FINANCIALS FOR COPPERHEAD VENTURES, LLC
Published on March 8, 2010
Exhibit
99.1
COPPERHEAD
VENTURES, LLC.
FINANCIAL
STATEMENTS AND
REPORT OF
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
November
20, 2009
COPPERHEAD
VENTURES, LLC
INDEX
TO FINANCIAL STATEMENTS
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Page
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Report
of Independent Registered Public Accounting Firm
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2
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Balance
Sheets – As of November 20, 2009 (unaudited) and December 31,
2008
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3
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Statements
of Operations – Period January 1, 2009 through November 20, 2009
(unaudited) and the Years ended December 31, 2008 and 2007
(unaudited)
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4
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Statements
of Changes in Members’ Capital – Period January 1, 2009 through November
20, 2009 (unaudited) and the Years ended December 31, 2008 and 2007
(unaudited)
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5
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Statements
of Cash Flows – Period January 1, 2009 through November 20, 2009
(unaudited) and the Years ended December 31, 2008 and 2007
(unaudited)
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6
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Notes
to Financial Statements
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7 –
12
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Report
of Independent Registered Public Accounting Firm
Board of
Directors
Copperhead
Ventures, LLC
Glen
Allen, Virginia
We have
audited the balance sheet of Copperhead Ventures, LLC as of December 31, 2008
and the related statements of operations, members’ capital, and cash flows for
the year then ended. These financial statements are the responsibility of the
Company’s management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We
conducted our audit in accordance with auditing standards generally accepted in
the United States of America. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial statements
are free of material misstatement. An audit includes consideration of internal
control over financial reporting as a basis for designing audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Company’s internal control over financial
reporting. Accordingly, we express no such opinion. An audit also includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements, assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our
opinion, the 2008 financial statements referred to above present fairly, in all
material respects, the financial position of Copperhead Ventures, LLC at
December 31, 2008, and the results of its operations and its cash flows for the
year then ended in conformity with accounting principles generally accepted in
the United States of America.
BDO
SEIDMAN, LLP
Richmond,
Virginia
March 30,
2009
2
BALANCE
SHEETS
COPPERHEAD
VENTURES, LLC
November
20, 2009 and December 31, 2008
(amounts
in thousands)
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(Unaudited)
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||||||||
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2009
|
2008
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|||||||
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ASSETS
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||||||||
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Cash
and cash equivalents
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$ | 2,302 | $ | 53 | ||||
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Commercial
mortgage backed securities
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4,082 | 2,571 | ||||||
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Payment
agreement receivable
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10,557 | 8,534 | ||||||
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Other
investments
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1,994 | – | ||||||
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Accrued
interest and other assets
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134 | 82 | ||||||
| $ | 19,069 | $ | 11,240 | |||||
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LIABILITIES
AND MEMBERS’ CAPITAL
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||||||||
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Other
liabilities
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$ | 21 | $ | 21 | ||||
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Members’
capital
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24,041 | 19,107 | ||||||
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Accumulated
other comprehensive loss
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(4,993 | ) | (7,888 | ) | ||||
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Total
members’ capital
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19,048 | 11,219 | ||||||
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$ | 19,069 | $ | 11,240 | ||||
See
unaudited notes to financial statements.
3
STATEMENTS
OF OPERATIONS
COPPERHEAD
VENTURES, LLC
For the
Period January 1, 2009 through November 20, 2009
and the
Years ended December 31, 2008 and 2007
(amounts
in thousands)
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(Unaudited)
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(Unaudited)
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|||||||||||
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2009
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2008
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2007
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||||||||||
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Interest
income
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||||||||||||
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Commercial mortgage backed
securities
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$ | 769 | $ | 2,243 | $ | 2,600 | ||||||
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Payment agreement
receivable
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1,589 | 1,608 | 1,744 | |||||||||
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Cash and cash
equivalents
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1 | 105 | 1,475 | |||||||||
| 2,359 | 3,956 | 5,819 | ||||||||||
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Impairment
charges – commercial mortgage backed securities
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(1,417 | ) | (7,278 | ) | – | |||||||
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Fair
value adjustments, net
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4,017 | (7,391 | ) | (3,275 | ) | |||||||
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Administrative
and other expenses
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(25 | ) | (59 | ) | (227 | ) | ||||||
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Net
income (loss)
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$ | 4,934 | $ | (10,772 | ) | $ | 2,317 | |||||
See
unaudited notes to financial statements.
