Adjusted EBITDA $ 49,619 $ 2,727 $ — $ 52,346 (1) Home Lending was acquired on July 31, 2015, and, therefore, the results include only five months of Home Lending's operations. The following table presents certain information regarding the Company's business segments. Structured Settlements Home Lending Other Adjustments/Eliminations Consolidated (In thousands) Year Ended December 31, 2017 Total revenues $ 313,935 $ 114,777 $ — $ 428,712 Total assets 4,633,094 418,371 — 5,051,465 Year Ended December 31, 2016 Total revenues $ 215,399 $ 109,273 $ — $ 324,672 Total assets 4,611,705 381,202 — 4,992,907 Year Ended December 31, 2015 (1) Total revenues $ 269,635 $ 26,732 $ — $ 296,367 Total assets 4,801,965 249,133 — 5,051,098 (1) Home Lending was acquired on July 31, 2015, and, therefore, the results include only five months of Home Lending's operations. Below is a reconciliation of Segments' Adjusted EBITDA, a measure of the Company's segments' profitability, for the Company's two reportable segments to loss before income taxes for the years ended December 31, 2017 , 2016 and 2015 : Year Ended December 31, 2017 Year Ended December 31, 2016 Year Ended December 31, 2015 (1) (In thousands) Structured Settlements Segment Adjusted EBITDA $ 16,834 $ 16,165 $ 49,619 Home Lending Segment Adjusted EBITDA 14,139 31,189 2,727 Subtotal Segment Adjusted EBITDA for Reportable Segments $ 30,973 $ 47,354 $ 52,346 Securitization-related adjustments: Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates 10,859 (77,652 ) (75,802 ) Interest income from securitized finance receivables 176,754 177,781 171,773 Interest income on retained interests in finance receivables (1,955 ) (16,149 ) (21,652 ) Servicing income on securitized finance receivables (5,117 ) (5,181 ) (5,284 ) Interest expense on long-term debt related to securitization and permanent financing trusts (175,565 ) (162,442 ) (147,723 ) Swap termination expense related to securitization entities — (3,053 ) — Professional fees relating to securitizations (5,314 ) (5,605 ) (5,913 ) (Provision) credit for losses associated with permanently financed VIEs (113 ) 60 (25 ) Subtotal of securitization-related adjustments $ (451 ) $ (92,241 ) $ (84,626 ) Other adjustments: Share-based compensation (1,038 ) (1,448 ) (1,291 ) Impact of pre-funding on unsecuritized finance receivables 3,199 (3,199 ) (1,618 ) Lease termination, severance and other restructuring related expenses (15,544 ) (3,602 ) (3,095 ) Merger and acquisition related expense — (550 ) (2,946 ) Debt modification expense (223 ) (2,399 ) (792 ) Impairment charges and loss on disposal of assets (8,369 ) (5,483 ) (121,594 ) Term loan interest expense (39,469 ) (40,559 ) (40,386 ) TRA obligations (160,113 ) — — Debt issuance (5,881 ) (4,455 ) (6,741 ) Broker and legal fees incurred in connection with sale of finance receivables — (1,959 ) — Depreciation and amortization (4,147 ) (4,814 ) (4,613 ) Loss before income taxes $ (201,063 ) $ (113,355 ) $ (215,356 ) (1) Home Lending was acquired on July 31, 2015, and, therefore, the results include only five months of Home Lending's operations. |
Condensed Combined Debtor-In-64
Condensed Combined Debtor-In-Possession Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Debtor in Possession Disclosure [Abstract] | |
Debtors' Condensed Combined Balance Sheets | Debtors' Condensed Combined Balance Sheets December 31, 2017 (Dollars in thousands) ASSETS Cash and cash equivalents $ — Due from affiliates 209,580 Intangible assets, net of accumulated amortization 566 Investment in non-debtor subsidiaries 512,565 Other assets 1,380 Total Assets $ 724,091 LIABILITIES AND STOCKHOLDERS’ DEFICIT Accrued expenses and accounts payable $ 15 Deferred tax liabilities, net 9,362 Due to affiliates 357,698 Total liabilities not subject to compromise $ 367,075 Liabilities subject to compromise (1) 607,109 Total Liabilities $ 974,184 Class A common stock, par value $0.00001 per share; 500,000,000 shares authorized, 16,352,775 and 15,810,703 issued and outstanding, respectively as of December 31, 2017 $ — Class B common stock, par value $0.00001 per share; 500,000,000 shares authorized, 8,629,738 issued and outstanding as of December 31, 2017 — Class C common stock, par value $0.00001 per share; 500,000,000 shares authorized, 0 issued and outstanding as of December 31, 2017 — Additional paid-in-capital 106,217 Accumulated deficit (308,955 ) (202,738 ) Less: treasury stock at cost, 542,072 shares as of December 31, 2017 (2,138 ) Total stockholders' deficit, The J.G. Wentworth Company (204,876 ) Non-controlling interests (45,217 ) Total Stockholders' Deficit $ (250,093 ) Total Liabilities and Stockholders’ Deficit $ 724,091 (1) Liabilities subject to compromise as of December 31, 2017 are presented in accordance with ASC 852. These liabilities include the "Term Loan Claims" and the "TRA Claims" as defined in the Plan. |
Debtors' Condensed Combined Statement of Operations | Debtors' Condensed Combined Statement of Operations Year Ended December 31, 2017 (Dollars in thousands) REVENUES Income from investment in non-debtor subsidiaries $ 18,764 Total revenues $ 18,764 EXPENSES Interest expense $ 39,469 Compensation and benefits 1,038 General and administrative 1,775 Professional and consulting 15,789 Depreciation and amortization 487 Reorganization items, net (2) 161,370 Total expenses $ 219,928 Loss before income taxes (201,164 ) Provision for income taxes 9,544 Net loss $ (210,708 ) Less: net loss attributable to non-controlling interests (19,375 ) Net loss attributable to The J.G. Wentworth Company $ (191,333 ) (2) Reorganization items, net for the year ended December 31, 2017 are presented in accordance with ASC 852 and include (i) $160.1 million of TRA obligations and, (ii) $1.3 million of professional and consulting fees incurred in connection with the Company's bankruptcy proceedings from the Petition Date through December 31, 2017 . |
Debtors' Condensed Combined Statement of Other Comprehensive Loss | Debtors' Condensed Combined Statement of Other Comprehensive Loss Year Ended December 31, 2017 (In thousands) Net loss $ (210,708 ) Other comprehensive loss: Reclassification adjustment for gain in net income — Unrealized gains on notes receivable arising during the year — Total other comprehensive loss — Total comprehensive loss (210,708 ) Less: comprehensive loss allocated to non-controlling interests (19,375 ) Comprehensive loss attributable to The J.G. Wentworth Company $ (191,333 ) |
Debtors' Condensed Combined Statements of Changes in Stockholders' Deficit | Debtors' Condensed Combined Statement of Changes in Stockholders' Deficit Accumulated Non-controlling Interest Additional Paid-In- Treasury Stock Common Stock - Class A Common Stock - Class B Total Shares Dollars Shares Dollars Shares Dollars December 31, 2016 $ (117,622 ) $ (26,471 ) $ 105,823 542,072 $ (2,138 ) 15,730,473 $ — 8,710,158 $ — $ (40,408 ) Net loss (191,333 ) (19,375 ) — — — — — — — (210,708 ) Share-based compensation — 468 570 — — — — (9,871 ) — 1,038 Capital distributions — (15 ) — — — — — — — (15 ) Issuance of Class A common stock for vested equity awards — — — — — 9,681 — — — — Exchange of JGW LLC common interests into Class A common stock — 176 (176 ) — — 70,549 — (70,549 ) — — December 31, 2017 $ (308,955 ) $ (45,217 ) $ 106,217 542,072 $ (2,138 ) 15,810,703 $ — 8,629,738 $ — $ (250,093 ) |
Debtors' Condensed Combined Statement of Cash Flows | Debtors' Condensed Combined Statement of Cash Flows Year Ended December 31, 2017 (In thousands) Cash flows from operating activities: Net loss $ (210,708 ) Adjustments to reconcile net loss to net cash used in operating activities: Amortization of intangibles 487 Amortization of debt issuance costs 5,370 Accretion of interest expense 2,998 Share-based compensation expense 1,038 Deferred income taxes, net 9,348 (Increase) decrease in operating assets: Due from affiliates (98,852 ) Investment in non-debtor subsidiaries (17,373 ) Other assets (1,304 ) (Decrease) increase in operating liabilities: Accrued expenses and accounts payable (76 ) Accrued interest 6,581 Due to affiliates 142,390 TRA obligations 160,113 Net cash provided by operating activities $ 12 Cash flows from financing activities: Capital distributions $ (17 ) Net cash used in financing activities $ (17 ) Net decrease in cash (5 ) Cash and cash equivalents at beginning of the year 5 Cash and cash equivalents at the end of the year $ — Supplemental disclosure of cash flow information: Reorganization items, net: TRA obligations $ 160,113 Professional and consulting $ 1,257 |
Background and Basis of Prese65
Background and Basis of Presentation (Details) | Jan. 25, 2018USD ($)shares | Dec. 31, 2017USD ($)shares | Dec. 31, 2017USD ($)segmentshares | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($) | Nov. 14, 2013shares |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||
Number of reportable segments | segment | 2 | |||||
Basis of Presentation [Line Items] | ||||||
Fair value of shares issued | $ 12,956,000 | |||||
Reorganization items, professional and consulting fees | $ 1,257,000 | $ 0 | 0 | |||
Options granted (in shares) | shares | 206,500 | |||||
TRA obligations | $ 160,100,000 | $ 160,100,000 | ||||
Interest expense not recorded but reclassified to LSTC | $ 1,800,000 | |||||
Provision (benefit) for income taxes | 9,645,000 | (15,340,000) | (18,216,000) | |||
JGWPT Holding Inc. | ||||||
Basis of Presentation [Line Items] | ||||||
Provision (benefit) for income taxes | 8,800,000 | (14,500,000) | (19,000,000) | |||
Subsidiaries | ||||||
Basis of Presentation [Line Items] | ||||||
Provision (benefit) for income taxes | $ 800,000 | $ (800,000) | $ 800,000 | |||
Merger Sub | ||||||
Basis of Presentation [Line Items] | ||||||
Ownership interest | 54.90% | 54.90% | 54.60% | |||
Noncontrolling interest ownership | 45.10% | 45.10% | 45.40% | |||
Ownership percent of weighted average economic interests, noncontrolling (as a percent) | 45.20% | 45.50% | 48.30% | |||
LIBOR | New term loan | ||||||
Basis of Presentation [Line Items] | ||||||
Margin on variable rate | 6.00% | |||||
Interest rate floor | 1.00% | 1.00% | ||||
Common Stock - Class A | ||||||
Basis of Presentation [Line Items] | ||||||
Common stock, shares issued | shares | 16,352,775 | 16,352,775 | 16,272,545 | |||
Common stock, authorized shares | shares | 500,000,000 | 500,000,000 | 500,000,000 | 500,000,000 | ||
Common Stock - Class B | ||||||
Basis of Presentation [Line Items] | ||||||
Common stock, shares issued | shares | 8,629,738 | 8,629,738 | 8,710,158 | |||
Common stock, authorized shares | shares | 500,000,000 | 500,000,000 | 500,000,000 | 500,000,000 | ||
Subsequent Event | ||||||
Basis of Presentation [Line Items] | ||||||
TRA, cash consideration paid | $ 4,800,000 | |||||
TRA, aggregate fair value | 6,600,000 | |||||
Reorganization items, professional and consulting fees | 8,600,000 | |||||
Payments of success fees | $ 3,600,000 | |||||
Preferred stock, authorized shares | shares | 0 | |||||
Subsequent Event | Management Incentive Plan | ||||||
Basis of Presentation [Line Items] | ||||||
Percent of common equity reserved for issuance under plan | 8.00% | |||||
Shares granted during the period | shares | 1,086,955 | |||||
Percent of common equity granted under plan | 4.00% | |||||
Subsequent Event | Management Incentive Plan | Restricted Common Interests | ||||||
Basis of Presentation [Line Items] | ||||||
Equity instruments other than options, granted in period (in shares) | shares | 271,739 | |||||
Subsequent Event | Management Incentive Plan | Stock options | ||||||
Basis of Presentation [Line Items] | ||||||
Options granted (in shares) | shares | 815,216 | |||||
Subsequent Event | New term loan | ||||||
Basis of Presentation [Line Items] | ||||||
Capital distributions | $ 36,000,000 | |||||
Subsequent Event | HPS Investment Partners, LLC | ||||||
Basis of Presentation [Line Items] | ||||||
Payments of closing and commitment fees | $ 5,600,000 | |||||
Subsequent Event | Revolving Credit Facility | ||||||
Basis of Presentation [Line Items] | ||||||
Revolving credit facility term | 4 years | |||||
Maximum borrowing capacity | $ 70,000,000 | |||||
Leverage ratio | 3.50 | |||||
Proceeds from revolving line of credit | $ 55,000,000 | |||||
Subsequent Event | Revolving Credit Facility | LIBOR | ||||||
Basis of Presentation [Line Items] | ||||||
Margin on variable rate | 5.00% | |||||
Interest rate floor | 1.00% | |||||
Basis spread on variable non-usage fee | 3.00% | |||||
Subsequent Event | Common Stock - Class A | ||||||
Basis of Presentation [Line Items] | ||||||
Common stock, shares issued | shares | 24,858,587 | |||||
Common stock, authorized shares | shares | 225,000,000 | |||||
Subsequent Event | Common Stock - Class A | Term Loan Holders | ||||||
Basis of Presentation [Line Items] | ||||||
Shares issued | shares | 24,696,626 | |||||
Fair value of shares issued | $ 153,100,000 | |||||
Subsequent Event | Common Stock - Class A | TRA Claimants | ||||||
Basis of Presentation [Line Items] | ||||||
Shares issued | shares | 161,961 | |||||
Subsequent Event | Common Stock - Class B | ||||||
Basis of Presentation [Line Items] | ||||||
Common stock, authorized shares | shares | 25,000,000 | |||||
Subsequent Event | Common Stock - Class B | TRA Claimants | ||||||
Basis of Presentation [Line Items] | ||||||
Shares issued | shares | 141,384 | |||||
Subsequent Event | HPS Investment Partners, LLC | Common Stock - Class A | ||||||
Basis of Presentation [Line Items] | ||||||
Percent of common stock held | 5.00% |
Summary of Significant Accoun66
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements - Summary of Premises and Equipment (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Minimum expected life of consolidated VIEs | 20 years |
Minimum | |
Fixed Assets and Leasehold Improvements | |
Estimated useful lives | 3 years |
Maximum | |
Fixed Assets and Leasehold Improvements | |
Estimated useful lives | 10 years |
Summary of Significant Accoun67
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements - Summary of Restricted Cash (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Restricted Cash and Investments | ||
FDIC insured amount | $ 250,000 | |
Restricted investments | $ 3,900,000 | $ 4,600,000 |
Summary of Significant Accoun68
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements - Summary of Intangible Assets and Goodwill (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Database | |
Intangible assets | |
Estimated useful life | 10 years |
Customer relationships | Minimum | |
Intangible assets | |
Estimated useful life | 3 years |
Customer relationships | Maximum | |
Intangible assets | |
Estimated useful life | 15 years |
Trade name | |
Intangible assets | |
Estimated useful life | 3 years |
Affinity relationships | |
Intangible assets | |
Estimated useful life | 10 years |
Summary of Significant Accoun69
Summary of Significant Accounting Policies and Recently Adopted Accounting Pronouncements - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017USD ($)segment | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Accounting Policies [Abstract] | |||
Interest and dividend income | $ | $ 3 | $ 2.5 | $ 3.4 |
Participating Mortgage Loans [Line Items] | |||
Number of reportable segments | segment | 2 | ||
Interest income, uncollectible designation, period | 90 days | ||
Government National Mortgage Association (GNMA) Insured Loans | Real Estate Loan | |||
Participating Mortgage Loans [Line Items] | |||
Duration for delinquency consideration for Ginnie Mae pools | 90 days |
Goodwill and Intangible Asset70
Goodwill and Intangible Assets - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Indefinite-lived Intangible Assets [Line Items] | |||
Goodwill | $ 0 | $ 8,369,000 | |
Amortization of intangibles | 1,743,000 | 2,078,000 | $ 2,248,000 |
Impairment charges | $ 8,369,000 | 5,483,000 | $ 121,594,000 |
Database | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 1 year | ||
Customer relationships | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 1 year | ||
Domain names | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 1 year | ||
Trade name | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 1 year | ||
Affinity relationships | Weighted average | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 8 years | ||
Home Lending | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Goodwill | $ 0 | 8,400,000 | |
Goodwill impairment loss | 8,400,000 | ||
Home Lending | Licensing Agreements | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets | 13,200,000 | 13,200,000 | |
Structured Settlements | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Goodwill | $ 0 | 0 | |
Impairment charges | 5,500,000 | ||
Structured Settlements | Customer relationships | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Impairment of finite-lived intangible assets | $ 2,700,000 | ||
Structured Settlements | Trade name | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 3 years | ||
Structured Settlements | Database and Customer Relationships | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Weighted average remaining useful life (in years) | 3 years | ||
Structured Settlements | Trade name | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Impairment of indefinite-lived intangible assets | $ 2,800,000 |
Goodwill and Intangible Asset71
Goodwill and Intangible Assets - Intangible assets subject to amortization (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, accumulated amortization | $ (24,521) | $ (22,778) |
Structured Settlements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 21,804 | 21,804 |
Intangible assets, accumulated amortization | (21,223) | (20,724) |
Structured Settlements | Database | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 4,609 | 4,609 |
Intangible assets, accumulated amortization | (4,473) | (4,356) |
Structured Settlements | Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 16,096 | 16,096 |
Intangible assets, accumulated amortization | (15,909) | (15,750) |
Structured Settlements | Domain names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 486 | 486 |
Intangible assets, accumulated amortization | (473) | (461) |
Structured Settlements | Trade name | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 613 | 613 |
Intangible assets, accumulated amortization | (368) | (157) |
Structured Settlements | Affinity relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 0 | 0 |
Intangible assets, accumulated amortization | 0 | 0 |
Home Lending | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 10,642 | 10,642 |
Intangible assets, accumulated amortization | (3,298) | (2,054) |
Home Lending | Database | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 0 | 0 |
Intangible assets, accumulated amortization | 0 | 0 |
Home Lending | Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 0 | 0 |
Intangible assets, accumulated amortization | 0 | 0 |
Home Lending | Domain names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 0 | 0 |
Intangible assets, accumulated amortization | 0 | 0 |
Home Lending | Trade name | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 1,095 | 1,095 |
Intangible assets, accumulated amortization | (990) | (700) |
Home Lending | Affinity relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets | 9,547 | 9,547 |
Intangible assets, accumulated amortization | $ (2,308) | $ (1,354) |
Goodwill and Intangible Asset72
Goodwill and Intangible Assets - Estimated Future Amortization Expense (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,018 | $ 1,560 |
2,019 | 1,035 |
2,020 | 957 |
2,021 | 954 |
2,022 | 954 |
Thereafter | 2,465 |
Total future amortization expense | $ 7,925 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Assets and Liabilities At Fair Value (Details) - USD ($) | Jan. 25, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2017 | Sep. 02, 2016 | Dec. 31, 2015 | |||
Assets and liabilities that are carried at fair value | |||||||||
Maximum recovery period of other receivables | 3 months | ||||||||
Assets | |||||||||
Marketable securities, at fair value | $ 85,544,000 | $ 76,687,000 | |||||||
VIE and other finance receivables, at fair value | 4,278,956,000 | 4,157,037,000 | |||||||
Mortgage loans held for sale, at fair value | 261,194,000 | [1] | 232,770,000 | [1] | $ 124,508,000 | ||||
