Company: CIMO
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001409493-25-000028
Chunk: 211

Company: CHIMERA INVESTMENT CORP
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 8
Chunk 211
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 that is not expected to be collected. The amount designated as Non-Accretable Difference may be adjusted over time, based on the actual performance of the security, its underlying collateral, actual and projected cash flow from such collateral, economic conditions and other factors. If the performance of a security is more favorable than previously estimated, a portion of the amount designated as Non-Accretable Difference may be transferred to Accretable Discount and accreted into interest income over time. Conversely, if the performance of a security is less favorable than previously estimated, a provision for credit loss may be recognized resulting in an increase in the amounts designated as Non-Accretable Difference.

The following table presents changes to Accretable Discount (net of premiums) as it pertains to our Non-Agency RMBS portfolio, excluding premiums on interest-only investments, during the previous five quarters.

 For the Quarters Ended(dollars in thousands)Accretable Discount (Net of Premiums)September 30, 2025June 30, 2025March 31, 2025December 31, 2024September 30, 2024Balance, beginning of period$108,412 $110,861 $117,203 $123,953 $125,881 Accretion of discount(10,803)(8,253)(7,705)(8,855)(10,949)Purchases— — — — 2,834 Sales(10,786)188 — — — Elimination in consolidation— — — — — Transfers from/(to) credit reserve, net2,474 5,616 1,363 2,105 6,187 Balance, end of period$89,297 $108,412 $110,861 $117,203 $123,953 

Liquidity and Capital Resources

General

Liquidity measures our ability to meet cash requirements, including for ongoing borrowing commitments such as margin calls on non-MTM facilities, purchases of RMBS, residential mortgage loans and other assets for our portfolio, payment of dividends and other general business needs. Our principal sources of capital and funds for additional investments primarily include earnings, principal paydowns and sales from our investments, borrowings under securitizations and re-securitizations, secured financing agreements and other financing facilities, including warehouse facilities, and proceeds from equity or other securities offerings. Over the