Company: RWT-PA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000930236-25-000029
Chunk: 195

Company: REDWOOD TRUST INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 195
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 forth below under the heading "Risks Relating to Debt Incurred under Borrowing Facilities" for additional information regarding these terms that describe our debt.

At June 30, 2025, in aggregate, we had $2.53 billion of secured recourse debt outstanding, financing our mortgage banking operations and investment portfolio, of which $1.42 billion was marginable and $1.11 billion was non-marginable.

We are subject to risks relating to our liquidity and capital resources, including risks relating to incurring debt under loan warehouse facilities, securities repurchase facilities, other short- and long-term debt facilities and other risks relating to our corporate debt and use of derivatives. A further discussion of these risks is set forth below under the heading “Risks Relating to Debt Incurred under Borrowing Facilities."

Repurchase Authorization

Our Board of Directors previously approved authorizations for the repurchase of up to $125 million of our common stock, the repurchase up to $70 million of our preferred stock, and the repurchase of outstanding debt securities, including convertible and exchangeable debt. During the three months ended June 30, 2025, we repurchased 1.6 million shares of our common stock for a total cost of $9 million. During the three and six months ended June 30, 2025 we did not repurchase any shares of our preferred stock or of our convertible and exchangeable debt. At June 30, 2025, $92 million of the previously approved authorization remained available for the repurchase of shares of our common stock, and $70 million remained available for the repurchase of shares of our preferred stock. 

In July 2025, our Board of Directors approved an authorization for the repurchase of up to $150 million of our common stock, and continued its previous authorizations for the repurchase of up to $70 million of our preferred stock, and the repurchase of our outstanding debt securities, including convertible and exchangeable debt. This authorization replaced our previous $125 million common stock repurchase authorization. This authorization has no expiration date and does not obligate us to acquire any specific number of shares or securities. During the third quarter of 2025, we have continued to repurchase shares of our common stock and we are evaluating the potential for additional common share repurchases, given the current trading price of our common shares, relative to the book value per share of our common stock currently outstanding. Any repurchases of our common stock, preferred stock