Mortgage servicing rights, at fair value | [1] | 56,134,000 | 41,697,000 | ||||||
Liabilities | |||||||||
VIE derivative liabilities, at fair value | 38,460,000 | 50,432,000 | |||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778,000 | 4,014,450,000 | |||||||
TRA obligations | 160,100,000 | ||||||||
Total at Fair Value | |||||||||
Assets | |||||||||
Marketable securities, at fair value | 85,544,000 | 76,687,000 | |||||||
VIE and other finance receivables, at fair value | 4,278,956,000 | 4,157,037,000 | |||||||
Mortgage loans held for sale, at fair value | 261,194,000 | 232,770,000 | |||||||
Mortgage servicing rights, at fair value | 56,134,000 | 41,697,000 | |||||||
Total Assets | 4,697,962,000 | 4,514,922,000 | |||||||
Liabilities | |||||||||
VIE derivative liabilities, at fair value | 38,460,000 | 50,432,000 | |||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778,000 | 4,014,450,000 | |||||||
Forward sale commitments, at fair value | 623,000 | 0 | |||||||
Total Liabilities | 4,143,861,000 | 4,064,882,000 | |||||||
TRA, aggregate fair value | 6,646,000 | 0 | |||||||
Total at Fair Value | Interest Rate Lock Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 16,134,000 | 6,072,000 | |||||||
Total at Fair Value | Forward Sale Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 0 | 659,000 | |||||||
Carrying Amount | |||||||||
Assets | |||||||||
Marketable securities, at fair value | 85,544,000 | 76,687,000 | |||||||
VIE and other finance receivables, at fair value | 4,278,956,000 | 4,157,037,000 | |||||||
Mortgage loans held for sale, at fair value | 261,194,000 | 232,770,000 | |||||||
Mortgage servicing rights, at fair value | 56,134,000 | 41,697,000 | |||||||
Liabilities | |||||||||
VIE derivative liabilities, at fair value | 38,460,000 | 50,432,000 | |||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778,000 | 4,014,450,000 | |||||||
Forward sale commitments, at fair value | 623,000 | 0 | |||||||
TRA, aggregate fair value | 160,113,000 | 0 | |||||||
Carrying Amount | Interest Rate Lock Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 16,134,000 | 6,072,000 | |||||||
Carrying Amount | Forward Sale Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 0 | 659,000 | |||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | |||||||||
Assets | |||||||||
Marketable securities, at fair value | 83,251,000 | 74,421,000 | |||||||
VIE and other finance receivables, at fair value | 0 | 0 | |||||||
Mortgage loans held for sale, at fair value | 0 | 0 | |||||||
Mortgage servicing rights, at fair value | 0 | 0 | |||||||
Total Assets | 83,251,000 | 74,421,000 | |||||||
Liabilities | |||||||||
VIE derivative liabilities, at fair value | 0 | 0 | |||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 0 | 0 | |||||||
Forward sale commitments, at fair value | 0 | ||||||||
Total Liabilities | 0 | 0 | |||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | Interest Rate Lock Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 0 | 0 | |||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | Forward Sale Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 0 | ||||||||
Significant Other Observable Inputs Level 2 | |||||||||
Assets | |||||||||
Marketable securities, at fair value | 2,293,000 | 2,266,000 | |||||||
VIE and other finance receivables, at fair value | 0 | 0 | |||||||
Mortgage loans held for sale, at fair value | 261,194,000 | 232,770,000 | |||||||
Mortgage servicing rights, at fair value | 0 | 0 | |||||||
Total Assets | 263,487,000 | 235,695,000 | |||||||
Liabilities | |||||||||
VIE derivative liabilities, at fair value | 38,460,000 | 50,432,000 | |||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 0 | 0 | |||||||
Forward sale commitments, at fair value | 623,000 | ||||||||
Total Liabilities | 39,083,000 | 50,432,000 | |||||||
Significant Other Observable Inputs Level 2 | Interest Rate Lock Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 0 | 0 | |||||||
Significant Other Observable Inputs Level 2 | Forward Sale Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 659,000 | ||||||||
Significant Unobservable Inputs Level 3 | |||||||||
Assets | |||||||||
Marketable securities, at fair value | 0 | 0 | |||||||
VIE and other finance receivables, at fair value | 4,278,956,000 | 4,157,037,000 | |||||||
Mortgage loans held for sale, at fair value | 0 | 0 | |||||||
Mortgage servicing rights, at fair value | 56,134,000 | 41,697,000 | |||||||
Total Assets | 4,351,224,000 | 4,204,806,000 | |||||||
Liabilities | |||||||||
VIE derivative liabilities, at fair value | 0 | 0 | |||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778,000 | 4,014,450,000 | |||||||
Forward sale commitments, at fair value | 0 | ||||||||
Total Liabilities | 4,104,778,000 | 4,014,450,000 | |||||||
Significant Unobservable Inputs Level 3 | Interest Rate Lock Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | 16,134,000 | 6,072,000 | |||||||
Significant Unobservable Inputs Level 3 | Forward Sale Commitments | |||||||||
Assets | |||||||||
Derivative assets, at fair value | $ 0 | ||||||||
Subsequent Event | |||||||||
Assets and liabilities that are carried at fair value | |||||||||
TRA, cash consideration paid | $ 4,800,000 | ||||||||
TRA, aggregate fair value | $ 6,600,000 | ||||||||
Residual Term Facility | VIE | |||||||||
Assets and liabilities that are carried at fair value | |||||||||
Face amount of debt | $ 133,000,000 | $ 2,300,000 | $ 207,500,000 | ||||||
VIE and other finance receivables, at fair value | |||||||||
Assets and liabilities that are carried at fair value | |||||||||
Discount rate for discounting residual cash flows | 9.14% | 9.75% | |||||||
Weighted average life | 20 years | 20 years | |||||||
Loss assumption (as a percent) | 0.25% | ||||||||
TRA Claimants | Subsequent Event | Common Stock - Class A | |||||||||
Assets and liabilities that are carried at fair value | |||||||||
Shares issued | 161,961 | ||||||||
TRA Claimants | Subsequent Event | Common Stock - Class B | |||||||||
Assets and liabilities that are carried at fair value | |||||||||
Shares issued | 141,384 | ||||||||
[1] | Pledged as collateral to Other borrowings under revolving credit facilities and other similar borrowings. Refer to Note 8 "Mortgage Loans Held for Sale, at Fair Value" and Note 9 "Mortgage Servicing Rights, at Fair Value." |
Fair Value Measurements - Sum74
Fair Value Measurements - Summary of Level 3 Measurements (Details) - Level 3 - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Quantitative information about fair value measurements | ||
Fair value of assets excluding derivatives | $ 4,351,224,000 | $ 4,204,806,000 |
Fair value of assets | 4,351,224,000 | 4,204,806,000 |
Fair value of liabilities | 4,104,778,000 | 4,014,450,000 |
VIE long-term debt issued by securitizations and permanent financing trusts | ||
Quantitative information about fair value measurements | ||
Fair value of liabilities | $ 4,104,778,000 | $ 4,014,450,000 |
VIE long-term debt issued by securitizations and permanent financing trusts | Discounted cash flow | Minimum | ||
Unobservable Input | ||
Discount rate (as a percent) | 2.21% | 1.47% |
VIE long-term debt issued by securitizations and permanent financing trusts | Discounted cash flow | Maximum | ||
Unobservable Input | ||
Discount rate (as a percent) | 10.19% | 11.91% |
VIE long-term debt issued by securitizations and permanent financing trusts | Discounted cash flow | Weighted average | ||
Unobservable Input | ||
Discount rate (as a percent) | 4.10% | 4.25% |
VIE and other finance receivables, at fair value | ||
Quantitative information about fair value measurements | ||
Fair value of assets excluding derivatives | $ 4,278,956,000 | $ 4,157,037,000 |
VIE and other finance receivables, at fair value | Discounted cash flow | Minimum | ||
Unobservable Input | ||
Discount rate (as a percent) | 3.37% | 3.16% |
VIE and other finance receivables, at fair value | Discounted cash flow | Maximum | ||
Unobservable Input | ||
Discount rate (as a percent) | 10.19% | 12.77% |
VIE and other finance receivables, at fair value | Discounted cash flow | Weighted average | ||
Unobservable Input | ||
Discount rate (as a percent) | 4.17% | 4.32% |
Mortgage servicing rights, at fair value | ||
Quantitative information about fair value measurements | ||
Fair value of assets excluding derivatives | $ 56,134,000 | $ 41,697,000 |
Mortgage servicing rights, at fair value | Discounted cash flow | Minimum | ||
Unobservable Input | ||
Discount rate (as a percent) | 9.50% | 9.50% |
Prepayment speed (as a percent) | 4.45% | 6.04% |
Cost of servicing | $ 65 | $ 65 |
Mortgage servicing rights, at fair value | Discounted cash flow | Maximum | ||
Unobservable Input | ||
Discount rate (as a percent) | 12.50% | 14.06% |
Prepayment speed (as a percent) | 14.16% | 21.82% |
Cost of servicing | $ 90 | $ 90 |
Mortgage servicing rights, at fair value | Discounted cash flow | Weighted average | ||
Unobservable Input | ||
Discount rate (as a percent) | 9.95% | 10.11% |
Prepayment speed (as a percent) | 8.87% | 7.96% |
Cost of servicing | $ 71 | $ 73 |
Interest Rate Lock Commitments | ||
Quantitative information about fair value measurements | ||
Fair value of assets | $ 16,134,000 | $ 6,072,000 |
Interest Rate Lock Commitments | Internal model | Minimum | ||
Unobservable Input | ||
Pull-through rate (as a percent) | 0.00% | 37.25% |
Interest Rate Lock Commitments | Internal model | Maximum | ||
Unobservable Input | ||
Pull-through rate (as a percent) | 100.00% | 97.00% |
Interest Rate Lock Commitments | Internal model | Weighted average | ||
Unobservable Input | ||
Pull-through rate (as a percent) | 79.32% | 79.53% |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Assets Using Significant Unobservable Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Changes in assets | ||
Balance at the beginning of the period | $ 4,204,806 | $ 4,420,368 |
Total included in earnings (losses): | ||
Unrealized gains | 214,939 | 51,723 |
Realized gain on sale of finance receivable | 3,024 | 69,598 |
Included in other comprehensive gain | 0 | 0 |
Purchases of finance receivables | 285,868 | 273,298 |
Interest accreted | 173,652 | 173,194 |
Payments received | (505,999) | (507,110) |
Sale of finance receivables | (18,994) | (271,331) |
Transfers to other balance sheet line items | (6,072) | (4,934) |
Transfers in (out) of Level 3 | 0 | 0 |
Balance at the end of the period | 4,351,224 | 4,204,806 |
The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: | 214,939 | 51,723 |
VIE and other finance receivables, at fair value | ||
Changes in assets | ||
Balance at the beginning of the period | 4,157,037 | 4,386,147 |
Total included in earnings (losses): | ||
Unrealized gains | 184,368 | 33,241 |
Realized gain on sale of finance receivable | 3,024 | 69,598 |
Included in other comprehensive gain | 0 | 0 |
Purchases of finance receivables | 285,868 | 273,298 |
Interest accreted | 173,652 | 173,194 |
Payments received | (505,999) | (507,110) |
Sale of finance receivables | (18,994) | (271,331) |
Transfers to other balance sheet line items | 0 | 0 |
Transfers in (out) of Level 3 | 0 | 0 |
Balance at the end of the period | 4,278,956 | 4,157,037 |
The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: | 184,368 | 33,241 |
Mortgage servicing rights, at fair value | ||
Changes in assets | ||
Balance at the beginning of the period | 41,697 | 29,287 |
Total included in earnings (losses): | ||
Unrealized gains | 14,437 | 12,410 |
Realized gain on sale of finance receivable | 0 | 0 |
Included in other comprehensive gain | 0 | 0 |
Purchases of finance receivables | 0 | 0 |
Interest accreted | 0 | 0 |
Payments received | 0 | 0 |
Sale of finance receivables | 0 | 0 |
Transfers to other balance sheet line items | 0 | 0 |
Transfers in (out) of Level 3 | 0 | 0 |
Balance at the end of the period | 56,134 | 41,697 |
The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: | 14,437 | 12,410 |
Interest rate lock commitments, at fair value | ||
Changes in assets | ||
Balance at the beginning of the period | 6,072 | 4,934 |
Total included in earnings (losses): | ||
Unrealized gains | 16,134 | 6,072 |
Realized gain on sale of finance receivable | 0 | 0 |
Included in other comprehensive gain | 0 | 0 |
Purchases of finance receivables | 0 | 0 |
Interest accreted | 0 | 0 |
Payments received | 0 | 0 |
Sale of finance receivables | 0 | 0 |
Transfers to other balance sheet line items | (6,072) | (4,934) |
Transfers in (out) of Level 3 | 0 | 0 |
Balance at the end of the period | 16,134 | 6,072 |
The amount of net gains for the period included in revenues attributable to the change in unrealized gains or losses relating to assets still held as of: | $ 16,134 | $ 6,072 |
Fair Value Measurements - Cha76
Fair Value Measurements - Changes in Liabilities Using Significant Unobservable Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Changes in liabilities | ||
Transfers in (out) of Level 3 | $ 0 | $ 0 |
VIE long-term debt issued by securitizations and permanent financing trusts | ||
Changes in liabilities | ||
Balance at the beginning of the period | 4,014,450 | 3,928,818 |
Total included in (earnings) losses: Unrealized (gains) losses | 87,404 | 97,829 |
Issuances | 340,573 | 337,667 |
Interest accreted | (10,296) | (30,234) |
Repayments | (327,353) | (319,630) |
Transfers in (out) of Level 3 | 0 | 0 |
Balance at the end of the period | 4,104,778 | 4,014,450 |
Amount of total gains (losses) for the period included in earnings attributable to the change in unrealized gains or losses relating to long-term debt still held at the end of the period | $ 87,404 | $ 97,829 |
Fair Value Measurements - Sum77
Fair Value Measurements - Summary of Realized and Unrealized Gains and Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
VIE and other finance receivables and long-term debt | |||
Realized and unrealized gains and losses included in earnings | |||
Gains (losses) included in earnings | $ 99,988 | $ 5,010 | $ 70,930 |
Change in unrealized gains (losses) relating to assets still held | 96,964 | (64,588) | 65,324 |
Mortgage servicing rights, at fair value | |||
Realized and unrealized gains and losses included in earnings | |||
Gains (losses) included in earnings | 14,437 | 12,410 | 1,649 |
Change in unrealized gains (losses) relating to assets still held | 14,437 | 12,410 | 1,649 |
Interest Rate Lock Commitments | |||
Realized and unrealized gains and losses included in earnings | |||
Gains (losses) included in earnings | 16,134 | 6,072 | 4,934 |
Change in unrealized gains (losses) relating to assets still held | $ 16,134 | $ 6,072 | $ 4,934 |
Fair Value Measurements - Sum78
Fair Value Measurements - Summary of Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||
Financial assets | ||||||
VIE and other finance receivables, at fair value | $ 4,278,956 | $ 4,157,037 | ||||
Other receivables, net of allowance for losses | 20,918 | 17,771 | ||||
Mortgage loans held for sale, at fair value | 261,194 | [1] | 232,770 | [1] | $ 124,508 | |
Mortgage servicing rights, at fair value | [1] | 56,134 | 41,697 | |||
Marketable securities, at fair value | 85,544 | 76,687 | ||||
Financial liabilities | ||||||
Term loan payable | 0 | 431,872 | ||||
VIE derivative liabilities, at fair value | 38,460 | 50,432 | ||||
VIE borrowings under revolving credit facilities and other similar borrowings | 22,834 | 56,432 | ||||
Other borrowings under revolving credit facilities and other similar borrowings | 253,649 | 229,588 | ||||
VIE long-term debt | 58,480 | 62,939 | ||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778 | 4,014,450 | ||||
Installment obligations payable | 85,544 | 76,687 | ||||
Total at Fair Value | ||||||
Financial assets | ||||||
VIE and other finance receivables, at fair value | 4,278,956 | 4,157,037 | ||||
VIE and other finance receivables, net of allowance for losses | 80,504 | 88,300 | ||||
Other receivables, net of allowance for losses | 20,918 | 17,771 | ||||
Mortgage loans held for sale, at fair value | 261,194 | 232,770 | ||||
Mortgage servicing rights, at fair value | 56,134 | 41,697 | ||||
Marketable securities, at fair value | 85,544 | 76,687 | ||||
Financial liabilities | ||||||
Term loan payable | 0 | 242,730 | ||||
VIE derivative liabilities, at fair value | 38,460 | 50,432 | ||||
VIE borrowings under revolving credit facilities and other similar borrowings | 25,369 | 58,798 | ||||
Other borrowings under revolving credit facilities and other similar borrowings | 252,267 | 229,221 | ||||
VIE long-term debt | 55,792 | 57,268 | ||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778 | 4,014,450 | ||||
Forward sale commitments, at fair value | 623 | 0 | ||||
Installment obligations payable | 85,544 | 76,687 | ||||
Liabilities subject to compromise: | ||||||
Term loan payable | 153,119 | 0 | ||||
TRA, aggregate fair value | 6,646 | 0 | ||||
Total at Fair Value | Interest Rate Lock Commitments | ||||||
Financial assets | ||||||
Derivative assets, at fair value | 16,134 | 6,072 | ||||
Total at Fair Value | Forward Sale Commitments | ||||||
Financial assets | ||||||
Derivative assets, at fair value | 0 | 659 | ||||
Carrying Amount | ||||||
Financial assets | ||||||
VIE and other finance receivables, at fair value | 4,278,956 | 4,157,037 | ||||
VIE and other finance receivables, net of allowance for losses | 81,809 | 93,944 | ||||
Other receivables, net of allowance for losses | 20,918 | 17,771 | ||||
Mortgage loans held for sale, at fair value | 261,194 | 232,770 | ||||
Mortgage servicing rights, at fair value | 56,134 | 41,697 | ||||
Marketable securities, at fair value | 85,544 | 76,687 | ||||
Financial liabilities | ||||||
Term loan payable | 0 | 431,872 | ||||
VIE derivative liabilities, at fair value | 38,460 | 50,432 | ||||
VIE borrowings under revolving credit facilities and other similar borrowings | 22,834 | 56,432 | ||||
Other borrowings under revolving credit facilities and other similar borrowings | 253,649 | 229,588 | ||||
VIE long-term debt | 58,480 | 62,939 | ||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778 | 4,014,450 | ||||
Forward sale commitments, at fair value | 623 | 0 | ||||
Installment obligations payable | 85,544 | 76,687 | ||||
Liabilities subject to compromise: | ||||||
Term loan payable | 446,996 | 0 | ||||
TRA, aggregate fair value | 160,113 | 0 | ||||
Carrying Amount | Interest Rate Lock Commitments | ||||||
Financial assets | ||||||
Derivative assets, at fair value | 16,134 | 6,072 | ||||
Carrying Amount | Forward Sale Commitments | ||||||
Financial assets | ||||||
Derivative assets, at fair value | $ 0 | $ 659 | ||||
[1] | Pledged as collateral to Other borrowings under revolving credit facilities and other similar borrowings. Refer to Note 8 "Mortgage Loans Held for Sale, at Fair Value" and Note 9 "Mortgage Servicing Rights, at Fair Value." |
VIE and Other Finance Receiva79
VIE and Other Finance Receivables, at Fair Value (Details) - USD ($) | Jun. 30, 2017 | Mar. 31, 2017 | Aug. 31, 2016 | Jun. 30, 2016 | Apr. 30, 2016 | Feb. 29, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Sep. 28, 2017 | |
Variable Interest Entity [Line Items] | ||||||||||||
Maturity value | $ 6,715,441,000 | $ 6,584,344,000 | ||||||||||
Unearned income | (2,436,485,000) | (2,427,307,000) | ||||||||||
Total VIE and other finance receivables at fair value | 4,278,956,000 | 4,157,037,000 | ||||||||||
Encumbered VIE finance receivables | [1] | 4,269,619,000 | 4,143,903,000 | |||||||||
Unsecuritized finance receivables, fair value disclosure | 51,600,000 | 97,000,000 | ||||||||||
Expected cash flows | ||||||||||||
Total | 6,715,441,000 | 6,584,344,000 | ||||||||||
Net proceeds from sale of finance receivables | 18,994,000 | 271,331,000 | $ 21,949,000 | |||||||||
Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates | 112,316,000 | 17,225,000 | 80,023,000 | |||||||||
Servicing fee income | 989,000 | 929,000 | $ 811,000 | |||||||||
VIE and other finance receivables, at fair value | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Maturity value | 6,715,441,000 | |||||||||||
Expected cash flows | ||||||||||||
2,018 | 496,138,000 | |||||||||||
2,019 | 490,082,000 | |||||||||||
2,020 | 458,467,000 | |||||||||||
2,021 | 436,427,000 | |||||||||||
2,022 | 409,900,000 | |||||||||||
Thereafter | 4,424,427,000 | |||||||||||
Total | 6,715,441,000 | |||||||||||
Total receivable balance sold | $ 93,600,000 | $ 81,300,000 | $ 115,800,000 | $ 151,500,000 | $ 47,200,000 | |||||||
