Company: RWT-PA
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0000930236-25-000007
Chunk: 76

Company: REDWOOD TRUST INC
Filing Date: 2025-03-03
Form: 10-K
Item: Item 16
Chunk 76
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 exception of allocations of certain corporate expenses not directly assigned or allocated to one of our three segments. These unallocated corporate expenses are included in the Corporate/Other column as reconciling items to our consolidated financial statements and primarily include interest expense for our senior notes, convertible and exchangeable senior notes, and trust preferred securities, indirect general and administrative expenses and other expense. In the normal course of business, loans are originated and acquired at our mortgage banking segments and may subsequently be transferred to our Redwood Investments segment either as whole loans or through the retention of securities from securitizations we sponsor and consolidate under GAAP. All of our loans are accounted for under the fair value option and amounts transferred between segments are accounted for at fair value at the time of transfer.

F- 23

REDWOOD TRUST, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2024Note 4. Segment Information (continued)

The following tables present financial information by segment for the years ended December 31, 2024, 2023, and 2022.Table 4.1 – Business Segment Financial InformationYear Ended December 31, 2024(In Thousands)Sequoia Mortgage BankingCoreVest Mortgage BankingRedwood Investments Corporate/Other  TotalInterest income$97,860 $20,280 $823,939 $3,085 $945,164 Interest expense(54,065)(14,970)(702,505)(71,016)(842,556)Net interest income (expense)43,795 5,310 121,434 (67,931)102,608 Non-interest income (loss)Mortgage banking activities, net, excluding risk management derivatives82,202 36,701 — — 118,903 Risk management derivatives (losses) gains, net (1)(24,623)5,118 — — (19,505)Total Mortgage banking activities, net57,579 41,819 — — 99,398 Investment fair value changes, net, excluding risk management derivatives— — (2,891)(1,679)(4,570)Risk management derivatives (losses) gains, net (1)— — (10,189)— (10,189)Total Investment fair value changes, net— — (13,080)(1,679)(14,759)HEI income