4
STATEMENTS
OF CHANGES IN MEMBERS’ CAPITAL
COPPERHEAD
VENTURES, LLC
For the
Period January 1, 2009 through November 20, 2009
and the
Years ended December 31, 2008 and 2007
(amounts
in thousands)
(Period
January 1, 2009 through November 20, 2009 and the Year ended December 31, 2007
Unaudited)
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Members’
Capital
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Accumulated
Other Comprehensive Loss
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Total
Members’ Capital
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||||||||||
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Balance,
December 31, 2006
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$ | 73,236 | $ | 17 | $ | 73,253 | ||||||
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Net
income
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2,317 | – | 2,317 | |||||||||
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Other
comprehensive income:
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||||||||||||
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Change in market value of
securities
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– | (1,256 | ) | (1,256 | ) | |||||||
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Reclassification adjustment for
impairment charges
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– | – | – | |||||||||
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Total
comprehensive income
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1,061 | |||||||||||
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Interest
accrued on member note receivable
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(33 | ) | – | (33 | ) | |||||||
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Payment
of accrued interest on member note receivable
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37 | – | 37 | |||||||||
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Reduction
of member note receivable for services
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184 | – | 184 | |||||||||
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Distributions
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(36,530 | ) | – | (36,530 | ) | |||||||
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Balance,
December 31, 2007
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39,211 | (1,239 | ) | 37,972 | ||||||||
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Net
loss
|
(10,772 | ) | – | (10,772 | ) | |||||||
|
Other
comprehensive income:
|
||||||||||||
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Change in market value of
securities
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– | (14,872 | ) | (14,872 | ) | |||||||
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Reclassification adjustment for
impairment charges included in net income
|
– | 7,278 | 7,278 | |||||||||
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Total
comprehensive loss
|
(18,366 | ) | ||||||||||
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Cumulative
effect of adoption of SFAS 159
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(945 | ) | 945 | – | ||||||||
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Distributions
|
(8,387 | ) | – | (8,387 | ) | |||||||
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Balance,
December 31, 2008
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19,107 | (7,888 | ) | 11,219 | ||||||||
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Net
income
|
4,934 | – | 4,934 | |||||||||
|
Other
comprehensive income:
|
||||||||||||
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Change in market value of
securities
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– | 1,478 | 1,478 | |||||||||
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Reclassification adjustment for
impairment charges included in net income
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– | 1,417 | 1,417 | |||||||||
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Total
comprehensive income
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7,829 | |||||||||||
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Balance,
November 20, 2009
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$ | 24,041 | $ | (4,993 | ) | $ | 19,048 | |||||
See
notes to financial statements.
5
STATEMENTS
OF CASH FLOWS
COPPERHEAD
VENTURES, LLC
For the
Period January 1, 2009 through November 20, 2009
and the
Years ended December 31, 2008 and 2007
(amounts
in thousands)
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(Unaudited)
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(Unaudited)
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|||||||||||
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2009
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2008
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2007
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||||||||||
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Operating
activities:
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||||||||||||
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Net
income (loss)
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$ | 4,934 | $ | (10,772 | ) | $ | 2,317 | |||||
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Adjustments
to reconcile net income (loss) to cash provided by operating
activities:
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||||||||||||
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Amortization
and accretion of interest
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(33 | ) | (1,160 | ) | (3,121 | ) | ||||||
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Impairment
on available-for-sale securities
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1,417 | 7,278 | – | |||||||||
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Reduction
of member note receivable for services
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– | – | 184 | |||||||||
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Fair
value adjustments, net
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(4,017 | ) | 7,391 | 3,275 | ||||||||
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Net
change in other assets and other liabilities
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(52 | ) | 111 | 22 | ||||||||
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Net
cash provided by operating activities
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2,249 | 2,848 | 2,677 | |||||||||
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Investing
activities:
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||||||||||||
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Payments
received on investments
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– | – | 1,624 | |||||||||
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Net
cash provided by investing activities
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– | – | 1,624 | |||||||||
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Financing
activities:
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||||||||||||
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Contributions
from members
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– | – | – | |||||||||
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Distributions
to members
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– | (8,387 | ) | (36,530 | ) | |||||||
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Net
cash (used in) provided by financing activities
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– | (8,387 | ) | (36,530 | ) | |||||||
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Net
(decrease) increase in cash and cash equivalents
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2,249 | (5,539 | ) | (32,229 | ) | |||||||
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Cash
and cash equivalents at beginning of period
|
53 | 5,592 | 37,821 | |||||||||
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Cash
and cash equivalents at end of period
|
$ | 2,302 | $ | 53 | $ | 5,592 | ||||||
See
notes to financial statements.