Net proceeds from sale of finance receivables | 59,200,000 | 50,800,000 | 70,000,000 | 91,300,000 | 20,800,000 | |||||||
Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates | $ 15,400,000 | $ 13,900,000 | $ 18,600,000 | $ 21,700,000 | ||||||||
Gain on private placement sale | $ 5,000,000 | |||||||||||
TRB, under Asset Sale Facility | ||||||||||||
Expected cash flows | ||||||||||||
Maximum receivables to be sold | $ 50,000,000 | |||||||||||
Increased maximum receivables to be sold under mutual agreement | $ 75,000,000 | |||||||||||
Asset sale agreement term | 1 year | |||||||||||
Total receivable balance sold | 19,800,000 | |||||||||||
Net proceeds from sale of finance receivables | 11,900,000 | |||||||||||
Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates | 1,000,000 | |||||||||||
TRB, under Second Asset Sale Facility | ||||||||||||
Expected cash flows | ||||||||||||
Maximum receivables to be sold | $ 5,000,000 | |||||||||||
Increased maximum receivables to be sold under mutual agreement | $ 25,000,000 | $ 15,000,000 | ||||||||||
Asset sale agreement term | 1 year | |||||||||||
Total receivable balance sold | 32,100,000 | |||||||||||
Net proceeds from sale of finance receivables | 5,500,000 | |||||||||||
Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates | 1,900,000 | |||||||||||
Other Finance Receivables | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Unencumbered | 9,337,000 | 13,134,000 | ||||||||||
Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Encumbered VIE finance receivables | 4,269,619,000 | 4,143,903,000 | ||||||||||
VIE securitization debt | Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Encumbered VIE finance receivables | 4,227,389,000 | 4,060,069,000 | ||||||||||
Variable funding note facility | JGW-S III | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Maximum borrowing capacity | 100,000,000 | 100,000,000 | ||||||||||
Variable funding note facility | Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | JGW-S III | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Encumbered VIE finance receivables | 0 | 27,966,000 | ||||||||||
Multi-tranche and lender credit facility | JGW V, LLC | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Maximum borrowing capacity | 150,000,000 | 150,000,000 | ||||||||||
Multi-tranche and lender credit facility | JGW VIII LLC | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Maximum borrowing capacity | 75,000,000 | 75,000,000 | ||||||||||
Multi-tranche and lender credit facility | Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | JGW V, LLC | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Encumbered VIE finance receivables | 9,287,000 | 55,868,000 | ||||||||||
Multi-tranche and lender credit facility | Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | JGW VIII LLC | ||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||
Encumbered VIE finance receivables | $ 32,943,000 | $ 0 | ||||||||||
[1] | Refer to Note 5 "VIE and Other Finance Receivables, at Fair Value" and Note 6 "VIE and Other Finance Receivables, net of Allowance for Losses" for further details on assets pledged as collateral. |
VIE and Other Finance Receiva80
VIE and Other Finance Receivables, net of Allowance for Losses (Details) - VIE and Other Finance Receivables, net - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Other receivables, net of allowance for losses | |||
Finance receivables, gross | $ 92,059 | $ 105,028 | |
Less: allowance for losses | (10,250) | (11,084) | $ (10,366) |
VIE and other finance receivables, net of allowances | 81,809 | 93,944 | |
Structured settlements and annuities | |||
Other receivables, net of allowance for losses | |||
Finance receivable before unearned income or deferred revenue | 64,437 | 67,872 | |
Less: unearned income | (38,764) | (42,030) | |
Finance receivables, gross | 25,673 | 25,842 | |
Less: allowance for losses | (89) | (93) | (69) |
VIE and other finance receivables, net of allowances | 25,584 | 25,749 | |
Lottery winnings | |||
Other receivables, net of allowance for losses | |||
Finance receivable before unearned income or deferred revenue | 55,641 | 63,957 | |
Less: unearned income | (13,777) | (16,799) | |
Finance receivables, gross | 41,864 | 47,158 | |
Less: allowance for losses | 0 | 0 | 0 |
VIE and other finance receivables, net of allowances | 41,864 | 47,158 | |
Pre-settlement funding transactions | |||
Other receivables, net of allowance for losses | |||
Finance receivable before unearned income or deferred revenue | 24,425 | 31,853 | |
Less: unearned income | (261) | (441) | |
Finance receivables, gross | 24,164 | 31,412 | |
Less: allowance for losses | (9,877) | (10,707) | (10,013) |
VIE and other finance receivables, net of allowances | 14,287 | 20,705 | |
Attorney cost financing | |||
Other receivables, net of allowance for losses | |||
Finance receivable before unearned income or deferred revenue | 358 | 616 | |
Less: unearned income | 0 | 0 | |
Finance receivables, gross | 358 | 616 | |
Less: allowance for losses | (284) | (284) | $ (284) |
VIE and other finance receivables, net of allowances | $ 74 | $ 332 |
VIE and Other Finance Receiva81
VIE and Other Finance Receivables, net of Allowance for Losses - Summary of Encumberances on VIE and Other Finance Receivables (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Encumbrances on financing receivable | ||
Unencumbered | $ 18,778 | $ 24,590 |
Expected cash flows | ||
Total | 6,715,441 | 6,584,344 |
Receivable which do not have specified maturity dates | 24,800 | |
VIE and Other Finance Receivables, net | ||
Encumbrances on financing receivable | ||
VIE and other finance receivables, net of allowances | 81,809 | 93,944 |
VIE and Other Finance Receivables, net | Structured settlements, annuities and lottery winnings | ||
Expected cash flows | ||
2,018 | 13,232 | |
2,019 | 10,085 | |
2,020 | 10,267 | |
2,021 | 10,530 | |
2,022 | 10,349 | |
Thereafter | 65,615 | |
Total | 120,078 | |
VIE and Other Finance Receivables, net | Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | ||
Encumbrances on financing receivable | ||
VIE and encumbered securitized debt | 63,031 | 69,354 |
Unencumbered | 10,774 | 15,971 |
VIE and Other Finance Receivables, net | VIE securitization debt | Variable Interest Entity, Primary Beneficiary, Aggregated Disclosure | ||
Encumbrances on financing receivable | ||
VIE and encumbered securitized debt | 63,031 | 69,354 |
Non-Variable Interest Entity and Other Financing Receivable | ||
Encumbrances on financing receivable | ||
Unencumbered | $ 8,004 | $ 8,619 |
VIE and Other Finance Receiva82
VIE and Other Finance Receivables, net of Allowance for Losses - Activity in Allowance for Losses for VIE (Details) - VIE and Other Finance Receivables, net - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Activity in the allowance for losses | ||
Balance at beginning of year | $ 11,084 | $ 10,366 |
Credit (provision) for loss | 2,600 | 3,431 |
Charge-offs | (3,458) | (2,860) |
Recoveries | 24 | 147 |
Balance at end of year | 10,250 | 11,084 |
Individually evaluated for impairment | 2,694 | 2,468 |
Collectively evaluated for impairment | 7,556 | 8,616 |
Individually evaluated for impairment | 67,631 | 73,324 |
Collectively evaluated for impairment | 14,178 | 20,620 |
VIE and other finance receivables, net of allowances | 81,809 | 93,944 |
Structured settlements and annuities | ||
Activity in the allowance for losses | ||
Balance at beginning of year | 93 | 69 |
Credit (provision) for loss | 6 | (91) |
Charge-offs | (27) | (32) |
Recoveries | 17 | 147 |
Balance at end of year | 89 | 93 |
Individually evaluated for impairment | 89 | 93 |
Collectively evaluated for impairment | 0 | 0 |
Individually evaluated for impairment | 25,584 | 25,749 |
Collectively evaluated for impairment | 0 | 0 |
VIE and other finance receivables, net of allowances | 25,584 | 25,749 |
Lottery winnings | ||
Activity in the allowance for losses | ||
Balance at beginning of year | 0 | 0 |
Credit (provision) for loss | (7) | 7 |
Charge-offs | 0 | (7) |
Recoveries | 7 | 0 |
Balance at end of year | 0 | 0 |
Individually evaluated for impairment | 0 | 0 |
Collectively evaluated for impairment | 0 | 0 |
Individually evaluated for impairment | 41,864 | 47,158 |
Collectively evaluated for impairment | 0 | 0 |
VIE and other finance receivables, net of allowances | 41,864 | 47,158 |
Pre-settlement funding transactions | ||
Activity in the allowance for losses | ||
Balance at beginning of year | 10,707 | 10,013 |
Credit (provision) for loss | 2,601 | 3,515 |
Charge-offs | (3,431) | (2,821) |
Recoveries | 0 | 0 |
Balance at end of year | 9,877 | 10,707 |
Individually evaluated for impairment | 2,321 | 2,091 |
Collectively evaluated for impairment | 7,556 | 8,616 |
Individually evaluated for impairment | 109 | 85 |
Collectively evaluated for impairment | 14,178 | 20,620 |
VIE and other finance receivables, net of allowances | 14,287 | 20,705 |
Impaired financing receivable | 11,300 | 14,700 |
Attorney cost financing | ||
Activity in the allowance for losses | ||
Balance at beginning of year | 284 | 284 |
Credit (provision) for loss | 0 | 0 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Balance at end of year | 284 | 284 |
Individually evaluated for impairment | 284 | 284 |
Collectively evaluated for impairment | 0 | 0 |
Individually evaluated for impairment | 74 | 332 |
Collectively evaluated for impairment | 0 | 0 |
VIE and other finance receivables, net of allowances | 74 | 332 |
Impaired financing receivable | $ 400 | $ 400 |
Pre-settlement funding transactions and attorney cost financing | ||
Activity in the allowance for losses | ||
Minimum term of receivable | 1 year |
VIE and Other Finance Receiva83
VIE and Other Finance Receivables, net of Allowance for Losses - Gross Finance Receivables Related to Pre-settlement Funding (Details) - VIE and Other Finance Receivables, net - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Other receivables, net of allowance for losses | |||
Reserve for financing receivable | $ 10,250 | $ 11,084 | $ 10,366 |
Pre-settlement funding transactions | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 24,425 | 31,853 | |
Reserve for financing receivable | 9,877 | 10,707 | 10,013 |
Pre-settlement funding transactions | 2009 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 416 | 690 | |
Pre-settlement funding transactions | 2010 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 1,609 | 1,848 | |
Pre-settlement funding transactions | 2011 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 2,816 | 3,891 | |
Pre-settlement funding transactions | 2012 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 2,769 | 4,279 | |
Pre-settlement funding transactions | 2013 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 2,619 | 5,390 | |
Pre-settlement funding transactions | 2014 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 12,037 | 13,085 | |
Pre-settlement funding transactions | 2015 | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 2,159 | 2,670 | |
Attorney cost financing | |||
Other receivables, net of allowance for losses | |||
Gross financing receivable | 358 | 616 | |
Reserve for financing receivable | $ 284 | $ 284 | $ 284 |
VIE and Other Finance Receiva84
VIE and Other Finance Receivables, net of Allowance for Losses - Portfolio Delinquency Status Excluding Pre-settlement Funding Transactions (Details) - VIE and Other Finance Receivables, net - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 341 | $ 313 |
Current | 67,107 | 72,594 |
VIE and Other Finance Receivables, net | 67,448 | 72,907 |
VIE and Other Finance Receivables, net greater than 90 days accruing | 0 | 0 |
30-59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 10 | 11 |
60-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 126 | 9 |
Greater than 90 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 205 | 293 |
Structured settlements and annuities | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 163 | 104 |
Current | 25,421 | 25,645 |
VIE and Other Finance Receivables, net | 25,584 | 25,749 |
VIE and Other Finance Receivables, net greater than 90 days accruing | 0 | 0 |
Structured settlements and annuities | 30-59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 10 | 11 |
Structured settlements and annuities | 60-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 7 | 5 |
Structured settlements and annuities | Greater than 90 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 146 | 88 |
Lottery winnings | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 178 | 209 |
Current | 41,686 | 46,949 |
VIE and Other Finance Receivables, net | 41,864 | 47,158 |
VIE and Other Finance Receivables, net greater than 90 days accruing | 0 | 0 |
Lottery winnings | 30-59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Lottery winnings | 60-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 119 | 4 |
Lottery winnings | Greater than 90 Days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 59 | $ 205 |
Other Receivables, Net of All85
Other Receivables, Net of Allowance for Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Receivables [Abstract] | |||
Advances receivable | $ 1,922 | $ 1,800 | |
Notes receivable | 10,513 | 9,627 | |
Tax withholding receivables on lottery winnings | 246 | 246 | |
Broker fee receivable | 414 | 984 | |
Other | 8,096 | 5,394 | |
Other receivables, gross | 21,191 | 18,051 | |
Less: allowance for losses | (273) | (280) | |
Other receivables, net of allowances for losses | 20,918 | 17,771 | |
Activity in the allowance for doubtful accounts | |||
Provision for losses | 4,860 | 5,958 | $ 5,576 |
Other receivables | |||
Activity in the allowance for doubtful accounts | |||
Beginning balance | 280 | 273 | |
Provision for losses | (4) | 12 | |
Recoveries | 0 | (5) | |
Charge-offs | (3) | 0 | |
Ending balance | $ 273 | $ 280 | $ 273 |
Mortgage Loans Held for Sale,86
Mortgage Loans Held for Sale, at Fair Value (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |||||
Receivables [Abstract] | ||||||||
Unpaid principal balance of mortgage loans held for sale | $ 253,427 | $ 230,261 | ||||||
Fair value adjustment | 7,767 | 2,509 | ||||||
Mortgage loans held for sale, at fair value | $ 232,770 | [1] | $ 124,508 | 261,194 | [1] | 232,770 | [1] | |
Increase (Decrease) in Mortgage Loans Held-for-sale [Roll Forward] | ||||||||
Balance at beginning of period | 232,770 | [1] | 124,508 | |||||
Originations and purchases of mortgage loans held for sale, net of fees | 3,789,972 | 3,441,939 | ||||||
Proceeds from sale of and principal payments on mortgage loans held for sale | (3,817,815) | (3,408,065) | ||||||
Net change in fair value of mortgage loans held for sale | 56,267 | 74,388 | ||||||
Balance at end of period | [1] | $ 261,194 | 232,770 | |||||
Real Estate Loan | Government National Mortgage Association (GNMA) Insured Loans | ||||||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||||||
Duration for delinquency consideration for Ginnie Mae pools | 90 days | |||||||
Principal of loans managed and securitized | $ 42,700 | $ 39,700 | ||||||
Mortgage loans considered delinquent or defaulted | $ 11,900 | $ 17,700 | ||||||
[1] | Pledged as collateral to Other borrowings under revolving credit facilities and other similar borrowings. Refer to Note 8 "Mortgage Loans Held for Sale, at Fair Value" and Note 9 "Mortgage Servicing Rights, at Fair Value." |
Mortgage Loans Held for Sale,87
Mortgage Loans Held for Sale, at Fair Value - Loan Indemnification Activity (Details) - Indemnification Agreement - Other Liabilities - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Indemnification Asset [Roll Forward] | ||
Balance at beginning of period | $ 3,010 | $ 2,575 |
Provision for loan servicing and repurchases | 2,264 | 2,527 |
Write-offs, net | (2,057) | (2,092) |
Balance at end of period | $ 3,217 | $ 3,010 |
Mortgage Servicing Rights, at88
Mortgage Servicing Rights, at Fair Value (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Balance at beginning of period | [1] | $ 41,697,000 | |
Mortgage servicing rights, at fair value | [1] | 56,134,000 | $ 41,697,000 |
Unpaid principal balance of mortgage loans serviced | $ 5,300,000,000 | $ 4,100,000,000 | |
Minimum | |||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Discount rates | 9.50% | 9.50% | |
Annual prepayment speeds | 4.45% | 6.04% | |
Cost of servicing | $ 65 | $ 65 | |
Maximum | |||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Discount rates | 12.50% | 14.06% | |
Annual prepayment speeds | 14.16% | 21.82% | |
Cost of servicing | $ 90 | $ 90 | |
Weighted average | |||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Discount rates | 9.95% | 10.11% | |
Annual prepayment speeds | 8.87% | 7.96% | |
Cost of servicing | $ 71 | $ 73 | |
Mortgage servicing rights, at fair value | |||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Balance at beginning of period | 41,697,000 | 29,287,000 | |
Additions due to loans sold, servicing retained | 20,812,000 | 17,294,000 | |
Reductions due to loan payoffs and foreclosures | (8,201,000) | (7,178,000) | |
Fair value adjustment | 1,826,000 | 2,294,000 | |
Mortgage servicing rights, at fair value | $ 56,134,000 | $ 41,697,000 | |
[1] | Pledged as collateral to Other borrowings under revolving credit facilities and other similar borrowings. Refer to Note 8 "Mortgage Loans Held for Sale, at Fair Value" and Note 9 "Mortgage Servicing Rights, at Fair Value." |
Mortgage Servicing Rights, at89
Mortgage Servicing Rights, at Fair Value - Sensitivity Analysis (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Transfers and Servicing [Abstract] | ||
Discount Rate: Effect on value - 100 basis points adverse change | $ (2,170) | $ (1,612) |
Discount Rate: Effect on value - 200 basis points adverse change | (4,184) | (3,109) |
Prepayment Speeds: Effect on value - 5% adverse change | $ (990) | (686) |
Prepayment Speeds: Effect on value - 5% adverse change, percent | 5.00% | |
Prepayment Speeds: Effect on value - 10% adverse change | $ (1,945) | (1,370) |
Cost of Servicing: Effect on value - 5% adverse change | $ (410) | (327) |
Cost of Servicing: Effect on value - 5% adverse change, percent | 5.00% | |
Cost of Servicing: Effect on value - 10% adverse change | $ (820) | $ (653) |
Cost of Servicing: Effect on value - 10% adverse change, percent | 10.00% |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2017 | |
Fixed assets and leasehold improvements | ||||
Total fixed assets at cost | $ 16,085 | $ 14,702 | ||
Less: accumulated depreciation | (12,931) | (10,697) | ||
Premises and equipment, net of accumulated depreciation | 3,154 | 4,005 | ||
Depreciation expense including amortization of assets under capital lease | 2,403 | 2,736 | $ 2,365 | |
Computer software and equipment | ||||
Fixed assets and leasehold improvements | ||||
Total fixed assets at cost | 8,469 | 7,612 | ||
Furniture, fixtures and equipment | ||||
Fixed assets and leasehold improvements | ||||
Total fixed assets at cost | 6,292 | 5,975 | ||
Leasehold improvements | ||||
Fixed assets and leasehold improvements | ||||
Total fixed assets at cost | $ 1,324 | $ 1,115 | ||
Leasehold improvements | Structured Settlements | ||||
Fixed assets and leasehold improvements | ||||
Total fixed assets at cost | $ 300 | |||
Less: accumulated depreciation | $ (200) |
Debt Issuance Costs (Details)
Debt Issuance Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt issuance costs included in other assets | |||
Debt issuance costs | $ 40,355 | $ 44,717 | |
Less: accumulated amortization | (31,498) | (31,250) | |
Unamortized debt issuance costs | 8,857 | 13,467 | |
Debt Instrument [Line Items] | |||
Amortization expense for capitalized debt issuance cost | 7,665 | 12,955 | $ 7,949 |
Debt issuance costs related to securitizations | 5,878 | 5,117 | 6,741 |
Securitization trusts | |||
Debt Instrument [Line Items] | |||
Debt issuance costs related to securitizations | 5,878 | 5,117 | 6,741 |
Interest Expense | |||
Debt Instrument [Line Items] | |||
Amortization expense for capitalized debt issuance cost | $ 7,700 | $ 13,300 | $ 7,700 |
Operating and Capital Leases (D
Operating and Capital Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Future minimum lease payments due under non-cancellable operating leases | |||
2,018 | $ 6,805 | ||
2,019 | 5,431 | ||
2,020 | 4,274 | ||
