Company: RWT-PA
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0000930236-25-000007
Chunk: 123

Company: REDWOOD TRUST INC
Filing Date: 2025-03-03
Form: 10-K
Item: Item 16
Chunk 123
---
 and Redwood retained its proportionate share of subordinate beneficial interests issued by the securitization entity. We account for the joint venture's interest in the bridge loan securitization entity as a liability and at December 31, 2024, the carrying value of their interest was $17 million, representing the fair value of their economic interest in the beneficial interest issued. During the year ended December 31, 2024, the joint venture's share of earnings from their retained interest (for which positive earnings are reflected as an expense to Redwood in our consolidated statements of income) were positive $5 million and were recorded through Investment fair value changes, net on our consolidated statements of income (loss).Accrued CompensationAccrued compensation includes costs related to our cash-settled awards, bonuses, deferred compensation, vacation and commissions. Our cash-settled awards were granted to certain executive officers and non-executive employees. These awards will be payable in cash with a vested award value based on the closing market price of our common stock on their respective final vesting dates. These awards are classified as liabilities in Accrued expenses and other liabilities on our consolidated balance sheets, and are being amortized over their respective vesting periods on a straight-line basis, adjusted for changes in the value of our common stock at the end of each reporting period. The following table presents our cash-settled awards by type of award at December 31, 2024.Table 14.6 – Activities of Cash Settled Awards by Award TypeYear Ended December 31, 2024(In Thousands)Cash-Settled Restricted Stock UnitsCash-Settled Deferred Stock UnitsCash-Settled Performance Stock UnitsTotalCash-settled award liability at December 31, 2023$83 $3,590 $1,550 $5,223 Compensation expense1,040 1,282 766 3,088 Cash-settled award vesting payout(955)(1,978)— (2,933)Cash-settled award liability at December 31, 2024$168 $2,894 $2,316 $5,378 Cash-Settled Restricted Stock Units ("csRSUs")During the year ended December 31, 2024, $5 million of csRSUs were granted to certain executive officers that will vest over the next four years through 2028. On each vesting date over the four-year vest