6
NOTES
TO FINANCIAL STATEMENTS
COPPERHEAD
VENTURES, LLC
For the
Period January 1, 2009 through November 20, 2009
and the
Years ended December 31, 2008 and 2007
(amounts
in thousands)
NOTE
1 – ORGANIZATION
Copperhead
Ventures, LLC (the “Company”), a Delaware limited liability company, was formed
on September 15, 2006 as a joint venture between Issued Holdings Capital
Corporation (“IHCC”), DBAH Capital, LLC (“DBAH”) and Dartmouth Investments, LLP
(“Dartmouth”), which subsequently sold its interest to an unrelated third party,
collectively the “Members.” In connection with the formation and
initial capitalization of the Company, IHCC contributed three subordinate
commercial mortgage backed securities (“CMBS”), the right to redeem at par CMBS
issued in 1998 with an estimated par value of approximately $192,422 at the
redemption date of February 15, 2009, and a payment agreement, which requires
IHCC to make payments to the Company based on the cash flows IHCC receives on
its interests in a pool of securitized commercial mortgage loans, for which IHCC
received a 49.875% interest in the Company. DBAH contributed cash of
$36,500 for which it received a 49.875% interest in the
Company. Dartmouth contributed a note receivable in exchange for the
remaining 0.25% interest in the Company.
The
Company was formed to focus on making investments, primarily in mortgage-related
investments and special situations.
IHCC
agreed to purchase the other members interests and the other members agreed to
sell their interests in the Company to IHCC on November 20, 2009 at their fair
value. After acquiring 100% of the interests in the Company and as
the sole member of the Company, IHCC dissolved the Company effective February
28, 2010.
NOTE
2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis
of Presentation
The
Company’s financial statements are prepared on the accrual basis of accounting
in accordance with accounting principles generally accepted in the United States
of America (“GAAP”).
Use
of Estimates
The
preparation of financial statements in conformity with GAAP requires management
to make estimates and assumptions in determining the reported amounts of assets
and liabilities and disclosure of contingent assets and liabilities at the date
of the financial statements and the reported amounts of revenue and expenses
during the reporting period. The primary estimate inherent in the
accompanying financial statements is the valuation of the Company’s investments,
which is discussed in more detail below. Actual results could differ
from those estimates.
The
Company utilizes fair value measurements at various levels within the hierarchy
established by Accounting Standards Codification (“ASC”) Topic 820 for certain
of its assets. The three levels of valuation hierarchy established by
ASC Topic 820 are as follows:
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·
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Level
1 — Inputs are unadjusted, quoted prices in active markets for identical
assets or liabilities at the measurement
date.
|
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·
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Level
2 — Inputs (other than quoted prices included in Level 1) are either
directly or indirectly observable for the asset or liability through
correlation with market data at the measurement date and for the duration
of the instrument’s anticipated
life.
|
7
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·
|
Level
3 — Inputs reflect management’s best estimate of what market participants
would use in pricing the asset or liability at the measurement
date. Consideration is given to the risk inherent in the
valuation technique and the risk inherent in the inputs to the
model. Generally, assets carried at fair value and included in
this category are commercial mortgage backed securities and the payment
agreement receivable.
|
Estimates
of fair value for financial instruments are based primarily on management’s
judgment. Since the fair value of the Company’s financial instruments
is based on estimates, actual fair values recognized may differ from those
estimates recorded in the financial statements.
Cash
Equivalents
The
Company considers all highly liquid instruments with maturities of three months
or less from the date of purchase to be cash equivalents.
Commercial
Mortgage Backed Securities
Interest
income on the Company’s CMBS, which are rated lower than “AA” is recognized over
the expected life as adjusted for estimated prepayments and credit losses of the
CMBS in accordance with ASC Topic 325.