2,021 | 4,215 | ||
2,022 | 3,891 | ||
Thereafter | 13,653 | ||
Total | 38,269 | ||
Rent expense | 5,322 | $ 4,119 | $ 2,387 |
Future minimum lease payments under capital leases | |||
2,018 | 65 | ||
2,019 | 65 | ||
2,020 | 59 | ||
2,021 | 0 | ||
2,022 | 0 | ||
Thereafter | 0 | ||
Total | $ 189 |
Term Loan Payable (Details)
Term Loan Payable (Details) | Jan. 25, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 11, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Debt Instrument [Line Items] | ||||||
Other borrowings under revolving credit facilities and other similar borrowings | $ 253,649,000 | $ 253,649,000 | $ 229,588,000 | |||
Member's capital free of limitations on payment of dividends | 300,000 | |||||
Stockholders equity (deficit) and members capital | (250,093,000) | (250,093,000) | $ (40,408,000) | |||
Interest accrued and classified as Liabilities Subject To Compromise | $ 6,800,000 | |||||
Interest expense not recorded but reclassified to LSTC | 1,800,000 | |||||
Subsequent Event | Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | $ 70,000,000 | |||||
Leverage ratio | 3.50 | |||||
Maximum | ||||||
Debt Instrument [Line Items] | ||||||
Leverage ratio | 4.75 | |||||
LIBOR | Subsequent Event | Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate floor | 1.00% | |||||
Margin on variable rate | 5.00% | |||||
New term loan | ||||||
Debt Instrument [Line Items] | ||||||
Face amount of debt | $ 449,500,000 | $ 449,500,000 | $ 449,500,000 | |||
Interest rate (as a percent) | 7.31% | 7.31% | 7.00% | |||
Interest expense | $ 39,500,000 | $ 40,600,000 | $ 40,400,000 | |||
New term loan | LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate floor | 1.00% | 1.00% | ||||
Margin on variable rate | 6.00% | |||||
New term loan | Base rate | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate floor | 2.00% | 2.00% | ||||
Margin on variable rate | 5.00% | |||||
Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | 20,000,000 | |||||
Other borrowings under revolving credit facilities and other similar borrowings | $ 0 | |||||
Unused fee (as a percent) | 0.50% | |||||
Percent of borrowing capacity threshold for maximum total leverage ratio | 15.00% | |||||
Maximum total leverage ratio, borrowing capacity threshold, amount | $ 3,000,000 | |||||
Letters of credit | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | $ 10,000,000 | $ 10,000,000 |
VIE Borrowings Under Revolvin94
VIE Borrowings Under Revolving Credit Facilities and Other Similar Borrowings (Details) - USD ($) | 1 Months Ended | 4 Months Ended | 12 Months Ended | |||
May 31, 2016 | Jan. 31, 2016 | Apr. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Line of Credit Facility [Line Items] | ||||||
VIE borrowings under revolving credit facilities and other similar borrowings | $ 22,834,000 | $ 56,432,000 | ||||
Debt issuance costs | 40,355,000 | 44,717,000 | ||||
Revolving credit facilities and other similar borrowings | VIE | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest expense related to borrowings | $ 6,400,000 | $ 8,200,000 | $ 9,000,000 | |||
Weighted average interest rate on outstanding borrowings (as a percent) | 6.69% | 5.00% | ||||
JGW-S III | Variable funding note facility | ||||||
Line of Credit Facility [Line Items] | ||||||
VIE borrowings under revolving credit facilities and other similar borrowings | $ 0 | $ 18,912,000 | ||||
JGW-S III | Variable funding note facility | VIE | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 100,000,000 | $ 100,000,000 | ||||
Interest payable monthly (as a percent) | 6.50% | |||||
Monthly unused fee (as a percent) | 0.75% | |||||
Credit facility, revolving period | 18 months | 2 years | ||||
JGW V, LLC | Multi-tranche and lender credit facility | ||||||
Line of Credit Facility [Line Items] | ||||||
VIE borrowings under revolving credit facilities and other similar borrowings | 2,654,000 | $ 37,520,000 | ||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 300,000,000 | $ 150,000,000 | $ 150,000,000 | |||
Monthly unused fee (as a percent) | 0.625% | 0.625% | ||||
Debt issuance costs | $ 1,500,000 | |||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | Tranche A | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate floor (as a percent) | 3.55% | 3.55% | ||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | Tranche B | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate floor (as a percent) | 6.05% | 6.05% | ||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | LIBOR | Tranche A | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate (as a percent) | 5.07% | 3.92% | ||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | LIBOR | Tranche B | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate (as a percent) | 7.57% | 6.42% | ||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | Commercial Paper rate | Tranche A | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate (as a percent) | 5.07% | 4.43% | ||||
JGW V, LLC | Multi-tranche and lender credit facility | VIE | Base rate | ||||||
Line of Credit Facility [Line Items] | ||||||
Increase in basis spread on variable rate (as a percent) | 0.30% | |||||
JGW VIII LLC | Variable funding note facility | ||||||
Line of Credit Facility [Line Items] | ||||||
VIE borrowings under revolving credit facilities and other similar borrowings | $ 20,180,000 | $ 0 | ||||
JGW IV | Credit facility | VIE | ||||||
Line of Credit Facility [Line Items] | ||||||
VIE borrowings under revolving credit facilities and other similar borrowings | $ 0 | |||||
Maximum borrowing capacity | $ 50,000,000 | |||||
Monthly unused fee (as a percent) | 0.50% | |||||
Termination fee | $ 0 | |||||
Write off of unamortized debt issuance costs | 500,000 | |||||
JGW VII, LLC | Credit facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 100,000,000 | $ 100,000,000 | $ 300,000,000 | |||
JGW VII, LLC | Credit facility | VIE | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 75,000,000 | |||||
Interest payable monthly (as a percent) | 7.00% | |||||
Monthly unused fee (as a percent) | 1.00% | |||||
Write off of unamortized debt issuance costs | $ 1,100,000 |
Other Borrowings Under Revolv95
Other Borrowings Under Revolving Credit Facilities and Other Similar Borrowings (Details) - USD ($) | Jan. 25, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Mar. 26, 2018 | Mar. 11, 2018 | Feb. 28, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | Jul. 31, 2016 |
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | $ 253,649,000 | $ 229,588,000 | |||||||
Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate (as a percent) | 3.84% | 2.86% | |||||||
Interest expense | $ 8,000,000 | $ 5,800,000 | |||||||
Revolving Credit Facility | Subsequent Event | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 70,000,000 | ||||||||
Revolving Credit Facility | LIBOR | Subsequent Event | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 5.00% | ||||||||
Warehouse Line of Credit | Line Of Credit Agreement Expiring May 11, 2018 | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 50,000,000 | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring February 9, 2018 at $95.0 million | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | 64,494,000 | $ 65,565,000 | |||||||
Maximum borrowing capacity | $ 95,000,000 | ||||||||
Interest rate (as a percent) | 3.84% | 3.07% | |||||||
Non-usage fee | 0.25% | ||||||||
Interest rate floor (as a percent) | 2.50% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring February 9, 2018 at $95.0 million | Subsequent Event | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 125,000,000 | $ 95,000,000 | |||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring February 9, 2018 at $95.0 million | LIBOR | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 2.35% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring August 15, 2018 at $150.0 million | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | $ 117,639,000 | $ 39,140,000 | |||||||
Maximum borrowing capacity | $ 150,000,000 | ||||||||
Interest rate (as a percent) | 3.64% | 2.97% | |||||||
Interest rate floor (as a percent) | 2.40% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring August 15, 2018 at $150.0 million | LIBOR | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 2.15% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring November 15, 2018 at $95.0 million | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | $ 66,016,000 | $ 39,347,000 | |||||||
Maximum borrowing capacity | $ 95,000,000 | ||||||||
Interest rate (as a percent) | 4.09% | 3.32% | |||||||
Non-usage fee | 0.25% | ||||||||
Interest rate floor (as a percent) | 3.10% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring November 15, 2018 at $95.0 million | Scenario, Forecast | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 70,000,000 | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring November 15, 2018 at $95.0 million | LIBOR | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 2.60% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring February 5, 2017 at $25.0 million | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | $ 0 | $ 13,057,000 | |||||||
Maximum borrowing capacity | $ 25,000,000 | ||||||||
Interest rate (as a percent) | 2.87% | ||||||||
Non-usage fee | 0.25% | ||||||||
Interest rate floor (as a percent) | 2.50% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Expiring February 5, 2017 at $25.0 million | LIBOR | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 2.15% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Terminated March 2017, at $100.0 million | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | 0 | $ 68,479,000 | |||||||
Maximum borrowing capacity | $ 100,000,000 | ||||||||
Interest rate (as a percent) | 2.97% | ||||||||
Warehouse Line of Credit | Credit facility | Line Of Credit Agreement Terminated March 2017, at $100.0 million | LIBOR | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 2.25% | ||||||||
Operating Line Of Credit | Credit facility | Line Of Credit Agreement Expiring August 15, 2018, at $10.0 million | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Other borrowings under revolving credit facilities and other similar borrowings | 5,500,000 | $ 4,000,000 | |||||||
Maximum borrowing capacity | $ 10,000,000 | $ 10,000,000 | $ 6,000,000 | ||||||
Interest rate (as a percent) | 5.00% | 5.00% | |||||||
Non-usage fee | 0.50% | ||||||||
Interest rate floor (as a percent) | 5.00% | ||||||||
Operating Line Of Credit | Credit facility | Line Of Credit Agreement Expiring August 15, 2018, at $10.0 million | Prime Rate | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Margin on variable rate | 0.50% |
VIE Long-Term Debt (Details)
VIE Long-Term Debt (Details) | Sep. 02, 2016USD ($)securitization | Mar. 31, 2017USD ($)securitization | Dec. 31, 2012USD ($) | Dec. 31, 2010USD ($) | Dec. 31, 2017USD ($)securitizationtransaction | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2011USD ($)note | Nov. 30, 2010USD ($) |
Debt Instrument [Line Items] | |||||||||
VIE long-term debt | $ 58,480,000 | $ 62,939,000 | |||||||
VIE | |||||||||
Debt Instrument [Line Items] | |||||||||
Number of asset securitization transactions completed | transaction | 3 | ||||||||
VIE | LCSS III, LLC | LCSS, LLC | |||||||||
Debt Instrument [Line Items] | |||||||||
Ownership percentage | 100.00% | ||||||||
VIE | LCSS II | LCSS III, LLC | |||||||||
Debt Instrument [Line Items] | |||||||||
Ownership percentage | 100.00% | ||||||||
VIE | LCSS, LLC | |||||||||
Debt Instrument [Line Items] | |||||||||
Cash | $ 200,000 | ||||||||
VIE long-term debt | |||||||||
Estimated principal payments on borrowings | |||||||||
2,018 | $ 4,707,000 | ||||||||
2,019 | 5,026,000 | ||||||||
2,020 | 5,643,000 | ||||||||
2,021 | 5,614,000 | ||||||||
2,022 | 5,990,000 | ||||||||
Thereafter | 30,834,000 | ||||||||
Outstanding Principal | 57,814,000 | ||||||||
Interest expense related to borrowings | 6,100,000 | 17,600,000 | $ 16,800,000 | ||||||
PLMT Permanent Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
VIE long-term debt | 34,199,000 | $ 37,630,000 | |||||||
PLMT Permanent Facility | VIE | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount of debt | $ 75,000,000 | ||||||||
Variable interest rate basis | one-month LIBOR | ||||||||
Interest rate (as a percent) | 2.61% | 1.87% | |||||||
PLMT Permanent Facility | VIE | LIBOR | |||||||||
Debt Instrument [Line Items] | |||||||||
Margin on variable rate | 1.25% | ||||||||
Long-Term Pre-settlement Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
VIE long-term debt | $ 5,118,000 | $ 5,427,000 | |||||||
Long-Term Pre-settlement Facility | VIE | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount of debt | $ 45,100,000 | ||||||||
Interest rate (as a percent) | 9.25% | ||||||||
Number of fixed rate notes issued | note | 3 | ||||||||
2012-A Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
VIE long-term debt | $ 488,000 | 708,000 | |||||||
2012-A Facility | VIE | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate (as a percent) | 9.25% | ||||||||
Proceeds from notes | $ 2,500,000 | ||||||||
LCSS Facility (2010-C) | |||||||||
Debt Instrument [Line Items] | |||||||||
VIE long-term debt | 11,516,000 | 12,015,000 | |||||||
LCSS Facility (2010-C) | VIE | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount of debt | $ 12,900,000 | ||||||||
Interest rate (as a percent) | 10.00% | ||||||||
LCSS Facility (2010-D) | |||||||||
Debt Instrument [Line Items] | |||||||||
VIE long-term debt | 7,159,000 | $ 7,159,000 | |||||||
LCSS Facility (2010-D) | VIE | LCSS II | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount of debt | $ 7,200,000 | ||||||||
Interest rate (as a percent) | 10.00% | ||||||||
Residual Term Facility | VIE | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount of debt | $ 207,500,000 | $ 2,300,000 | $ 133,000,000 | ||||||
Number of asset securitization transactions completed | securitization | 36 | 1 | 28 | ||||||
Repayments of line of credits | $ 131,400,000 | ||||||||
Termination fee | 400,000 | ||||||||
Write off of unamortized debt issuance costs | $ 3,300,000 | ||||||||
Interest rate (as a percent) | 7.25% |
VIE Long-Term Debt Issued by 97
VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Value (Details) | Dec. 19, 2017USD ($) | Aug. 09, 2017USD ($) | Mar. 22, 2017USD ($) | Oct. 26, 2016USD ($) | Sep. 02, 2016USD ($)securitization | Mar. 31, 2017USD ($)securitization | Feb. 28, 2015USD ($) | Dec. 31, 2017USD ($)securitizationtransaction | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Debt Instrument [Line Items] | ||||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | $ 4,104,778,000 | $ 4,014,450,000 | ||||||||
Debt issuance | 5,878,000 | 5,117,000 | $ 6,741,000 | |||||||
Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778,000 | 4,014,450,000 | ||||||||
Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 4,104,778,000 | 4,014,450,000 | ||||||||
VIE long-term debt issued by securitizations and permanent financing trusts | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 3,919,376,000 | |||||||||
VIE | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Number of asset securitization transactions completed | transaction | 3 | |||||||||
VIE | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 3,492,790,000 | 3,460,820,000 | ||||||||
VIE | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | 3,618,251,000 | 3,550,503,000 | ||||||||
VIE | Permanent financing VIEs | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | 426,586,000 | 445,339,000 | ||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 486,527,000 | 463,947,000 | ||||||||
VIE | PSS | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | 120,317,000 | 134,742,000 | ||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | $ 117,610,000 | $ 128,897,000 | ||||||||
VIE | PSS | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | Libor | ||||||||
Margin on variable rate | 1.00% | 1.00% | ||||||||
VIE | Crescit | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 22,608,000 | $ 24,512,000 | ||||||||
Stated Rate (as a percent) | 8.10% | 8.10% | ||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | $ 28,523,000 | $ 30,991,000 | ||||||||
VIE | JGW Residual I, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | 189,847,000 | 203,088,000 | ||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | 246,138,000 | 221,062,000 | ||||||||
VIE | JGW Residual II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | 2,046,000 | |||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | $ 2,487,000 | |||||||||
VIE | 2017-3 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Bond proceeds | $ 58,700,000 | |||||||||
Receivables securitized | $ 1,017,000 | |||||||||
Deal discount rate (as a percent) | 4.27% | |||||||||
Retained interest (as a percent) | 5.50% | |||||||||
VIE | 2017-3 | Aaa | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 84.75% | |||||||||
VIE | 2017-3 | Baa2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 9.75% | |||||||||
VIE | 2017-2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Bond proceeds | $ 144,200,000 | |||||||||
Receivables securitized | $ 2,201,000 | |||||||||
Deal discount rate (as a percent) | 3.95% | |||||||||
Retained interest (as a percent) | 5.50% | |||||||||
VIE | 2017-2 | Aaa | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 84.25% | |||||||||
VIE | 2017-2 | Baa2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 10.25% | |||||||||
VIE | 2017-1 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Bond proceeds | $ 131,800,000 | |||||||||
Receivables securitized | $ 2,129,000 | |||||||||
Deal discount rate (as a percent) | 4.35% | |||||||||
Retained interest (as a percent) | 5.50% | |||||||||
VIE | 2017-1 | Aaa | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 84.75% | |||||||||
VIE | 2017-1 | Baa2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 9.75% | |||||||||
VIE | 2016-1 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Bond proceeds | $ 117,300,000 | |||||||||
Receivables securitized | $ 861,000 | |||||||||
Deal discount rate (as a percent) | 3.89% | |||||||||
Retained interest (as a percent) | 5.50% | |||||||||
VIE | 2016-1 | Aaa | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 84.00% | |||||||||
VIE | 2016-1 | Baa2 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Class allocation (as a percent) | 10.50% | |||||||||
VIE | 2003-A | 321 Henderson Receivables I, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.86% | |||||||||
VIE | 2003-A | 321 Henderson Receivables I, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,776,000 | 9,971,000 | ||||||||
VIE | 2003-A | 321 Henderson Receivables I, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,898,000 | 10,381,000 | ||||||||
VIE | 2004-A A-1 | 321 Henderson Receivables I, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.35% | |||||||||
VIE | 2004-A A-1 | 321 Henderson Receivables I, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 14,604,000 | 20,265,000 | ||||||||
VIE | 2004-A A-1 | 321 Henderson Receivables I, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 15,015,000 | 21,084,000 | ||||||||
VIE | 2004-A A-2 | 321 Henderson Receivables I, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.54% | |||||||||
VIE | 2004-A A-2 | 321 Henderson Receivables I, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 18,432,000 | 18,581,000 | ||||||||
VIE | 2004-A A-2 | 321 Henderson Receivables I, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 19,725,000 | 19,943,000 | ||||||||
VIE | 2005-1 A-1 | 321 Henderson Receivables I, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.23% | |||||||||
VIE | 2005-1 A-1 | 321 Henderson Receivables I, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 30,865,000 | 39,548,000 | ||||||||
VIE | 2005-1 A-1 | 321 Henderson Receivables I, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 32,005,000 | 41,233,000 | ||||||||
VIE | 2005-1 A-2 | 321 Henderson Receivables I, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.58% | |||||||||
VIE | 2005-1 A-2 | 321 Henderson Receivables I, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 35,395,000 | 35,603,000 | ||||||||
VIE | 2005-1 A-2 | 321 Henderson Receivables I, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 37,934,000 | 37,344,000 | ||||||||
VIE | 2005-1 B | 321 Henderson Receivables I, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.24% | |||||||||
