Company: CIMO
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001628280-25-038345
Chunk: 38

Company: CHIMERA INVESTMENT CORP
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 2
Chunk 38
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 as to repayment and margin requirements. In addition, each lender typically requires that we include supplemental terms and conditions to the standard master secured financing agreement. Typical supplemental terms and conditions include changes to the margin maintenance requirements, net asset value, required “haircuts” (which are the difference expressed in percentage terms between the fair value of the collateral and the amount the counterpart will lend to us) purchase price maintenance requirements, and requirements that all disputes related to the secured financing agreement be litigated or arbitrated in a particular jurisdiction. These provisions may differ for each of our lenders. 

To meet our longer-term liquidity needs (greater than one year), we expect our principal sources of capital and funds to continue to be provided by earnings, principal paydowns and sales from our investments, borrowings under securitizations and re-securitizations, secured financing agreements and other financing facilities, as well as proceeds from equity, debt or other securities offerings.

In addition to the principal sources of capital described above, we may enter into warehouse facilities and use longer dated structured secured financing agreements. The use of any particular source of capital and funds will depend on market conditions, availability of these facilities, and the investment opportunities available to us.

Current Period 

We held cash and cash equivalents of approximately $250 million and $84 million at June 30, 2025 and December 31, 2024, respectively. As a result of our operating, investing and financing activities described below, our cash position increased by $166 million from December 31, 2024 to June 30, 2025.

Our operating activities provided net cash of approximately $41 million and $126 million for the six months ended June 30, 2025 and 2024, respectively. The cash flows from operations were primarily driven by interest received in excess of interest paid of $149 million and $163 million during the quarters ended June 30, 2025 and 2024, respectively. 

Our investing activities used cash of $1.4 billion and provided cash of $135 million for the six months ended June 30, 2025 and 2024, respectively. During the six months ended June 30, 2025, we used cash to purchase $1.9 billion of Agency MBS and $436 million of Loans held for investment, which were offset by cash received for principal repayments on Agency MBS, Non-Agency RMBS and Loans held for investment of $840 million, collectively. During the six months ended June 30