The
Company evaluates its CMBS for other-than-temporary impairment in accordance
with ASC Topic 320 in determining whether an other-than-temporary impairment has
occurred. A CMBS is considered to be other-than-temporarily impaired
if the present value of cash flows expected to be collected is less than the
security’s amortized cost basis (the difference being defined as the credit
loss) or if the fair value of the security is less than the security’s amortized
cost basis and the Company intends, or is required, to sell the security before
recovery of the security’s amortized cost basis. Declines in the fair
value of held-to-maturity and available-for-sale securities below their cost
that are deemed to be other-than-temporary are reflected in earnings as realized
losses to the extent the impairment is related to credit losses. Any
remaining difference between fair value and amortized cost is recognized in
other comprehensive income. In certain instances, as a result of the
other-than-temporary impairment analysis, the recognition or accrual of interest
will be discontinued and the security will be placed on non-accrual
status. Securities normally are not placed on non-accrual status if
the servicer continues to advance on the delinquent mortgage loans in the
security.
Members’
Capital
Capital
contributions, distributions and profits and losses are allocated in accordance
with the terms of the limited liability company agreement.
Income
Taxes
Income
taxes are not considered in the accompanying financial statements, because the
Company is not a taxable entity. Any taxes on the income of the
Company are the responsibility of the individual Members, and, accordingly, no
provision for federal or state income taxes has been recorded.
Recent
Accounting Pronouncements
In 2009,
the Financial Accounting Standards Board (“FASB”) announced the release of a new
topically-based structure for all authoritative U.S. GAAP known as the Accounting Standards Codification
(“ASC” or
“Codification”). This
restructuring is the result of efforts by the FASB to aggregate all
authoritative standards into a single resource in order to ensure accuracy and
completeness of content, reduce redundancy, eliminate conflicting guidance, and
simplify user research.
8
In June
2009, ASU No. 2009-01, Topic
105-Generally Accepted Accounting Principles amendments based on Statement of
Financial Accounting Standards No. 168-The FASB Accounting Standards
Codification and the Hierarchy of Generally Accepted Accounting Principles,
was issued as an amendment to the Codification, and made the Codification
effective for all financial statements issued with interim or annual reporting
periods ending after September 15, 2009. This Update establishes the
ASC as the authoritative source for GAAP recognized by the FASB to be applied by
nongovernmental entities. This Update also recognizes the rules and
interpretative releases of the SEC as an additional authoritative source for
GAAP as issued under the authority of federal securities laws. The
Codification supersedes all previously issued non-SEC accounting and reporting
standards. The Codification did not materially change GAAP, and
therefore did not have a material effect the Company’s financial position or
results of operations.
In August 2009, ASU No. 2009-05, Fair Value Measurements and
Disclosures (Topic 820)-Measuring Liabilities at Fair Value, amended the
Codification to clarify the techniques to be used in measuring the fair value
for liabilities in which a quoted price in an active market (i.e., a level 1
measurement ) for an identical liability is not available or does not
exist. This amendment became effective immediately upon
issuance. As of November 20, 2009, the Company did not have any
liabilities measured at fair value on the Company’s balance sheet. As
such, this amendment to the Codification did not currently have a material
effect on the Company’s financial position or results of
operations.
In May 2009, prior to the issuance of
ASU No. 2009-01, the FASB issued Statement of Financial Accounting Standard
No. 165 (“SFAS No. 165”),
Subsequent Events, which has subsequently been codified in ASC Topic
855. It
establishes general standards of accounting for and disclosure of material
events that occur after the balance sheet date but before financial statements
are issued or are available to be issued. These subsequent events are
identified as either “recognized” or “nonrecognized”. Recognized
subsequent events are events or transactions that provide additional evidence
about conditions or circumstances of a company that existed as of the balance
sheet date. Nonrecognized subsequent events are events or
transactions that provide additional evidence about conditions or circumstances
of a company that did not
exist as of the balance sheet date. Recognized subsequent
events require adjustments to the financial statements for the period presented;
nonrecognized subsequent events do not require
adjustments. Both types of subsequent events require disclosure in
the notes to the financial statements if considered material. The
effective date of this amendment is for interim or annual periods ending after
June 15, 2009 with prospective application. The Company applied ASC
Topic 855 in the second quarter of 2009, and this application did not have a
material effect on its financial condition or results of
operations.