VIE | 2005-1 B | 321 Henderson Receivables I, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 2,157,000 | 2,169,000 | ||||||||
VIE | 2005-1 B | 321 Henderson Receivables I, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 2,143,000 | 2,089,000 | ||||||||
VIE | 2006-1 A-1 | 321 Henderson Receivables II, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.20% | |||||||||
VIE | 2006-1 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,059,000 | 7,969,000 | ||||||||
VIE | 2006-1 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,305,000 | 8,439,000 | ||||||||
VIE | 2006-1 A-2 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.56% | |||||||||
VIE | 2006-1 A-2 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 15,650,000 | 16,826,000 | ||||||||
VIE | 2006-1 A-2 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,982,000 | 18,015,000 | ||||||||
VIE | 2006-2 A-1 | 321 Henderson Receivables II, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.20% | |||||||||
VIE | 2006-2 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 9,833,000 | 12,011,000 | ||||||||
VIE | 2006-2 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 10,407,000 | 12,815,000 | ||||||||
VIE | 2006-2 A-2 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.93% | |||||||||
VIE | 2006-2 A-2 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 18,984,000 | 19,781,000 | ||||||||
VIE | 2006-2 A-2 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,828,000 | 21,158,000 | ||||||||
VIE | 2006-3 A-1 | 321 Henderson Receivables II, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.20% | |||||||||
VIE | 2006-3 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 8,310,000 | 11,832,000 | ||||||||
VIE | 2006-3 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 8,839,000 | 12,630,000 | ||||||||
VIE | 2006-3 A-2 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.60% | |||||||||
VIE | 2006-3 A-2 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 24,583,000 | 25,367,000 | ||||||||
VIE | 2006-3 A-2 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 26,678,000 | 26,997,000 | ||||||||
VIE | 2006-4 A-1 | 321 Henderson Receivables II, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.20% | |||||||||
VIE | 2006-4 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 8,752,000 | 12,378,000 | ||||||||
VIE | 2006-4 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 9,049,000 | 12,964,000 | ||||||||
VIE | 2006-4 A-2 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.43% | |||||||||
VIE | 2006-4 A-2 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,215,000 | 20,587,000 | ||||||||
VIE | 2006-4 A-2 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 22,067,000 | 21,814,000 | ||||||||
VIE | 2007-1 A-1 | 321 Henderson Receivables II, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.20% | |||||||||
VIE | 2007-1 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,434,000 | 22,942,000 | ||||||||
VIE | 2007-1 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,902,000 | 23,080,000 | ||||||||
VIE | 2007-1 A-2 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.59% | |||||||||
VIE | 2007-1 A-2 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,338,000 | 16,526,000 | ||||||||
VIE | 2007-1 A-2 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,932,000 | 16,281,000 | ||||||||
VIE | 2007-2 A-1 | 321 Henderson Receivables II, LLC | LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Variable interest rate basis | Libor | |||||||||
Margin on variable rate | 0.21% | |||||||||
VIE | 2007-2 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 26,040,000 | 29,606,000 | ||||||||
VIE | 2007-2 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 26,554,000 | 29,481,000 | ||||||||
VIE | 2007-2 A-2 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.21% | |||||||||
VIE | 2007-2 A-2 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,106,000 | 16,367,000 | ||||||||
VIE | 2007-2 A-2 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,785,000 | 16,182,000 | ||||||||
VIE | 2007-3 A-1 | 321 Henderson Receivables II, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.15% | |||||||||
VIE | 2007-3 A-1 | 321 Henderson Receivables II, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 45,033,000 | 49,401,000 | ||||||||
VIE | 2007-3 A-1 | 321 Henderson Receivables II, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 51,631,000 | 55,937,000 | ||||||||
VIE | 2008-1 A | 321 Henderson Receivables III, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.19% | |||||||||
VIE | 2008-1 A | 321 Henderson Receivables III, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 37,123,000 | 42,759,000 | ||||||||
VIE | 2008-1 A | 321 Henderson Receivables III, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 41,578,000 | 48,723,000 | ||||||||
VIE | 2008-1 B | 321 Henderson Receivables III, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 8.37% | |||||||||
VIE | 2008-1 B | 321 Henderson Receivables III, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 3,235,000 | 3,235,000 | ||||||||
VIE | 2008-1 B | 321 Henderson Receivables III, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 4,427,000 | 4,401,000 | ||||||||
VIE | 2008-1 C | 321 Henderson Receivables III, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 9.36% | |||||||||
VIE | 2008-1 C | 321 Henderson Receivables III, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 3,235,000 | 3,235,000 | ||||||||
VIE | 2008-1 C | 321 Henderson Receivables III, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 4,796,000 | 4,746,000 | ||||||||
VIE | 2008-1 D | 321 Henderson Receivables III, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 10.81% | |||||||||
VIE | 2008-1 D | 321 Henderson Receivables III, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 3,529,000 | 3,529,000 | ||||||||
VIE | 2008-1 D | 321 Henderson Receivables III, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,755,000 | 5,595,000 | ||||||||
VIE | 2008-2 A | 321 Henderson Receivables IV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.27% | |||||||||
VIE | 2008-2 A | 321 Henderson Receivables IV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 51,554,000 | 57,937,000 | ||||||||
VIE | 2008-2 A | 321 Henderson Receivables IV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 59,420,000 | 66,949,000 | ||||||||
VIE | 2008-2 B | 321 Henderson Receivables IV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 8.63% | |||||||||
VIE | 2008-2 B | 321 Henderson Receivables IV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,194,000 | 6,194,000 | ||||||||
VIE | 2008-2 B | 321 Henderson Receivables IV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 8,982,000 | 8,542,000 | ||||||||
VIE | 2008-3 A-1 | 321 Henderson Receivables V, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 8.00% | |||||||||
VIE | 2008-3 A-1 | 321 Henderson Receivables V, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 37,878,000 | 40,923,000 | ||||||||
VIE | 2008-3 A-1 | 321 Henderson Receivables V, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 48,078,000 | 51,960,000 | ||||||||
VIE | 2008-3 A-2 | 321 Henderson Receivables V, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 8.00% | |||||||||
VIE | 2008-3 A-2 | 321 Henderson Receivables V, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 4,682,000 | 5,058,000 | ||||||||
VIE | 2008-3 A-2 | 321 Henderson Receivables V, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,923,000 | 6,357,000 | ||||||||
VIE | 2008-3 B | 321 Henderson Receivables V, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 10.00% | |||||||||
VIE | 2008-3 B | 321 Henderson Receivables V, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 4,695,000 | 4,695,000 | ||||||||
VIE | 2008-3 B | 321 Henderson Receivables V, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,366,000 | 5,937,000 | ||||||||
VIE | 2010-1 A-1 | 321 Henderson Receivables VI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.56% | |||||||||
VIE | 2010-1 A-1 | 321 Henderson Receivables VI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 96,514,000 | 109,598,000 | ||||||||
VIE | 2010-1 A-1 | 321 Henderson Receivables VI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 106,464,000 | 122,048,000 | ||||||||
VIE | 2010-1 B | 321 Henderson Receivables VI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 9.31% | |||||||||
VIE | 2010-1 B | 321 Henderson Receivables VI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 17,216,000 | 19,550,000 | ||||||||
VIE | 2010-1 B | 321 Henderson Receivables VI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 21,579,000 | 24,827,000 | ||||||||
VIE | 2010-2 A | JG Wentworth XXI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.07% | |||||||||
VIE | 2010-2 A | JG Wentworth XXI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 38,992,000 | 45,655,000 | ||||||||
VIE | 2010-2 A | JG Wentworth XXI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 40,593,000 | 48,163,000 | ||||||||
VIE | 2010-2 B | JG Wentworth XXI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 7.45% | |||||||||
VIE | 2010-2 B | JG Wentworth XXI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,566,000 | 6,517,000 | ||||||||
VIE | 2010-2 B | JG Wentworth XXI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,461,000 | 7,674,000 | ||||||||
VIE | 2010-3 A | JG Wentworth XXII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.82% | |||||||||
VIE | 2010-3 A | JG Wentworth XXII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 73,486,000 | 87,140,000 | ||||||||
VIE | 2010-3 A | JG Wentworth XXII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 75,855,000 | 91,069,000 | ||||||||
VIE | 2010-3 B | JG Wentworth XXII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.85% | |||||||||
VIE | 2010-3 B | JG Wentworth XXII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 10,679,000 | 12,663,000 | ||||||||
VIE | 2010-3 B | JG Wentworth XXII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 12,183,000 | 14,618,000 | ||||||||
VIE | 2011-1 A | JG Wentworth XXIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.89% | |||||||||
VIE | 2011-1 A | JG Wentworth XXIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 132,542,000 | 147,447,000 | ||||||||
VIE | 2011-1 A | JG Wentworth XXIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 142,439,000 | 157,209,000 | ||||||||
VIE | 2011-1 B | JG Wentworth XXIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 7.68% | |||||||||
VIE | 2011-1 B | JG Wentworth XXIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,662,000 | 18,536,000 | ||||||||
VIE | 2011-1 B | JG Wentworth XXIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,164,000 | 22,063,000 | ||||||||
VIE | 2011-2 A | JGWPT XXIV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.13% | |||||||||
VIE | 2011-2 A | JGWPT XXIV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 118,314,000 | 128,231,000 | ||||||||
VIE | 2011-2 A | JGWPT XXIV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 128,821,000 | 137,433,000 | ||||||||
VIE | 2011-2 B | JGWPT XXIV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 8.54% | |||||||||
VIE | 2011-2 B | JGWPT XXIV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 13,437,000 | 14,564,000 | ||||||||
VIE | 2011-2 B | JGWPT XXIV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 17,286,000 | 18,327,000 | ||||||||
VIE | 2012-1 A | JGWPT XXV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.21% | |||||||||
VIE | 2012-1 A | JGWPT XXV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 143,311,000 | 155,623,000 | ||||||||
VIE | 2012-1 A | JGWPT XXV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 148,990,000 | 159,282,000 | ||||||||
VIE | 2012-1 B | JGWPT XXV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 7.14% | |||||||||
VIE | 2012-1 B | JGWPT XXV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 17,921,000 | 19,460,000 | ||||||||
VIE | 2012-1 B | JGWPT XXV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 21,559,000 | 22,890,000 | ||||||||
VIE | 2012-2 A | JGWPT XXVI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.84% | |||||||||
VIE | 2012-2 A | JGWPT XXVI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 101,448,000 | 108,942,000 | ||||||||
VIE | 2012-2 A | JGWPT XXVI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 102,601,000 | 107,986,000 | ||||||||
VIE | 2012-2 B | JGWPT XXVI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.77% | |||||||||
VIE | 2012-2 B | JGWPT XXVI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 12,605,000 | 13,537,000 | ||||||||
VIE | 2012-2 B | JGWPT XXVI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 14,882,000 | 15,328,000 | ||||||||
VIE | 2012-3 A | JGWPT XXVII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.22% | |||||||||
VIE | 2012-3 A | JGWPT XXVII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 128,462,000 | 138,206,000 | ||||||||
VIE | 2012-3 A | JGWPT XXVII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 125,365,000 | 132,530,000 | ||||||||
VIE | 2012-3 B | JGWPT XXVII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.17% | |||||||||
VIE | 2012-3 B | JGWPT XXVII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 15,868,000 | 17,071,000 | ||||||||
VIE | 2012-3 B | JGWPT XXVII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 18,048,000 | 18,210,000 | ||||||||
VIE | 2013-1 A | JGWPT XXVIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.22% | |||||||||
VIE | 2013-1 A | JGWPT XXVIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 142,052,000 | 153,545,000 | ||||||||
VIE | 2013-1 A | JGWPT XXVIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 138,028,000 | 146,476,000 | ||||||||
VIE | 2013-1 B | JGWPT XXVIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.94% | |||||||||
VIE | 2013-1 B | JGWPT XXVIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 17,526,000 | 18,589,000 | ||||||||
VIE | 2013-1 B | JGWPT XXVIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 18,535,000 | 18,273,000 | ||||||||
VIE | 2013-2 A | JGWPT XXIX, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.21% | |||||||||
VIE | 2013-2 A | JGWPT XXIX, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 121,960,000 | 131,085,000 | ||||||||
VIE | 2013-2 A | JGWPT XXIX, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 126,354,000 | 132,864,000 | ||||||||
VIE | 2013-2 B | JGWPT XXIX, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.68% | |||||||||
VIE | 2013-2 B | JGWPT XXIX, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 14,565,000 | 14,985,000 | ||||||||
VIE | 2013-2 B | JGWPT XXIX, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 15,888,000 | 15,298,000 | ||||||||
VIE | 2013-3 A | JGWPT XXX, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.08% | |||||||||
VIE | 2013-3 A | JGWPT XXX, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 148,457,000 | 160,527,000 | ||||||||
VIE | 2013-3 A | JGWPT XXX, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 152,601,000 | 161,722,000 | ||||||||
VIE | 2013-3 B | JGWPT XXX, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.54% | |||||||||
VIE | 2013-3 B | JGWPT XXX, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 18,018,000 | 18,248,000 | ||||||||
VIE | 2013-3 B | JGWPT XXX, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 18,726,000 | 18,462,000 | ||||||||
VIE | 2014-1 A | JGWPT XXXI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.96% | |||||||||
VIE | 2014-1 A | JGWPT XXXI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 166,591,000 | 180,486,000 | ||||||||
VIE | 2014-1 A | JGWPT XXXI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 169,999,000 | 180,784,000 | ||||||||
VIE | 2014-1 B | JGWPT XXXI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.94% | |||||||||
VIE | 2014-1 B | JGWPT XXXI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 21,776,000 | 21,776,000 | ||||||||
VIE | 2014-1 B | JGWPT XXXI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 21,778,000 | 21,097,000 | ||||||||
VIE | 2014-2 A | JGWPT XXXII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.61% | |||||||||
VIE | 2014-2 A | JGWPT XXXII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 166,529,000 | 180,127,000 | ||||||||
VIE | 2014-2 A | JGWPT XXXII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 165,011,000 | 174,022,000 | ||||||||
VIE | 2014-2 B | JGWPT XXXII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.48% | |||||||||
VIE | 2014-2 B | JGWPT XXXII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 25,284,000 | 25,284,000 | ||||||||
VIE | 2014-2 B | JGWPT XXXII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 24,191,000 | 23,260,000 | ||||||||
VIE | 2014-3 A | J.G. Wentworth XXXIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.50% | |||||||||
VIE | 2014-3 A | J.G. Wentworth XXXIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 155,393,000 | 167,353,000 | ||||||||
VIE | 2014-3 A | J.G. Wentworth XXXIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 152,534,000 | 159,993,000 | ||||||||
VIE | 2014-3 B | J.G. Wentworth XXXIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.40% | |||||||||
VIE | 2014-3 B | J.G. Wentworth XXXIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 21,408,000 | 21,408,000 | ||||||||
VIE | 2014-3 B | J.G. Wentworth XXXIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,254,000 | 19,396,000 | ||||||||
VIE | 2015-1 A | J.G. Wentworth XXXIV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.26% | |||||||||
VIE | 2015-1 A | J.G. Wentworth XXXIV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 164,602,000 | 177,632,000 | ||||||||
VIE | 2015-1 A | J.G. Wentworth XXXIV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 158,861,000 | 167,124,000 | ||||||||
VIE | 2015-1 B | J.G. Wentworth XXXIV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.25% | |||||||||
VIE | 2015-1 B | J.G. Wentworth XXXIV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 20,957,000 | 20,957,000 | ||||||||
VIE | 2015-1 B | J.G. Wentworth XXXIV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 19,574,000 | 18,730,000 | ||||||||
VIE | 2015-2 A | J.G. Wentworth XXXV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.87% | |||||||||
VIE | 2015-2 A | J.G. Wentworth XXXV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 134,479,000 | 139,521,000 | ||||||||
VIE | 2015-2 A | J.G. Wentworth XXXV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 135,298,000 | 136,423,000 | ||||||||
VIE | 2015-2 B | J.G. Wentworth XXXV, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.83% | |||||||||
VIE | 2015-2 B | J.G. Wentworth XXXV, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 16,350,000 | 16,350,000 | ||||||||
VIE | 2015-2 B | J.G. Wentworth XXXV, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 15,820,000 | 15,110,000 | ||||||||
VIE | 2015-3 A | J.G. Wentworth XXXVI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.08% | |||||||||
VIE | 2015-3 A | J.G. Wentworth XXXVI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 82,822,000 | 89,315,000 | ||||||||
VIE | 2015-3 A | J.G. Wentworth XXXVI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 84,351,000 | 88,382,000 | ||||||||
VIE | 2015-3 B | J.G. Wentworth XXXVI, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.68% | |||||||||
VIE | 2015-3 B | J.G. Wentworth XXXVI, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 10,383,000 | 10,383,000 | ||||||||
VIE | 2015-3 B | J.G. Wentworth XXXVI, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 10,556,000 | 9,978,000 | ||||||||
VIE | 2016-1 A | J.G. Wentworth XXXVII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.41% | |||||||||
VIE | 2016-1 A | J.G. Wentworth XXXVII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 101,412,000 | 104,293,000 | ||||||||
VIE | 2016-1 A | J.G. Wentworth XXXVII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 99,519,000 | 101,414,000 | ||||||||
VIE | 2016-1 B | J.G. Wentworth XXXVII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.19% | |||||||||
VIE | 2016-1 B | J.G. Wentworth XXXVII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 13,000,000 | 13,000,000 | ||||||||
VIE | 2016-1 B | J.G. Wentworth XXXVII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 12,988,000 | 12,640,000 | ||||||||
VIE | 2017-1 A | J.G. Wentworth XXXVIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.99% | |||||||||
