Company: TWO-PC
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0001465740-25-000104
Chunk: 157

Company: TWO HARBORS INVESTMENT CORP.
Filing Date: 2025-04-29
Form: 10-Q
Item: Item 8
Chunk 157
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 the Company and the loss or expense is reasonably estimable, the Company will recognize a contingency liability and resulting loss in such period.Based on information currently available, management is not aware of any other legal or regulatory claims that would have a material effect on the Company’s consolidated financial statements and therefore no accrual is required as of March 31, 2025.

Note 18. Stockholders’ Equity

Redeemable Preferred StockThe following is a summary of the Company’s series of cumulative redeemable preferred stock issued and outstanding as of March 31, 2025. In the event of a voluntary or involuntary liquidation, dissolution or winding up of the Company, each series of preferred stock will rank on parity with one another and rank senior to the Company’s common stock with respect to the payment of the dividends and the distribution of assets. (dollars in thousands)Class of StockIssuance DateShares Issued and OutstandingCarrying ValueContractual RateRedemption Eligible Date (1)Fixed to Floating Rate Conversion Date (2) Floating Annual Rate (3)Series AMarch 14, 20175,050,221 $121,971 8.125 %April 27, 2027April 27, 20273M Rate + 5.660%Series BJuly 19, 201710,159,200 245,670 7.625 %July 27, 2027July 27, 20273M Rate + 5.352%Series CNovember 27, 20179,661,396 233,826 7.250 %January 27, 2025January 27, 20253M Rate + 5.011%Total24,870,817 $601,467 ____________________(1)Subject to the Company’s right under limited circumstances to redeem the preferred stock earlier than the redemption eligible date disclosed in order to preserve its qualification as a REIT or following a change in control of the Company. (2)The dividend rate on the fixed-to-floating rate redeemable preferred stock will remain at an annual fixed rate of the $25.00 per share liquidation preference from the issuance date up to but not including the transition date disclosed within. Effective as of the fixed-to-floating rate conversion date and onward, dividends will accumulate on a floating rate basis according to the terms disclosed in footnote (3) below.(3)On and after the fixed-to-floating rate conversion date, dividends will accumulate and be