In
December 2009, ASU No. 2009-16, Transfers and Servicing (Topic
860)-Accounting for Transfers of Financial Assets and ASU No. 2009-17,
Consolidations (Topic
810)-Improvements to Financial Reporting by Enterprises Involved with Variable
Interest Entities were issued as amendments to the ASC. The
purpose of the amendment to ASC Topic 860 is to eliminate the concept of a
“qualifying special-purpose entity” (“QSPE”) and to require more information
about transfers of financial assets, including securitization transactions as
well as a company’s continuing exposure to the risks related to transferred
financial assets. The purpose of the amendment to ASC Topic 810 is to
change how a reporting entity determines when to consolidate another entity that
is insufficiently capitalized or is not controlled by voting
rights. Instead of focusing on quantitative determinants,
consolidation is to be determined based on, among other things, qualitative
factors such as the other entity’s purpose and design as well as the reporting
entity’s ability to direct the activities of the other entity that most
significantly impact its performance. The reporting entity is also
required to add significant disclosures regarding its involvement with variable
interest entities and any changes in risk exposure due to this
involvement. Both of these amendments to the Codification are
effective for transactions and events occurring after the beginning of a
reporting entity’s first fiscal year that begins after November 15,
2009. Early adoption is prohibited, and the application will be
prospective. The Company does not anticipate that the application of
this standard will have any impact on its financial condition or results of
operations.
9
Subsequently,
FASB issued ASU No. 2010-10 which allowed certain reporting entities to defer
the consolidation requirements amended in ASC Topic 810 by ASU No.
2009-17. The Company is not eligible for this deferral.
NOTE
3 – COMMERCIAL MORTGAGE BACKED SECURITIES
CMBS are
accounted for as available-for-sale securities and are comprised of two
subordinate classes of a single CMBS securitization trust. The
following table presents the components of the Company’s investment in CMBS as
of November 20, 2009 and December 31, 2008:
|
November
20, 2009 (Unaudited)
|
December
31, 2008
|
|||||||
|
Amortized
cost
|
$ | 9,075 | $ | 10,459 | ||||
|
Gross
unrealized gains
|
– | 14 | ||||||
|
Gross
unrealized losses
|
(4,993 | ) | (7,902 | ) | ||||
|
Fair value
|
$ | 4,082 | $ | 2,571 | ||||
Other-than-temporary
impairments of $1,417 and $7,278 were recorded on the CMBS during the period
ended November 20, 2009 and the year ended December 31, 2008, respectively, the
full amounts of which were recorded as impairment charges in the Statements of
Operations.
NOTE
4 – PAYMENT AGREEMENT RECEIVABLE
The
Company holds a payment agreement receivable (the “Payment Agreement”) issued by
IHCC, which requires IHCC to make payments to the Company based on the cash
flows IHCC receives on its interests in a pool of securitized commercial
mortgage loans that were originated in 1997 and 1998.
On
January 1, 2008, the Company adopted the provisions of ASC Topic 825 for its
payment agreement. Prior to January 1, 2008, the Company accounted
for the Payment Agreement as an available-for-sale security.
ASC Topic
825 permits entities to choose to measure financial instruments at fair
value. The Company adopted ASC Topic 825 to enhance the transparency
of its financial condition. The effect of the adoption of ASC Topic
825 was to decrease members’ capital on January 1, 2008 by $945 and increase
accumulated other comprehensive income by the same amount. The
Payment Agreement represents the fair value of estimated future payments to be
received by the Company from IHCC. The present value of the Payment
Agreement as of November 20, 2009 was determined based on the total estimated
future payments discounted at a weighted average rate of
20.2%. Factors which significantly impact the valuation of the
Payment Agreement include the credit performance of the underlying securitized
commercial mortgage loans, estimated prepayments on the loans and the weighted
average discount rate used on the cash flows.
During
the period ended November 20, 2009 and the years ended December 31, 2008 and
2007, the Company received payments under the Payment Agreement of $1,501,
$1,608 and $1,624, respectively, which were recorded as interest income in the
Company’s financial statements.
During
the period ended November 20, 2009, the Company recorded gains from changes in
the fair value of the Payment Agreement of $2,023, which was recorded as fair
value adjustments, net in the Company’s Statements of Operations. The
change in fair value resulted primarily from a decrease in the discount rates
used to discount the cash flows at November 20, 2009 versus December 31,
2008.