VIE | 2017-1 A | J.G. Wentworth XXXVIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 115,432,000 | 0 | ||||||||
VIE | 2017-1 A | J.G. Wentworth XXXVIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 116,962,000 | 0 | ||||||||
VIE | 2017-1 B | J.G. Wentworth XXXVIII, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.43% | |||||||||
VIE | 2017-1 B | J.G. Wentworth XXXVIII, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 13,377,000 | 0 | ||||||||
VIE | 2017-1 B | J.G. Wentworth XXXVIII, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 13,386,000 | 0 | ||||||||
VIE | 2017-2 A | J.G. Wentworth XXXIX, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.53% | |||||||||
VIE | 2017-2 A | J.G. Wentworth XXXIX, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 125,774,000 | 0 | ||||||||
VIE | 2017-2 A | J.G. Wentworth XXXIX, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 122,216,000 | 0 | ||||||||
VIE | 2017-2 B | J.G. Wentworth XXXIX, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.09% | |||||||||
VIE | 2017-2 B | J.G. Wentworth XXXIX, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 15,398,000 | 0 | ||||||||
VIE | 2017-2 B | J.G. Wentworth XXXIX, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 14,840,000 | 0 | ||||||||
VIE | 2017-3 A | J.G. Wentworth XL, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.80% | |||||||||
VIE | 2017-3 A | J.G. Wentworth XL, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 51,876,000 | 0 | ||||||||
VIE | 2017-3 A | J.G. Wentworth XL, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 51,625,000 | 0 | ||||||||
VIE | 2017-3 B | J.G. Wentworth XL, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.43% | |||||||||
VIE | 2017-3 B | J.G. Wentworth XL, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,968,000 | 0 | ||||||||
VIE | 2017-3 B | J.G. Wentworth XL, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 5,899,000 | 0 | ||||||||
VIE | 2005-A A | Structured Receivables Finance 2, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.05% | |||||||||
VIE | 2005-A A | Structured Receivables Finance 2, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 1,239,000 | 5,013,000 | ||||||||
VIE | 2005-A A | Structured Receivables Finance 2, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 1,244,000 | 5,138,000 | ||||||||
VIE | 2005-A B | Structured Receivables Finance 2, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.95% | |||||||||
VIE | 2005-A B | Structured Receivables Finance 2, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 7,047,000 | 7,713,000 | ||||||||
VIE | 2005-A B | Structured Receivables Finance 2, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 7,440,000 | 8,565,000 | ||||||||
VIE | 2005-B A | Peachtree Finance Company 2, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 4.71% | |||||||||
VIE | 2005-B A | Peachtree Finance Company 2, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 149,000 | 5,154,000 | ||||||||
VIE | 2005-B A | Peachtree Finance Company 2, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 149,000 | 5,245,000 | ||||||||
VIE | 2005-B B | Peachtree Finance Company 2, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.21% | |||||||||
VIE | 2005-B B | Peachtree Finance Company 2, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 4,376,000 | 4,782,000 | ||||||||
VIE | 2005-B B | Peachtree Finance Company 2, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 4,468,000 | 5,104,000 | ||||||||
VIE | 2006-A A | Structured Receivables Finance 3, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.55% | |||||||||
VIE | 2006-A A | Structured Receivables Finance 3, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 13,928,000 | 19,194,000 | ||||||||
VIE | 2006-A A | Structured Receivables Finance 3, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 14,624,000 | 20,726,000 | ||||||||
VIE | 2006-A B | Structured Receivables Finance 3, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.82% | |||||||||
VIE | 2006-A B | Structured Receivables Finance 3, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,873,000 | 7,643,000 | ||||||||
VIE | 2006-A B | Structured Receivables Finance 3, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 7,747,000 | 8,847,000 | ||||||||
VIE | 2006-B A | Structured Receivables Finance 2006-B, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.19% | |||||||||
VIE | 2006-B A | Structured Receivables Finance 2006-B, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 27,100,000 | 31,779,000 | ||||||||
VIE | 2006-B A | Structured Receivables Finance 2006-B, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 29,215,000 | 34,927,000 | ||||||||
VIE | 2006-B B | Structured Receivables Finance 2006-B, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 6.30% | |||||||||
VIE | 2006-B B | Structured Receivables Finance 2006-B, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 6,271,000 | 6,791,000 | ||||||||
VIE | 2006-B B | Structured Receivables Finance 2006-B, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 7,204,000 | 7,761,000 | ||||||||
VIE | 2010-A A | Structured Receivables Finance 2010-A, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 5.22% | |||||||||
VIE | 2010-A A | Structured Receivables Finance 2010-A, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 41,540,000 | 49,032,000 | ||||||||
VIE | 2010-A A | Structured Receivables Finance 2010-A, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 44,700,000 | 53,905,000 | ||||||||
VIE | 2010-A B | Structured Receivables Finance 2010-A, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 7.61% | |||||||||
VIE | 2010-A B | Structured Receivables Finance 2010-A, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 9,322,000 | 10,016,000 | ||||||||
VIE | 2010-A B | Structured Receivables Finance 2010-A, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 11,511,000 | 12,391,000 | ||||||||
VIE | 2010-B A | Structured Receivables Finance 2010-B, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 3.73% | |||||||||
VIE | 2010-B A | Structured Receivables Finance 2010-B, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 33,386,000 | 38,637,000 | ||||||||
VIE | 2010-B A | Structured Receivables Finance 2010-B, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 34,332,000 | 40,295,000 | ||||||||
VIE | 2010-B B | Structured Receivables Finance 2010-B, LLC | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 7.97% | |||||||||
VIE | 2010-B B | Structured Receivables Finance 2010-B, LLC | Carrying Amount | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 11,456,000 | 12,167,000 | ||||||||
VIE | 2010-B B | Structured Receivables Finance 2010-B, LLC | Total at Fair Value | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | 14,529,000 | 15,417,000 | ||||||||
VIE | 2015-1 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Repayment of long term debt | $ 6,900,000 | |||||||||
Gain on debt extinguishment | $ 600,000 | |||||||||
VIE | Securitization Transaction 2011 A | JGW-S LC II | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Outstanding Principal | $ 91,768,000 | $ 82,997,000 | ||||||||
Stated Rate (as a percent) | 12.35% | 12.48% | ||||||||
VIE long-term debt issued by securitization and permanent financing trusts, at fair value | $ 91,769,000 | $ 82,997,000 | ||||||||
VIE | Residual Term Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated Rate (as a percent) | 7.25% | |||||||||
Face amount of debt | $ 207,500,000 | $ 2,300,000 | $ 133,000,000 | |||||||
Number of asset securitization transactions completed | securitization | 36 | 1 | 28 | |||||||
Repayments of line of credits | $ 131,400,000 | |||||||||
VIE | VIE long-term debt issued by securitizations and permanent financing trusts | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt issuance | $ 200,000 |
VIE Long-Term Debt Issued by 98
VIE Long-Term Debt Issued by Securitization and Permanent Financing Trusts, at Fair Value - Future Repayment of VIE Long-term Debt (Details) - VIE long-term debt issued by securitizations and permanent financing trusts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Estimated maturities of borrowings | |||
2,018 | $ 323,094 | ||
2,019 | 325,067 | ||
2,020 | 309,798 | ||
2,021 | 293,981 | ||
2,022 | 280,023 | ||
Thereafter | 2,387,413 | ||
Outstanding Principal | 3,919,376 | ||
Interest expense related to borrowings | $ 169,400 | $ 152,100 | $ 140,900 |
Derivative Financial Instrume99
Derivative Financial Instruments (Details) | 12 Months Ended | ||
Dec. 31, 2017USD ($)swap | Dec. 31, 2016USD ($)swap | Dec. 31, 2015USD ($) | |
Derivative financial instruments | |||
Notional | $ 513,000,000 | $ 0 | |
Unrealized gain | 12,146,000 | 16,297,000 | $ 9,346,000 |
Fair Value | (38,460,000) | (50,432,000) | |
Derivative asset, notional amount | 574,198,000 | 761,870,000 | |
Derivative asset, fair value, gross asset | 16,134,000 | 6,731,000 | |
Derivative liability, fair value, gross liability | 623,000 | 0 | |
Interest Rate Swaps | |||
Derivative financial instruments | |||
Notional | 290,311,000 | 337,704,000 | |
Fair Value | $ (38,460,000) | $ (50,432,000) | |
Interest Rate Swaps | Long-term debt issued by securitization and permanent financing trusts | VIE | |||
Derivative financial instruments | |||
Number of outstanding derivatives | swap | 8 | 8 | |
Interest Rate Swaps | Hedge accounting has not been applied | |||
Derivative financial instruments | |||
Number of outstanding derivatives | swap | 0 | 0 | |
Terminated notional value | $ 21,800,000 | $ 75,200,000 | 61,100,000 |
Gain (loss) on swap terminations, net | 200,000 | (1,500,000) | (200,000) |
Unrealized gain | 0 | 0 | 0 |
Interest Rate Swaps | Hedge accounting has not been applied | PSS | VIE | |||
Derivative financial instruments | |||
Notional | 126,017,000 | 137,361,000 | |
Fair Value | (17,865,000) | (22,190,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | PLMT | |||
Derivative financial instruments | |||
Notional | 39,397,000 | 43,792,000 | |
Fair Value | (4,878,000) | (6,781,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | Long-term debt issued by securitization and permanent financing trusts | |||
Derivative financial instruments | |||
Notional | $ 124,900,000 | 156,600,000 | |
Description of variable rate basis | one-month LIBOR | ||
Unrealized gain | $ 5,800,000 | $ 7,000,000 | 5,600,000 |
Interest Rate Swaps | Hedge accounting has not been applied | Long-term debt issued by securitization and permanent financing trusts | Minimum | |||
Derivative financial instruments | |||
Fixed interest rate (as a percent) | 4.50% | 4.50% | |
Term of contract | 4 years 6 months | 5 years 6 months | |
Interest Rate Swaps | Hedge accounting has not been applied | Long-term debt issued by securitization and permanent financing trusts | Maximum | |||
Derivative financial instruments | |||
Fixed interest rate (as a percent) | 5.77% | 5.77% | |
Term of contract | 18 years 1 month 15 days | 19 years 1 month 15 days | |
Interest Rate Swaps | Hedge accounting has not been applied | Borrowings under PSS and PLMT | |||
Derivative financial instruments | |||
Number of outstanding derivatives | swap | 133 | 137 | |
Terminated notional value | $ 13,800,000 | ||
Gain (loss) on swap terminations, net | (3,100,000) | ||
Notional | $ 165,400,000 | 181,200,000 | |
Description of variable rate basis | one-month LIBOR | ||
Unrealized gain | $ 6,300,000 | $ 9,300,000 | $ 3,800,000 |
Interest Rate Swaps | Hedge accounting has not been applied | Borrowings under PSS and PLMT | Minimum | |||
Derivative financial instruments | |||
Fixed interest rate (as a percent) | 4.90% | 4.90% | |
Term of contract | 1 month | 5 months | |
Interest Rate Swaps | Hedge accounting has not been applied | Borrowings under PSS and PLMT | Maximum | |||
Derivative financial instruments | |||
Fixed interest rate (as a percent) | 8.70% | 8.70% | |
Term of contract | 16 years 7 months | 17 years 7 months | |
Interest Rate Swaps | Hedge accounting has not been applied | 2004-A A-1 | 321 Henderson I, LLC | |||
Derivative financial instruments | |||
Notional | $ 14,604,000 | $ 20,265,000 | |
Fair Value | (973,000) | (1,610,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2005-1 A-1 | 321 Henderson I, LLC | |||
Derivative financial instruments | |||
Notional | 30,865,000 | 39,548,000 | |
Fair Value | (3,064,000) | (4,495,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2006-1 A-1 | 321 Henderson II, LLC | |||
Derivative financial instruments | |||
Notional | 6,059,000 | 7,969,000 | |
Fair Value | (417,000) | (714,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2006-2 A-1 | 321 Henderson II, LLC | |||
Derivative financial instruments | |||
Notional | 9,833,000 | 12,011,000 | |
Fair Value | (1,163,000) | (1,654,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2006-3 A-1 | 321 Henderson II, LLC | |||
Derivative financial instruments | |||
Notional | 8,310,000 | 11,832,000 | |
Fair Value | (972,000) | (1,394,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2006-4 A-1 | 321 Henderson II, LLC | |||
Derivative financial instruments | |||
Notional | 8,752,000 | 12,378,000 | |
Fair Value | (526,000) | (965,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2007-1 A-2 | 321 Henderson II, LLC | |||
Derivative financial instruments | |||
Notional | 20,434,000 | 22,942,000 | |
Fair Value | (3,131,000) | (3,965,000) | |
Interest Rate Swaps | Hedge accounting has not been applied | 2007-2 A-3 | 321 Henderson II, LLC | |||
Derivative financial instruments | |||
Notional | 26,040,000 | 29,606,000 | |
Fair Value | (5,471,000) | (6,664,000) | |
Interest Rate Lock Commitments | |||
Derivative financial instruments | |||
Derivative asset, notional amount | 574,198,000 | 355,870,000 | |
Derivative asset, fair value, gross asset | $ 16,134,000 | 6,072,000 | |
Interest Rate Lock Commitments | Minimum | |||
Derivative financial instruments | |||
Term of contract | 30 days | ||
Interest Rate Lock Commitments | Maximum | |||
Derivative financial instruments | |||
Term of contract | 90 days | ||
Forward sale commitments | |||
Derivative financial instruments | |||
Notional | $ 513,000,000 | 0 | |
Derivative asset, notional amount | 0 | 406,000,000 | |
Derivative asset, fair value, gross asset | 0 | 659,000 | |
Derivative liability, fair value, gross liability | $ 623,000 | $ 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Tax act, re-measurement of net deferred tax assets | $ 100,000 | ||
Current: | |||
Federal | 81,000 | $ 183,000 | $ (234,000) |
State | 20,000 | 42,000 | (71,000) |
Total current taxes | 101,000 | 225,000 | (305,000) |
Deferred: | |||
Federal | 353,000 | (12,910,000) | (15,062,000) |
State | 9,191,000 | (2,655,000) | (2,849,000) |
Total deferred taxes | 9,544,000 | (15,565,000) | (17,911,000) |
Income tax (benefit) provision | $ 9,645,000 | $ (15,340,000) | $ (18,216,000) |
Reconciliation of difference between effective income tax rate and the United States statutory rate | |||
Federal (as a percent) | 35.00% | 35.00% | 35.00% |
Income passed through to non-corporate members (as a percent) | (2.90%) | (15.60%) | (15.90%) |
Permanent items (as a percent) | (0.50%) | (2.10%) | (11.10%) |
State income tax (as a percent) | 6.10% | 3.00% | 1.40% |
Deferred rate change (as a percent) | (13.80%) | 0.00% | 0.00% |
Valuation allowance (as a percent) | (29.50%) | (10.50%) | (1.90%) |
Other (as a percent) | 0.80% | 3.70% | 1.00% |
Effective tax rate (as a percent) | (4.80%) | 13.50% | 8.50% |
Deferred tax assets: | |||
Net operating loss carryforwards | $ 61,119,000 | $ 63,127,000 | |
Disallowed TRA obligations settlement accrual | 46,789,000 | 0 | |
Other deferred assets | 1,001,000 | 0 | |
Lottery winnings | 574,000 | 880,000 | |
Total deferred tax assets | 109,483,000 | 64,007,000 | |
Valuation allowance | (74,224,000) | (14,893,000) | |
Total deferred tax assets, net | 35,259,000 | 49,114,000 | |
Deferred tax liabilities: | |||
Basis difference in partnership | 45,210,000 | 48,101,000 | |
Lottery winnings fair value adjustments | 0 | 2,023,000 | |
Other deferred liabilities | 603,000 | 0 | |
Total deferred tax liabilities | 45,813,000 | 50,124,000 | |
Deferred tax liabilities, net | (10,554,000) | (1,010,000) | |
Operating Loss Carryforwards [Line Items] | |||
Valuation allowance | (74,224,000) | (14,893,000) | |
Gross unrecognized tax benefits | 0 | 0 | |
Foreign Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | 210,800,000 | 152,300,000 | |
State Income Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | $ 222,800,000 | $ 151,100,000 |
Installment Obligations Paya101
Installment Obligations Payable (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Installment Obligations Payable [Abstract] | ||
Maximum penalty as percentage of unscheduled installment amount | 20.00% | |
Installment Obligations Payable by Maturity [Abstract] | ||
2,018 | $ 13,486 | |
2,019 | 10,826 | |
2,020 | 8,834 | |
2,021 | 6,612 | |
2,022 | 6,137 | |
Thereafter | 39,649 | |
Total installment obligations payable | $ 85,544 | $ 76,687 |
Stockholders' (Deficit) Equity
Stockholders' (Deficit) Equity (Details) | May 26, 2015USD ($)$ / sharesshares | Nov. 14, 2013$ / sharesshares | Dec. 31, 2017vote$ / sharesshares | Dec. 31, 2016$ / sharesshares | Dec. 31, 2015shares | Dec. 31, 2015USD ($)shares | May 02, 2014USD ($) |
JG Wentworth Company LLC | |||||||
Stockholders' Equity | |||||||
Shares converted | 70,549 | 196,101 | 984,949 | ||||
Tranche C-1 profit interests | PGHI Corp | |||||||
Stockholders' Equity | |||||||
Exercise price of warrants issued (in dollars per share) | $ / shares | $ 35.78 | ||||||
PGHI Corp | |||||||
Stockholders' Equity | |||||||
Number of warrants exercised during period | 0 | 0 | |||||
PGHI Corp | Tranche C-1 profit interests | |||||||
Stockholders' Equity | |||||||
Number of shares entitled by warrants (in shares) | 483,217 | ||||||
PGHI Corp | Tranche C-2 profits interests | |||||||
Stockholders' Equity | |||||||
Number of shares entitled by warrants (in shares) | 483,217 | ||||||
Exercise price of warrants issued (in dollars per share) | $ / shares | $ 63.01 | ||||||
Preferred Stock | |||||||
Stockholders' Equity | |||||||
Preferred stock, authorized shares | 100,000,000 | ||||||
Preferred stock, shares issued | 0 | 0 | |||||
Preferred stock, shares outstanding | 0 | 0 | |||||
Common Stock - Class A | |||||||
Stockholders' Equity | |||||||
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 | ||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.00001 | $ 0.00001 | $ 0.00001 | ||||
Common stock, shares issued | 16,352,775 | 16,272,545 | |||||
Common stock, shares outstanding | 15,810,703 | 15,730,473 | |||||
Stock repurchase program, amount authorized | $ | $ 15,000,000 | ||||||
Number of votes per share of common stock held | vote | 1 | ||||||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 70,549 | 196,101 | 984,949 | ||||
Common Stock - Class A | Stock Repurchase Program 2014 | |||||||
Stockholders' Equity | |||||||
Shares repurchased | 1,546,017 | ||||||
Shares repurchased, value | $ | $ 15,000,000 | ||||||
Common Stock - Class A | Private Repurchase | |||||||
Stockholders' Equity | |||||||
Shares repurchased | 426,332 | ||||||
Shares repurchased, value | $ | $ 3,900,000 | ||||||
Shares repurchased (in dollars per share) | $ / shares | $ 9.24 | ||||||
Shares repurchased, discount on repurchase (as a percent) | 3.00% | ||||||
Common Stock - Class B | |||||||
Stockholders' Equity | |||||||
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 | ||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.00001 | $ 0.00001 | $ 0.00001 | ||||
Common stock, shares issued | 8,629,738 | 8,710,158 | |||||
Common stock, shares outstanding | 8,629,738 | 8,710,158 | |||||
Number of votes per share of common stock held | vote | 10 | ||||||
Number of shares whose market equivalent is given in cash on optional exchange of common interest | 1 | ||||||
Common Stock - Class C | |||||||
Stockholders' Equity | |||||||
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 | ||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.00001 | $ 0.00001 | $ 0.00001 | ||||
Common stock, shares issued | 0 | 0 | |||||
Common stock, shares outstanding | 0 | 0 | |||||
Conversion ratio of common stock | 1 | ||||||
Number of shares entitled by warrants (in shares) | 4,360,623 |
Non-Controlling Interests (Deta
