Company: RITM-PC
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0001556593-25-000007
Chunk: 199

Company: Rithm Capital Corp.
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 199
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 on, among other factors, the regulatory environment and their management of actual and perceived risk. Moreover, the amount of financing we receive under our secured financing agreements will be directly related to our lenders’ valuation of our assets that cover the outstanding borrowings. 

97

Use of Funds

Our primary uses of funds are the payment of interest, compensation expense, servicing and subservicing expenses, payment of outstanding commitments (including margins and loan originations), payment of other operating expenses, repayment of borrowings and hedge obligations, payment of dividends and funding of future servicer advances. 

As of December 31, 2024, our total outstanding debt obligations amounted to $32.8 billion and are comprised of secured financing agreements, secured notes and bonds payable, unsecured notes and notes payable of consolidated CFEs. Certain debt obligations are the obligations of our consolidated subsidiaries, which own the related collateral. In some cases, such collateral is not available to other creditors of ours. In particular, the obligations and liabilities of CFEs may only be satisfied with  the assets of the respective CFE, and creditors do not have recourse to Rithm Capital Corp. 

We have margin exposure on $16.8 billion of secured financing agreements. To the extent that the value of the collateral underlying these secured financing agreements declines, we may be required to post margin, which could significantly impact our liquidity.

Short-Term Borrowings

The following tables provide additional information regarding our short-term borrowings (dollars in thousands):

Year Ended December 31, 2024OutstandingBalance at December 31, 2024Average Daily Amount Outstanding(A)Maximum Amount OutstandingWeighted Average Daily Interest RateSecured Financing Agreements:Government & government-backed securities$9,782,976 $11,101,046 $14,887,215 5.4 %Non-Agency RMBS744,457 648,839 746,091 7.4 %Residential mortgage loans3,883,929 2,690,877 4,319,268 6.4 %Residential transition loans567,467 152,121 567,467 8.0 %Secured Notes and Bonds Payable:MSRs3,698,141 2,131,786 3,698,141 8.2 %Servicer advances706,750 636,468 2,694,755 7.1 %Residential mortgage loans— 650,000