Company: TWO-PC
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0001465740-25-000083
Chunk: 84

Company: TWO HARBORS INVESTMENT CORP.
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 84
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-for-sale2,646 55 8.3 %786 66 8.4 %Unsecured borrowings:Convertible senior notes260,091 4,506 6.9 %263,632 18,199 6.9 %Other3 22 Total interest expense/cost of funds$9,566,487 $138,668 5.8 %$9,894,328 $607,806 6.1 %Net interest expense/spread$(34,894)(0.7)%$(157,654)(0.9)%

37

Three Months Ended December 31, 2023Year Ended December 31, 2023(dollars in thousands)Average Balance (1)Interest Income/ExpenseNet Yield/Cost of FundsAverage Balance (1)Interest Income/ExpenseNet Yield/Cost of FundsInterest-earning assets:Available-for-sale securities$8,822,467 $103,250 4.7 %$8,926,898 $412,310 4.6 %Mortgage loans held-for-sale332 2 2.4 %312 9 2.9 %Reverse repurchase agreements282,522 3,839 5.4 %419,188 19,889 4.7 %Other15,310 48,156 Total interest income/net asset yield$9,105,321 $122,401 5.4 %$9,346,398 $480,364 5.1 %Interest-bearing liabilities:Borrowings collateralized by:Available-for-sale securities$8,157,185 $117,021 5.7 %$8,407,394 $442,880 5.3 %Agency Derivatives (2)8,694 135 6.2 %11,283 642 5.7 %Mortgage servicing rights and advances (3)2,014,734 46,267 9.2 %1,979,403 174,253 8.8 %U.S. Treasuries (4)— — — %144,045 6,629 4.6 %Unsecured borrowings:Convertible senior notes268,447 4,651 6.9 %272,993 18,815 6.9 %Other6 6