Non-Controlling Interests (Details) | 12 Months Ended |
Dec. 31, 2017shares | |
Common Stock - Class C | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |
Number of shares entitled by warrants (in shares) | 4,360,623 |
JG Wentworth Company LLC | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |
Balance as of December 31, 2016 | 28,801,254 |
Common Interests acquired by The J.G. Wentworth Company as a result of the exchange of units for shares of Class A common stock | 0 |
Issuance of Class A common stock for vested equity awards | 9,681 |
Common Interests forfeited | (9,871) |
Balance as of December 31, 2017 | 28,801,064 |
JG Wentworth Company LLC | JGWPT Holding Inc. | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |
Balance as of December 31, 2016 | 15,730,473 |
Common Interests acquired by The J.G. Wentworth Company as a result of the exchange of units for shares of Class A common stock | 70,549 |
Issuance of Class A common stock for vested equity awards | 9,681 |
Common Interests forfeited | 0 |
Balance as of December 31, 2017 | 15,810,703 |
JG Wentworth Company LLC | Non-controlling Interest | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |
Balance as of December 31, 2016 | 13,070,781 |
Common Interests acquired by The J.G. Wentworth Company as a result of the exchange of units for shares of Class A common stock | (70,549) |
Issuance of Class A common stock for vested equity awards | 0 |
Common Interests forfeited | (9,871) |
Balance as of December 31, 2017 | 12,990,361 |
Risks and Uncertainties (Detail
Risks and Uncertainties (Details) - company | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Finance receivables | Credit risk | |||
Risks and uncertainties | |||
Number of insurance companies and related subsidiaries, rated A or better | 3 | 3 | |
Percentage of risks | 35.00% | 33.00% | |
Finance receivables | Geographic Concentration Risk | Virginia | |||
Risks and uncertainties | |||
Percentage of risks | 17.80% | 21.10% | |
Finance receivables | Geographic Concentration Risk | California | |||
Risks and uncertainties | |||
Percentage of risks | 22.80% | 21.00% | |
Structured settlement business | Credit risk | |||
Risks and uncertainties | |||
Percentage of risks | 73.00% | 66.00% | 83.00% |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | Jan. 25, 2018 | Dec. 31, 2017 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 |
Commitments and contingencies | |||||
TRA obligations | $ 160.1 | ||||
Loan Origination Commitments | |||||
Commitments and contingencies | |||||
Other commitment | $ 574.2 | $ 355.9 | |||
JG Wentworth Company LLC | |||||
Commitments and contingencies | |||||
Investment tax basis, increase during period | $ 53.3 | $ 207 | |||
Subsequent Event | |||||
Commitments and contingencies | |||||
TRA, cash consideration paid | $ 4.8 | ||||
TRA, aggregate fair value | $ 6.6 | ||||
Common Stock | |||||
Commitments and contingencies | |||||
Conversion ratio of common stock | 1 | ||||
TRA Claimants | Common Stock - Class A | Subsequent Event | |||||
Commitments and contingencies | |||||
Shares issued | 161,961 | ||||
TRA Claimants | Common Stock - Class B | Subsequent Event | |||||
Commitments and contingencies | |||||
Shares issued | 141,384 | ||||
Borrowing Agreement | Counterparty under agreement to purchase LCSS assets | |||||
Commitments and contingencies | |||||
Amount owed by counterparty | $ 11.4 | $ 10.8 | |||
Annual rate of interest for counterparty borrowing (as a percent) | 5.35% | ||||
Arrangement | Counterparty under agreement to purchase LCSS assets | |||||
Commitments and contingencies | |||||
Percentage of target IRR above original target IRR paid by counterparty | 3.50% | ||||
Tax Receivable Agreement | |||||
Commitments and contingencies | |||||
Income tax, cash savings percentage to be paid to common interestholders | 85.00% | ||||
Tax Receivable Agreement | JG Wentworth Company LLC | |||||
Commitments and contingencies | |||||
Common interestholders, ownership percentage | 1.00% |
Share-based Compensation - Narr
Share-based Compensation - Narrative (Details) | Aug. 29, 2016$ / sharesshares | Jul. 29, 2016participant | Apr. 30, 2016participantshares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Aug. 29, 2017$ / sharesshares | Aug. 26, 2016participantshares |
Share-based compensation | ||||||||
Vested during the period (in shares) | shares | 73,497 | 141,540 | 233,713 | |||||
Vested options grant date fair value | $ 200,000 | $ 700,000 | $ 1,200,000 | |||||
Unrecognized compensation expense | $ 2,000,000 | |||||||
Weighted average period for recognizing unrecognized compensation expense (in years) | 1 year 8 months | |||||||
Stock options | ||||||||
Share-based compensation | ||||||||
Share-based compensation expense | $ 1,200,000 | 1,100,000 | 1,200,000 | |||||
Stock options | Stock Modification Program | ||||||||
Share-based compensation | ||||||||
Unrecognized compensation expense | $ 100,000 | $ 100,000 | 0 | |||||
Weighted average period for recognizing unrecognized compensation expense (in years) | 2 years | 3 years | ||||||
Options affected by plan modification (in shares) | shares | 1,266,125 | |||||||
Number of plan participants impacted by plan modification | participant | 33 | 45 | ||||||
Solicitation period for plan modification (in days) | 20 days | |||||||
Number of employees electing modification under the plan modification | participant | 32 | |||||||
Performance Shares | ||||||||
Share-based compensation | ||||||||
Share-based compensation expense | $ 100,000 | $ 100,000 | (300,000) | |||||
Aggregate grant date fair value | 100,000 | 100,000 | 1,500,000 | |||||
Unrecognized compensation cost | $ 100,000 | |||||||
Performance Shares | Minimum | ||||||||
Share-based compensation | ||||||||
Performance unit, conversion ratio | shares | 0 | |||||||
Performance Shares | Maximum | ||||||||
Share-based compensation | ||||||||
Performance unit, conversion ratio | shares | 1.5 | |||||||
Restricted stock | ||||||||
Share-based compensation | ||||||||
Award vesting period (in years) | 1 year | |||||||
Share-based compensation expense | 100,000 | 100,000 | ||||||
Unrecognized compensation cost | $ 0 | |||||||
Aggregate weighted average grant-date fair value | 0 | 100,000 | 100,000 | |||||
Restricted Common Interests | ||||||||
Share-based compensation | ||||||||
Share-based compensation expense | 0 | 100,000 | 300,000 | |||||
Fair value of equity instruments other than options vested during period | $ 100,000 | $ 100,000 | $ 500,000 | |||||
Common Stock - Class A | ||||||||
Share-based compensation | ||||||||
Shares available for grant (in shares) | shares | 1,100,000 | 1,200,000 | ||||||
Common Stock - Class A | Stock Modification Program | ||||||||
Share-based compensation | ||||||||
Share price (in dollars per share) | $ / shares | $ 0.17 | |||||||
Common Stock - Class A | Stock options | ||||||||
Share-based compensation | ||||||||
Period over which forfeiture restrictions lapsed (in years) | 10 years | |||||||
Award vesting period (in years) | 5 years | |||||||
Common Stock - Class A | Stock options | Stock Modification Program | ||||||||
Share-based compensation | ||||||||
Number of outstanding options approved to be modified (in shares) | shares | 486,953 | |||||||
Plan modification stock potentially subject to modification | shares | 180,000 | |||||||
Common Stock - Class A | Stock options | Stock Modification Program | Non-officer | ||||||||
Share-based compensation | ||||||||
Number of outstanding options approved to be modified (in shares) | shares | 147,963 | 1,195,927 | ||||||
Common Stock - Class A | Stock options | Stock Modification Program | Executive Officer | ||||||||
Share-based compensation | ||||||||
Share price (in dollars per share) | $ / shares | $ 0.32 | |||||||
Number of options under plan modification plans, canceled (in shares) | shares | 180,000 | |||||||
Number of options under plan modification plans, granted (in shares) | shares | 180,000 | |||||||
Common Stock - Class A | Common Stock | ||||||||
Share-based compensation | ||||||||
Issuance of Class A common stock for vested equity awards (in shares) | shares | 9,681 |
Share-based Compensation (Detai
Share-based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Shares | ||
Outstanding at the beginning of the period (in shares) | 1,376,549 | |
Granted (in shares) | 206,500 | |
Exercised (in shares) | 0 | |
Canceled (in shares) | 0 | |
Forfeited (in shares) | (81,261) | |
Expired (in shares) | (9,058) | |
Outstanding at the end of the period (in shares) | 1,492,730 | 1,376,549 |
Expected to vest (in shares) | 1,447,343 | |
Vested (in shares) | 142,586 | |
Weighted- Average Exercise Price | ||
Outstanding at the beginning of the period (in dollars per share) | $ 5.77 | |
Granted (in dollars per share) | 0.41 | |
Exercised (in dollars per share) | 0 | |
Canceled (in dollars per share) | 0 | |
Forfeited (in dollars per share) | 1.05 | |
Expired (in dollars per share) | 9.23 | |
Outstanding at the end of the period (in dollars per share) | 1.69 | $ 5.77 |
Expected to vest (in dollars per share) | 1.72 | |
Vested (in dollars per share) | $ 8.72 | |
Weighted- Average Remaining Contractual Term (In Years) | ||
Options outstanding, weighted average remaining contractual term (in years) | 6 years 9 months 85 days | 7 years 8 months 24 days |
Expected to vest (in years) | 6 years 9 months 81 days | |
Vested (in years) | 6 years 9 months 85 days | |
Aggregate Intrinsic Value (In Millions) | ||
Options outstanding, aggregate intrinsic value | $ 0 | $ 0 |
Options outstanding, aggregate intrinsic value, expected to vest | 0 | |
Options outstanding, aggregate intrinsic value, vested | $ 0 | |
Minimum | Stock Modification Program | ||
Assumptions used in the Black-Scholes valuation model for options granted | ||
Weighted average fair value of grant (in dollars per share) | $ 0.06 | $ 0.13 |
Risk-free interest rate (as a percent) | 1.58% | 1.19% |
Expected volatility (as a percent) | 43.31% | 43.81% |
Expected life of options in years | 4 years 1 month 6 days | 5 years 1 month |
Maximum | Stock Modification Program | ||
Assumptions used in the Black-Scholes valuation model for options granted | ||
Weighted average fair value of grant (in dollars per share) | $ 0.07 | $ 0.15 |
Risk-free interest rate (as a percent) | 1.67% | 1.37% |
Expected volatility (as a percent) | 44.73% | 44.52% |
Expected life of options in years | 6 years 6 months | 6 years 6 months |
Stock options | ||
Assumptions used in the Black-Scholes valuation model for options granted | ||
Weighted average fair value of grant (in dollars per share) | $ 0.19 | |
Risk-free interest rate (as a percent) | 2.07% | |
Expected volatility (as a percent) | 43.58% | |
Expected life of options in years | 6 years 6 months | 6 years 6 months |
Expected dividend yield (as a percent) | 0.00% | 0.00% |
Stock options | Stock Modification Program | ||
Assumptions used in the Black-Scholes valuation model for options granted | ||
Expected dividend yield (as a percent) | 0.00% | 0.00% |
Stock options | Minimum | ||
Assumptions used in the Black-Scholes valuation model for options granted | ||
Weighted average fair value of grant (in dollars per share) | $ 0.17 | |
Risk-free interest rate (as a percent) | 1.35% | |
Expected volatility (as a percent) | 40.84% | |
Stock options | Maximum | ||
Assumptions used in the Black-Scholes valuation model for options granted | ||
Weighted average fair value of grant (in dollars per share) | $ 0.62 | |
Risk-free interest rate (as a percent) | 1.86% | |
Expected volatility (as a percent) | 44.50% | |
Performance Shares | ||
Awards granted, exercised, forfeited, and outstanding | ||
Outstanding at the beginning of the period (in shares) | 207,500 | |
Granted (in shares) | 103,250 | |
Vested (in shares) | (9,681) | |
Forfeited (in shares) | (72,819) | |
Outstanding at the end of the period (in shares) | 228,250 | 207,500 |
Expected to vest (in shares) | 87,000 | |
Weighted-Average Grant-Date Fair Value | ||
Outstanding at the beginning of the period (in dollars per share) | $ 1.18 | |
Granted (in dollars per share) | 0.41 | |
Vested (in dollars per share) | 1.23 | |
Forfeited (in dollars per share) | 6.51 | |
Outstanding at the end of the period (in dollars per share) | 0.97 | $ 1.18 |
Expected to vest (in dollars per share) | $ 0.41 | |
Restricted Common Interests | ||
Awards granted, exercised, forfeited, and outstanding | ||
Outstanding at the beginning of the period (in shares) | 9,871 | |
Vested (in shares) | 0 | |
Forfeited (in shares) | (9,871) | |
Outstanding at the end of the period (in shares) | 0 | 9,871 |
Expected to vest (in shares) | 0 | |
Weighted-Average Grant-Date Fair Value | ||
Outstanding at the beginning of the period (in dollars per share) | $ 9.06 | |
Vested (in dollars per share) | 0 | |
Forfeited (in dollars per share) | 9.06 | |
Outstanding at the end of the period (in dollars per share) | 0 | $ 9.06 |
Expected to vest (in dollars per share) | $ 0 |
Employee Benefit Plan (Details)
Employee Benefit Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Retirement Benefits [Abstract] | |||
Minimum age of employees under the Plan | 21 years | ||
Defined Contribution Plan Disclosure [Line Items] | |||
Employee benefit plan expense | $ 920 | $ 862 | $ 668 |
Defined Contribution Plan, One | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Matching contributions by the Company (as a percent) | 50.00% | ||
Compensation contribution on matching contributions by the Company (as a percent) | 8.00% | ||
Defined Contribution Plan, Two | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Matching contributions by the Company (as a percent) | 15.00% |
Cost Savings Activities (Detail
Cost Savings Activities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Restructuring Reserve [Roll Forward] | ||
Balance at December 31, 2016 | $ 1,291 | |
Payments | (1,609) | |
Adjustments | 2,015 | |
Balance at December 31, 2017 | 1,697 | $ 1,291 |
Structured Settlements | ||
Restructuring Reserve [Roll Forward] | ||
Balance at December 31, 2016 | 1,201 | |
Payments | (1,460) | |
Adjustments | 1,944 | |
Balance at December 31, 2017 | 1,685 | 1,201 |
Home Lending | ||
Restructuring Reserve [Roll Forward] | ||
Balance at December 31, 2016 | 90 | |
Payments | (149) | |
Adjustments | 71 | |
Balance at December 31, 2017 | 12 | 90 |
Severance expense | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring expense | 100 | 2,900 |
Lease terminations | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring expense | $ 2,000 | $ 800 |
Earnings per share (Details)
Earnings per share (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2015USD ($)$ / sharesshares | |
Basic loss per share computation: | |||
Numerator for basic EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock | $ | $ (191,333) | $ (46,857) | $ (95,312) |
Dilutive potential common shares | 0 | 0 | 0 |
Common Interest and Vested Restricted Common Interest | |||
Earnings per share | |||
Antidilutive securities, excluded from computation of earnings per share (in shares) | 13,016,480 | 13,075,774 | 13,623,240 |
Unvested Restricted Common Interest | |||
Earnings per share | |||
Antidilutive securities, excluded from computation of earnings per share (in shares) | 3,673 | 19,306 | 102,562 |
Stock options | |||
Basic loss per share computation: | |||
Effect of dilutive securities (in shares) | 0 | 0 | 0 |
Warrants | |||
Basic loss per share computation: | |||
Effect of dilutive securities (in shares) | 0 | 0 | 0 |
Restricted common stock and performance-based restricted stock units | |||
Basic loss per share computation: | |||
Effect of dilutive securities (in shares) | 0 | 0 | 0 |
JGW LLC Common Interests and vested Restricted Common Interests | |||
Basic loss per share computation: | |||
Effect of dilutive securities | $ | $ 0 | $ 0 | $ 0 |
Effect of dilutive securities (in shares) | 0 | 0 | 0 |
JGW LLC unvested Restricted Common Interests | |||
Basic loss per share computation: | |||
Effect of dilutive securities | $ | $ 0 | $ 0 | $ 0 |
Effect of dilutive securities (in shares) | 0 | 0 | 0 |
Common Stock - Class A | |||
Basic loss per share computation: | |||
Numerator for basic EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock | $ | $ (191,333) | $ (46,857) | $ (95,312) |
Numerator for diluted EPS - Net (loss) income attributable to holders of The J.G. Wentworth Company Class A common stock | $ | $ (191,333) | $ (46,857) | $ (95,312) |
Denominator for basic EPS -Weighted average shares of Class A common stock (in shares) | 15,782,303 | 15,649,474 | 14,690,746 |
Denominator for diluted EPS - Adjusted weighted average shares of Class A common stock (in shares) | 15,782,303 | 15,649,474 | 14,690,746 |
Diluted loss per share computation: | |||
Basic loss per share of Class A common stock (in dollars per share) | $ / shares | $ (12.12) | $ (2.99) | $ (6.49) |
Diluted loss per share of Class A common stock (in dollars per share) | $ / shares | $ (12.12) | $ (2.99) | $ (6.49) |
Common Stock - Class A | Stock options | |||
Earnings per share | |||
Antidilutive securities, excluded from computation of earnings per share (in shares) | 1,506,729 | 1,399,304 | 1,455,645 |
Common Stock - Class A | Restricted Common Interests | |||
Earnings per share | |||
Antidilutive securities, excluded from computation of earnings per share (in shares) | 241,888 | 225,822 | 188,218 |
Common Stock - Class A | The J.G. Wentworth Company, LLC | |||
Earnings per share | |||
Conversion ratio of common stock | 1 | ||
Common Stock - Class A | Class C Profits Interests | PGHI Corp | |||
Earnings per share | |||
Number of shares entitled by warrants (in shares) | 966,434 |
Business Segments - Operating D
Business Segments - Operating Data by Reportable Segment (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($)segment | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Segment Reporting [Abstract] | |||
Number of reportable segments | segment | 2 | ||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | $ 30,973 | $ 47,354 | $ 52,346 |
Total revenues | 428,712 | 324,672 | 296,367 |
Total assets | 5,051,465 | 4,992,907 | 5,051,098 |
Securitization-related adjustments: | |||
Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates | 112,316 | 17,225 | 80,023 |
Servicing income on securitized finance receivables | 18,626 | 13,824 | 8,000 |
Professional fees relating to securitizations | (23,658) | (14,755) | (21,486) |
(Provision) credit for losses associated with permanently financed VIEs | (4,860) | (5,958) | (5,576) |
Other adjustments: | |||
Impairment charges and loss on disposal of assets | (8,369) | (5,483) | (121,594) |
TRA obligations | 160,113 | 0 | 0 |
Debt issuance | (5,878) | (5,117) | (6,741) |
Depreciation and amortization | (4,146) | (4,814) | (4,613) |
Loss before income taxes | (201,063) | (113,355) | (215,356) |
Structured Settlements | |||
Other adjustments: | |||
Impairment charges and loss on disposal of assets | (5,500) | ||
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | 30,973 | 47,354 | 52,346 |
Operating Segments | Structured Settlements | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | 16,834 | 16,165 | 49,619 |
Total revenues | 313,935 | 215,399 | 269,635 |
Total assets | 4,633,094 | 4,611,705 | 4,801,965 |
Operating Segments | Home Lending | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | 14,139 | 31,189 | 2,727 |
Total revenues | 114,777 | 109,273 | 26,732 |
Total assets | 418,371 | 381,202 | 249,133 |
Other Adjustments/Eliminations | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | 0 | 0 | 0 |
Total revenues | 0 | 0 | 0 |
Total assets | 0 | 0 | 0 |
Segment Reconciling Items | |||
Securitization-related adjustments: | |||
Unrealized gain (loss) on finance receivables, long-term debt and derivatives post securitization due to changes in interest rates | 10,859 | (77,652) | (75,802) |
Interest income from securitized finance receivables | 176,754 | 177,781 | 171,773 |
Interest income on retained interests in finance receivables | (1,955) | (16,149) | (21,652) |
Servicing income on securitized finance receivables | (5,117) | (5,181) | (5,284) |
Interest expense on long-term debt related to securitization and permanent financing trusts | (175,565) | (162,442) | (147,723) |
Swap termination expense related to securitization entities | 0 | (3,053) | 0 |
Professional fees relating to securitizations | (5,314) | (5,605) | (5,913) |
