Company: FOACW
Filing Date: 2025-05-23
Form Type: 10-Q/A
Source: 0001828937-25-000042
Chunk: 88

Company: Finance of America Companies Inc.
Filing Date: 2025-05-23
Form: 10-Q/A
Chunk 88
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 attributable to a $267.0 million decrease in proceeds from the sale of loans held for sale, net of cash used for originations, and a $88.5 million change in other operating assets and liabilities.

Investing Cash Flow (As Restated)

The increase of $298.1 million in cash provided by our investing activities during the six months ended June 30, 2024 compared to the 2023 period was primarily attributable to a $420.0 million decrease in cash used for purchases and originations of loans held for investment, net of proceeds/payments, and a $140.9 million cash outlay for the AAG Transaction in the 2023 period. This was partially offset by a decrease of $185.8 million in proceeds/payments on loans held for investment, subject to nonrecourse debt, net of cash used for purchases and originations, and a decrease of $78.5 million in proceeds from the sale of MSR.

Financing Cash Flow (As Restated)

The increase of $5.2 million in cash provided by our financing activities during the six months ended June 30, 2024 compared to the 2023 period was primarily driven by a $535.6 million increase in proceeds on other financing lines of credit, net of payments. This was partially offset by a $410.9 million increase in payments on nonrecourse debt, net of proceeds, and by a $101.5 million increase in payments on HMBS related obligations, net of proceeds.

### Financial Covenants
Our credit facilities contain various financial covenants, which primarily relate to required tangible net worth amounts, liquidity reserves, leverage ratios , and profitability. These covenants are measured at our holding company subsidiary or our operating subsidiaries. The Company was in compliance with the financial covenants as of June 30, 2024. Refer to Note 11 - Other Financing Lines of Credit in the Notes to Condensed Consolidated Financial Statements for additional information.

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#### Compliance Requirements
As an issuer of HMBS, FAR is subject to net worth, liquidity, and leverage requirements as established and defined by Ginnie Mae as follows:

Minimum Net Worth

• $5.0 million plus 1% of FAR’s outstanding HMBS and unused commitment authority from Ginnie Mae.

• Tangible net worth is defined as total equity less goodwill, intangible assets, affiliate receivables, and certain pledged assets.

Minimum Liquidity

• Maintain liquid assets equal to at least