Company: DBRG
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001679688-25-000017
Chunk: 211

Company: DigitalBridge Group, Inc.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 8
Chunk 211
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36 782 Noncontrolling interests16,070 (27,699)(44,014)Separately taxable subsidiaries of OP(2,361)15,213 21,226 Change in ownership of OP, including equity reallocation (Note 2)— — (2,838)Equity-based compensation(3,861)682 1,971 Valuation allowance (1)84,562 76,087 (784)Other, net(624)(257)(4,836)Income tax benefit (expense) on continuing operations$(2,944)$(6)$(13,132)__________(1)     2022 excludes changes in valuation allowance related to the Company's transition to taxable C Corporation as of January 1, 2022 and outside basis difference in changes in DBRG’s interest in the OP that were treated as equity transactions. Tax Examinations 

The Company is no longer subject to new income tax examinations by U.S. and UK tax authorities for years prior to 2021 and 2020, respectively. 

15. Variable Interest EntitiesA VIE is an entity that either (i) lacks sufficient equity to finance its activities without additional subordinated financial support from other parties; (ii) has equity holders who lack the characteristics of a controlling financial interest; and/or (iii) is established with non-substantive voting rights. The following discusses the Company's involvement with VIEs where the Company is the primary beneficiary and consolidates the VIEs or where the Company is not the primary beneficiary and does not consolidate the VIEs.Operating SubsidiaryThe Company's operating subsidiary, OP, is a limited liability company that has governing provisions that are the functional equivalent of a limited partnership. The Company holds the majority of membership interest in OP, acts as the managing member of OP and exercises full responsibility, discretion and control over the day-to-day management of OP. The noncontrolling interests in OP do not have substantive liquidation rights, substantive kick-out rights without cause, or substantive participating rights that could be exercised by a simple majority of noncontrolling interest members (including by such a member unilaterally). The absence of such rights, which represent voting rights in a limited partnership equivalent structure, would render OP to be a VIE. The Company, as managing member, has the power to direct the core activities of OP that most significantly affect OP's performance, and through its majority interest in OP, has both the right to receive benefits