Company: NEWTP
Filing Date: 2025-03-17
Form Type: 10-K
Source: 0001587987-25-000050
Chunk: 38

Company: NewtekOne, Inc.
Filing Date: 2025-03-17
Form: 10-K
Item: Item 7
Chunk 38
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, 2023, the 2017-1 Trust was terminated as a result of NSBF purchasing the 2017-1 Trust assets, with the 2017-1 Trust’s noteholders receiving the redemption price.

91

Cash Flows and Liquidity

The following table summarizes the Company’s available sources of liquidity as of December 31, 2024:

Availability as of December 31, 2024December 31, 2023Unrestricted cash$6,941$15,398Lines of credit at other commercial banks160,90340,418Newtek Bank:Interest bearing deposits in banks346,207137,689FHLB borrowing availability139,78061,947Lines of credit at other financial institutions30,00010,000Total liquidity sources$483,831$265,452

1Availability as of December 31, 2024 and 2023 is based on collateral pledged as of that date.

The Company has restricted cash of $28.2 million as of December 31, 2024. NSBF holds $8.2 million of the Company’s restricted cash, which includes reserves in the event payments are insufficient to cover interest and/or principal with respect to securitizations and loan principal and interest collected which are due to loan participants. In addition, the Company has $10.0 million in a restricted cash account to fund certain of NSBF’s potential obligations to the SBA pursuant to the Wind-down Agreement. of which the Company is a guarantor. The majority of the Company’s remaining restricted cash is related to payroll processing by PMT, our subsidiary. 

The Company generated and used cash as follows:

Year Ended December 31, 2024Year EndedDecember 31, 2023Net cash used in operating activities$(153,014)$(169,219)Net cash used in investing activities(209,051)(172,235)Net cash provided by financing activities560,897 344,974 Net increase in cash and restricted cash198,832 3,520 Cash and restricted cash—beginning of period (Note 2)184,006 125,606 Consolidation/(deconsolidation) of cash and restricted cash from controlled investments related to business combinations and dispositions, net of cash paid(1,464)54,880 Cash and restricted cash—end of period (Note 2)$381,374 $184,006 

During the year ended December 31, 202