Company: ADAMM
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001273685-25-000028
Chunk: 113

Company: ADAMAS TRUST, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 16
Chunk 113
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 derivative liabilities $— $— (1)Excludes interest rate cap contracts held by certain Consolidated VIEs included in other assets in disposal group held for sale. The Company elects to net the fair value of its derivative contracts by counterparty when appropriate and accounts for the receipt or payment of variation margin as a direct reduction of or increase in the carrying value of the related asset or liability. The following tables present a reconciliation of gross derivative assets and liabilities to net amounts presented in the accompanying consolidated balance sheets as of December 31, 2024 and 2023, respectively (dollar amounts in thousands):December 31, 2024Gross Amount of Recognized Assets (Liabilities)Gross Amounts Offset in Balance SheetsVariation MarginNet Amounts of Assets (Liabilities) Presented in Balance SheetsDerivative assetsInterest rate caps$56 $— $— $56 Interest rate swaps63,942 (10,134)(53,808)— U.S. Treasury futures952 (658)(294)— Total derivative assets$64,950 $(10,792)$(54,102)$56 Derivative liabilitiesCredit default swaps$(9,120)$— $9,120 $— Interest rate swaps(10,134)10,134 — — U.S. Treasury futures(658)658 — — Total derivative liabilities$(19,912)$10,792 $9,120 $— 

F-48

December 31, 2023Gross Amount of Recognized Assets (Liabilities)Gross Amounts Offset in Balance SheetsVariation MarginNet Amounts of Assets (Liabilities) Presented in Balance SheetsDerivative assetsInterest rate caps$6,510 $— $— $6,510 Interest rate swaps13,094 (13,094)— — Total derivative assets$19,604 $(13,094)$— $6,510 Derivative liabilitiesInterest rate swaps$(40,541)$13,094 $27,447 $— Total derivative liabilities$(40,541)$13,094 $27,447 $— The use of derivatives exposes the Company to counterparty credit risks in the event of a default by a counterparty. If a counterparty defaults under the applicable derivative agreement, the Company may be unable to collect payments to which it is entitled under its derivative agreements and may have difficulty collecting the assets