(Provision) credit for losses associated with permanently financed VIEs | (113) | 60 | (25) |
Subtotal of securitization-related adjustments | (451) | (92,241) | (84,626) |
Other adjustments: | |||
Share-based compensation | (1,038) | (1,448) | (1,291) |
Impact of pre-funding on unsecuritized finance receivables | 3,199 | (3,199) | (1,618) |
Lease termination, severance and other restructuring related expenses | (15,544) | (3,602) | (3,095) |
Merger and acquisition related expense | 0 | (550) | (2,946) |
Debt modification expense | (223) | (2,399) | (792) |
Impairment charges and loss on disposal of assets | (8,369) | (5,483) | (121,594) |
Term loan interest expense | (39,469) | (40,559) | (40,386) |
TRA obligations | (160,113) | 0 | 0 |
Debt issuance | (5,881) | (4,455) | (6,741) |
Broker and legal fees incurred in connection with sale of finance receivables | 0 | (1,959) | 0 |
Depreciation and amortization | $ (4,147) | $ (4,814) | $ (4,613) |
Condensed Combined Debtor-In112
Condensed Combined Debtor-In-Possession Financial Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Information of Debtor in Possession Disclosure [Abstract] | |||
TRA obligations | $ 160,100 | ||
Reorganization items, professional and consulting fees | $ 1,257 | $ 0 | $ 0 |
Condensed Combined Debtor-In113
Condensed Combined Debtor-In-Possession Financial Information - Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
ASSETS | |||||
Cash and cash equivalents | $ 35,562 | $ 80,166 | $ 57,322 | $ 41,648 | |
Intangible assets, net of accumulated amortization | 21,125 | 22,868 | |||
Other assets | 65,908 | 61,600 | |||
Total Assets | 5,051,465 | 4,992,907 | $ 5,051,098 | ||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Accrued expenses and accounts payable | 26,330 | 28,929 | |||
Deferred tax liabilities, net | 10,837 | 1,415 | |||
Total liabilities not subject to compromise | 4,694,449 | 5,033,315 | |||
Liabilities subject to compromise | [1] | 607,109 | 0 | ||
Total Liabilities | 5,301,558 | 5,033,315 | |||
Additional paid-in-capital | 106,217 | 105,823 | |||
Accumulated deficit | (308,955) | (117,622) | |||
Stockholders Equity And Members Capital Including Treasury Stock | (202,738) | (11,799) | |||
Less: treasury stock at cost, 542,072 shares as of December 31, 2017 and December 31, 2016, respectively | (2,138) | (2,138) | |||
Total stockholders' deficit, The J.G. Wentworth Company | (204,876) | (13,937) | |||
Non-controlling interests | (45,217) | (26,471) | |||
Total Stockholders' Deficit | (250,093) | (40,408) | |||
Total Liabilities and Stockholders’ Deficit | 5,051,465 | 4,992,907 | |||
Common Stock - Class A | |||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Common stock | 0 | 0 | |||
Common Stock - Class B | |||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Common stock | 0 | 0 | |||
Common Stock - Class C | |||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Common stock | 0 | 0 | |||
Subsidiaries In Bankruptcy Proceedings | |||||
ASSETS | |||||
Cash and cash equivalents | 0 | $ 5 | |||
Due from affiliates | 209,580 | ||||
Intangible assets, net of accumulated amortization | 566 | ||||
Investment in non-debtor subsidiaries | 512,565 | ||||
Other assets | 1,380 | ||||
Total Assets | 724,091 | ||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Accrued expenses and accounts payable | 15 | ||||
Deferred tax liabilities, net | 9,362 | ||||
Due to affiliates | 357,698 | ||||
Total liabilities not subject to compromise | 367,075 | ||||
Liabilities subject to compromise | 607,109 | ||||
Total Liabilities | 974,184 | ||||
Additional paid-in-capital | 106,217 | ||||
Accumulated deficit | (308,955) | ||||
Stockholders Equity And Members Capital Including Treasury Stock | (202,738) | ||||
Less: treasury stock at cost, 542,072 shares as of December 31, 2017 and December 31, 2016, respectively | (2,138) | ||||
Total stockholders' deficit, The J.G. Wentworth Company | (204,876) | ||||
Non-controlling interests | (45,217) | ||||
Total Stockholders' Deficit | (250,093) | ||||
Total Liabilities and Stockholders’ Deficit | 724,091 | ||||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class A | |||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Common stock | 0 | ||||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class B | |||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Common stock | 0 | ||||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class C | |||||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||
Common stock | $ 0 | ||||
[1] | Liabilities subject to compromise as of December 31, 2017 are presented in accordance with ASC 852. These liabilities include the "Term Loan Claims" and the "TRA Claims" as defined in the Plan. |
Condensed Combined Debtor-In114
Condensed Combined Debtor-In-Possession Financial Information - Balance Sheet - Additional Information (Details) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 | Nov. 14, 2013 |
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Treasury stock, shares | 542,072 | 542,072 | |
Common Stock - Class A | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 | $ 0.00001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 |
Common stock, shares issued | 16,352,775 | 16,272,545 | |
Common stock, shares outstanding | 15,810,703 | 15,730,473 | |
Common Stock - Class B | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 | $ 0.00001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 |
Common stock, shares issued | 8,629,738 | 8,710,158 | |
Common stock, shares outstanding | 8,629,738 | 8,710,158 | |
Common Stock - Class C | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 | $ 0.00001 |
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 |
Common stock, shares issued | 0 | 0 | |
Common stock, shares outstanding | 0 | 0 | |
Subsidiaries In Bankruptcy Proceedings | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Treasury stock, shares | 542,072 | ||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class A | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.00001 | ||
Common stock, authorized shares | 500,000,000 | ||
Common stock, shares issued | 16,352,775 | ||
Common stock, shares outstanding | 16,352,775 | ||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class B | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.00001 | ||
Common stock, authorized shares | 500,000,000 | ||
Common stock, shares issued | 8,629,738 | ||
Common stock, shares outstanding | 8,629,738 | ||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class C | |||
Condensed Balance Sheet Statements, Captions [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.00001 | ||
Common stock, authorized shares | 500,000,000 | ||
Common stock, shares issued | 0 | ||
Common stock, shares outstanding | 0 |
Condensed Combined Debtor-In115
Condensed Combined Debtor-In-Possession Financial Information - Operating Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Condensed Income Statements, Captions [Line Items] | ||||
TRA obligations | $ 160,113 | $ 0 | $ 0 | |
REVENUES | ||||
Total revenues | 428,712 | 324,672 | 296,367 | |
EXPENSES | ||||
Interest expense | [1] | 229,497 | 224,499 | 208,545 |
Compensation and benefits | 79,077 | 79,750 | 52,656 | |
General and administrative | 27,573 | 26,870 | 21,057 | |
Professional and consulting | 23,658 | 14,755 | 21,486 | |
Depreciation and amortization | 4,146 | 4,814 | 4,613 | |
Reorganization items, net | [2] | 161,370 | 0 | 0 |
Total expenses | 629,775 | 438,027 | 511,723 | |
Loss before income taxes | (201,063) | (113,355) | (215,356) | |
Provision for income taxes | 9,645 | (15,340) | (18,216) | |
Net loss | (210,708) | (98,015) | (197,140) | |
Less: net loss attributable to non-controlling interests | (19,375) | (51,158) | (101,828) | |
Net loss attributable to The J.G. Wentworth Company | (191,333) | (46,857) | (95,312) | |
TRA obligations | 160,100 | |||
Reorganization items, professional and consulting fees | 1,257 | $ 0 | $ 0 | |
Subsidiaries In Bankruptcy Proceedings | ||||
Condensed Income Statements, Captions [Line Items] | ||||
TRA obligations | 160,113 | |||
REVENUES | ||||
Income from investment in non-debtor subsidiaries | 18,764 | |||
Total revenues | 18,764 | |||
EXPENSES | ||||
Interest expense | 39,469 | |||
Compensation and benefits | 1,038 | |||
General and administrative | 1,775 | |||
Professional and consulting | 15,789 | |||
Depreciation and amortization | 487 | |||
Reorganization items, net | 161,370 | |||
Total expenses | 219,928 | |||
Loss before income taxes | (201,164) | |||
Provision for income taxes | 9,544 | |||
Net loss | (210,708) | |||
Less: net loss attributable to non-controlling interests | (19,375) | |||
Net loss attributable to The J.G. Wentworth Company | (191,333) | |||
Reorganization items, professional and consulting fees | $ 1,257 | |||
[1] | Contractual interest expense for the year ended December 31, 2017 is related to the term loan payable and presented in accordance with ASC 852. | |||
[2] | Reorganization items, net for the year ended December 31, 2017 are presented in accordance with ASC 852 and include (i) $160.1 million of TRA obligations and, (ii) $1.3 million of professional and consulting fees incurred in connection with the Company's bankruptcy proceedings from the Petition Date through December 31, 2017. |
Condensed Combined Debtor-In116
Condensed Combined Debtor-In-Possession Financial Information - Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net loss | $ (210,708) | $ (98,015) | $ (197,140) |
Other comprehensive loss: | |||
Reclassification adjustment for gain in net income | 0 | 0 | 0 |
Unrealized gains on notes receivable arising during the year | 0 | 0 | 0 |
Total other comprehensive loss | 0 | 0 | 0 |
Total comprehensive loss | (210,708) | (98,015) | (197,140) |
Less: comprehensive loss allocated to non-controlling interests | (19,375) | (51,158) | (101,828) |
Comprehensive loss attributable to The J.G. Wentworth Company | (191,333) | $ (46,857) | $ (95,312) |
Subsidiaries In Bankruptcy Proceedings | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net loss | (210,708) | ||
Other comprehensive loss: | |||
Reclassification adjustment for gain in net income | 0 | ||
Unrealized gains on notes receivable arising during the year | 0 | ||
Total other comprehensive loss | 0 | ||
Total comprehensive loss | (210,708) | ||
Less: comprehensive loss allocated to non-controlling interests | (19,375) | ||
Comprehensive loss attributable to The J.G. Wentworth Company | $ (191,333) |
Condensed Combined Debtor-In117
Condensed Combined Debtor-In-Possession Financial Information - Statement of Equity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ (40,408) | $ 56,159 | $ 253,635 |
Net loss | (210,708) | (98,015) | (197,140) |
Share-based compensation | 1,038 | 1,448 | 1,291 |
Capital distributions | (15) | ||
Issuance of Class A common stock for vested equity awards | 0 | 0 | 12,956 |
Exchange of JGW LLC common interests into Class A common stock | 0 | 0 | 0 |
Stockholders' equity, ending balance | $ (250,093) | $ (40,408) | $ 56,159 |
Common Stock - Class A | |||
Increase (Decrease) in Stockholders' Equity | |||
Beginning Balance (in shares) | 15,730,473 | ||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 70,549 | 196,101 | 984,949 |
Ending Balance (in shares) | 15,810,703 | 15,730,473 | |
Common Stock - Class B | |||
Increase (Decrease) in Stockholders' Equity | |||
Beginning Balance (in shares) | 8,710,158 | ||
Ending Balance (in shares) | 8,629,738 | 8,710,158 | |
Accumulated Deficit | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ (117,622) | $ (70,765) | $ 25,634 |
Net loss | (191,333) | (46,857) | (95,312) |
Stockholders' equity, ending balance | (308,955) | (117,622) | (70,765) |
Non-controlling Interest | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | (26,471) | 24,349 | 134,991 |
Net loss | (19,375) | (51,158) | (101,828) |
Share-based compensation | 468 | 659 | 638 |
Capital distributions | (15) | ||
Exchange of JGW LLC common interests into Class A common stock | 176 | (321) | (8,666) |
Stockholders' equity, ending balance | (45,217) | (26,471) | 24,349 |
Additional Paid-In- Capital | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | 105,823 | 104,713 | 95,453 |
Share-based compensation | 570 | 789 | 653 |
Exchange of JGW LLC common interests into Class A common stock | (176) | 321 | 8,666 |
Stockholders' equity, ending balance | 106,217 | 105,823 | 104,713 |
Treasury Stock | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ (2,138) | $ (2,138) | $ (2,443) |
Beginning Balance (in shares) | 542,072 | 542,072 | 600,755 |
Stockholders' equity, ending balance | $ (2,138) | $ (2,138) | $ (2,138) |
Ending Balance (in shares) | 542,072 | 542,072 | 542,072 |
Common Stock | Common Stock - Class A | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ 0 | $ 0 | $ 0 |
Beginning Balance (in shares) | 15,730,473 | 15,534,372 | 14,420,392 |
Share-based compensation (in shares) | 70,348 | ||
Issuance of Class A common stock for vested equity awards (in shares) | 9,681 | ||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 70,549 | 196,101 | 984,949 |
Stockholders' equity, ending balance | $ 0 | $ 0 | $ 0 |
Ending Balance (in shares) | 15,810,703 | 15,730,473 | 15,534,372 |
Common Stock | Common Stock - Class B | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ 0 | $ 0 | $ 0 |
Beginning Balance (in shares) | 8,710,158 | 8,908,698 | 9,963,750 |
Share-based compensation (in shares) | (9,871) | (2,439) | (70,103) |
Exchange of JGW LLC common interests into Class A common stock (in shares) | (70,549) | (196,101) | (984,949) |
Stockholders' equity, ending balance | $ 0 | $ 0 | $ 0 |
Ending Balance (in shares) | 8,629,738 | 8,710,158 | 8,908,698 |
Subsidiaries In Bankruptcy Proceedings | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ (40,408) | ||
Net loss | (210,708) | ||
Share-based compensation | 1,038 | ||
Capital distributions | (15) | ||
Issuance of Class A common stock for vested equity awards | 0 | ||
Exchange of JGW LLC common interests into Class A common stock | 0 | ||
Stockholders' equity, ending balance | $ (250,093) | $ (40,408) | |
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class A | |||
Increase (Decrease) in Stockholders' Equity | |||
Ending Balance (in shares) | 16,352,775 | ||
Subsidiaries In Bankruptcy Proceedings | Common Stock - Class B | |||
Increase (Decrease) in Stockholders' Equity | |||
Ending Balance (in shares) | 8,629,738 | ||
Subsidiaries In Bankruptcy Proceedings | Accumulated Deficit | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ (117,622) | ||
Net loss | (191,333) | ||
Stockholders' equity, ending balance | (308,955) | (117,622) | |
Subsidiaries In Bankruptcy Proceedings | Non-controlling Interest | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | (26,471) | ||
Net loss | (19,375) | ||
Share-based compensation | 468 | ||
Capital distributions | (15) | ||
Exchange of JGW LLC common interests into Class A common stock | 176 | ||
Stockholders' equity, ending balance | (45,217) | (26,471) | |
Subsidiaries In Bankruptcy Proceedings | Additional Paid-In- Capital | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | 105,823 | ||
Share-based compensation | 570 | ||
Exchange of JGW LLC common interests into Class A common stock | (176) | ||
Stockholders' equity, ending balance | 106,217 | 105,823 | |
Subsidiaries In Bankruptcy Proceedings | Treasury Stock | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ (2,138) | ||
Beginning Balance (in shares) | 542,072 | ||
Stockholders' equity, ending balance | $ (2,138) | $ (2,138) | |
Ending Balance (in shares) | 542,072 | 542,072 | |
Subsidiaries In Bankruptcy Proceedings | Common Stock | Common Stock - Class A | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ 0 | ||
Beginning Balance (in shares) | 15,730,473 | ||
Issuance of Class A common stock for vested equity awards | $ 0 | ||
Issuance of Class A common stock for vested equity awards (in shares) | 9,681 | ||
Exchange of JGW LLC common interests into Class A common stock | $ 0 | ||
Exchange of JGW LLC common interests into Class A common stock (in shares) | 70,549 | ||
Stockholders' equity, ending balance | $ 0 | $ 0 | |
Ending Balance (in shares) | 15,810,703 | 15,730,473 | |
Subsidiaries In Bankruptcy Proceedings | Common Stock | Common Stock - Class B | |||
Increase (Decrease) in Stockholders' Equity | |||
Stockholders' equity, beginning balance | $ 0 | ||
Beginning Balance (in shares) | 8,710,158 | ||
Share-based compensation | $ 0 | ||
Share-based compensation (in shares) | (9,871) | ||
Exchange of JGW LLC common interests into Class A common stock | $ 0 | ||
Exchange of JGW LLC common interests into Class A common stock (in shares) | (70,549) | ||
Stockholders' equity, ending balance | $ 0 | $ 0 | |
Ending Balance (in shares) | 8,629,738 | 8,710,158 |
Condensed Combined Debtor-In118
Condensed Combined Debtor-In-Possession Financial Information - Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||
Net loss | $ (210,708) | $ (98,015) | $ (197,140) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Amortization of intangibles | 1,743 | 2,078 | 2,248 |
Amortization of debt issuance costs | 7,665 | 12,955 | 7,949 |
Accretion of interest income | (186,008) | (187,498) | (189,736) |
Share-based compensation expense | 1,038 | 1,448 | 1,291 |
Deferred income taxes, net | 9,544 | (15,566) | (17,911) |
Other assets | 14,844 | (2,947) | 919 |
Accrued expenses and accounts payable | (2,599) | 7,838 | (1,021) |
Accrued interest | 12,973 | 5,743 | 4,658 |
TRA obligations | 160,113 | 0 | 0 |
Net cash (used in) provided by operating activities | (39,621) | 42,526 | (125,696) |
Cash flows from financing activities: | |||
Capital distributions | (15) | 0 | 0 |
Net cash (used in) provided by financing activities | (3,431) | (10,985) | 191,870 |
Net (decrease) increase in cash | (44,604) | 22,844 | 15,674 |
Cash and cash equivalents at beginning of the period | 80,166 | 57,322 | 41,648 |
Cash and cash equivalents at the end of the period | 35,562 | 80,166 | 57,322 |
Reorganization items, net: | |||
Professional and consulting | 1,257 | 0 | $ 0 |
Subsidiaries In Bankruptcy Proceedings | |||
Cash flows from operating activities: | |||
Net loss | (210,708) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Amortization of intangibles | 487 | ||
Amortization of debt issuance costs | 5,370 | ||
Accretion of interest income | 2,998 | ||
Share-based compensation expense | 1,038 | ||
Deferred income taxes, net | 9,348 | ||
Due from affiliates | (98,852) | ||
Investment in non-debtor subsidiaries | (17,373) | ||
Other assets | (1,304) | ||
Accrued expenses and accounts payable | (76) | ||
Accrued interest | 6,581 | ||
Due to affiliates | 142,390 | ||
TRA obligations | 160,113 | ||
Net cash (used in) provided by operating activities | 12 | ||
Cash flows from financing activities: | |||
Capital distributions | (17) | ||
Net cash (used in) provided by financing activities | (17) | ||
Net (decrease) increase in cash | (5) | ||
Cash and cash equivalents at beginning of the period | 5 | ||
Cash and cash equivalents at the end of the period | 0 | $ 5 | |
Reorganization items, net: | |||
TRA obligations | 160,113 | ||
Professional and consulting | $ 1,257 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | Jan. 25, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Nov. 14, 2013 |
Common Stock - Class A | ||||
Subsequent Event [Line Items] | ||||
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 | |
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 | $ 0.00001 | |
Common Stock - Class B | ||||
Subsequent Event [Line Items] | ||||
Common stock, authorized shares | 500,000,000 | 500,000,000 | 500,000,000 | |
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 | $ 0.00001 | |
Subsequent Event | ||||
Subsequent Event [Line Items] | ||||
Ownership percentage required for appointment of one director | 13.00% | |||
Subsequent Event | Common Stock - Class A | ||||
Subsequent Event [Line Items] | ||||
Common stock, authorized shares | 225,000,000 | |||
Common stock, par value (in dollars per share) | $ 0.00001 | |||
Subsequent Event | Common Stock - Class B | ||||
Subsequent Event [Line Items] | ||||
Common stock, authorized shares | 25,000,000 | |||
Common stock, par value (in dollars per share) | $ 0.00001 |