10
NOTE
5 – OTHER INVESTMENTS
Other
investments are comprised of rights to redeem at par certain outstanding CMBS
issued in 1998 with a notional balance of $182,545 and a current coupon of
7.97%. The Company accounts for the redemption rights as derivative
instruments with changes in their market value recorded as fair value
adjustments, net in its Statements of Operations.
The
Company recorded a gain of $1,994 and a loss of $451 for the period ended
November 20, 2009 and the year ended December 31, 2008, respectively, for the
changes in the fair value of the redemption rights during those
periods.
NOTE
6 – FAIR VALUE AND ADDITIONAL INFORMATION ABOUT FINANCIAL
INSTRUMENTS
The
following table presents the Company’s assets by their level within the
valuation hierarchy established by ASC Topic 820 as of November 20,
2009:
|
Fair
Value Measurements
|
||||||||||||||||
|
Fair
Value
|
Level
1
|
Level
2
|
Level
3
|
|||||||||||||
|
Assets:
|
||||||||||||||||
|
CMBS
|
$ | 4,082 | $ | – | $ | – | $ | 4,082 | ||||||||
|
Payment agreement
receivable
|
10,557 | – | – | 10,557 | ||||||||||||
|
Other investments
|
1,994 | – | – | 1,994 | ||||||||||||
|
Total assets carried at fair
value
|
$ | 16,633 | $ | – | $ | – | $ | 16,633 | ||||||||
The fair
values in the above table represent the present value of the projected future
cash flows from the investment, which have been adjusted for the impact and
assumed level of future prepayments and credit losses. The discount
rates used in calculating the fair values are based on published indexes and
spreads.
The
following tables present the reconciliations of the beginning and ending
balances of the Level 3 fair value estimates for the period January 1, 2009
through November 20, 2009 (unaudited) and the year ended December 31,
2008:
|
Level
3 Fair Values
|
||||||||||||||||
|
CMBS
|
Payment
Agreement Receivable
|
Other
Investments
|
Total
Assets
|
|||||||||||||
|
Balance
at January 1, 2008
|
$ | 16,283 | $ | 15,473 | $ | 451 | $ | 32,207 | ||||||||
|
Total
realized and unrealized gains (losses)
|
||||||||||||||||
|
Included in the statements of
operations
|
(7,278 | ) | (6,939 | ) | (451 | ) | (14,668 | ) | ||||||||
|
Included in other comprehensive
income (loss)
|
(7,594 | ) | – | – | (7,594 | ) | ||||||||||
|
Purchases,
sales, issuances and other settlements, net
|
1,160 | – | – | 1,160 | ||||||||||||
|
Transfers
in and/or out of Level 3
|
– | – | – | – | ||||||||||||
|
Balance
at December 31, 2008
|
2,571 | 8,534 | – | 11,105 | ||||||||||||
|
Total
realized and unrealized gains (losses)
|
||||||||||||||||
|
Included in the statements of
operations
|
(1,417 | ) | 2,023 | 1,994 | 2,600 | |||||||||||
|
Included in other comprehensive
income (loss)
|
2,895 | – | – | 2,895 | ||||||||||||
|
Purchases,
sales, issuances and other settlements, net
|
33 | – | – | 33 | ||||||||||||
|
Transfers
in and/or out of Level 3
|
– | – | – | – | ||||||||||||
|
Balance
at November 20, 2009
|
$ | 4,082 | $ | 10,557 | $ | 1,994 | $ | 16,633 | ||||||||
11
There
were no assets that were measured at fair value on a non-recurring basis during
the period ended November 20, 2009 and the year ended December 31,
2008.
ASC Topic
820 requires the disclosure of the estimated fair value of financial
instruments. The following table presents the recorded basis and
estimated fair values of the Company’s financial instruments as of November 20,
2009 and December 31, 2008:
|
2009
(Unaudited)
|
2008
|
|||||||||||||||
|
Recorded
Basis
|
Fair
Value
|
Recorded
Basis
|
Fair
Value
|
|||||||||||||
|
Assets:
|
||||||||||||||||
|
CMBS
|
$ | 4,082 | $ | 4,082 | $ | 2,571 | $ | 2,571 | ||||||||
|
Payment
agreement receivable
|
10,557 | 10,557 | 8,534 | 8,534 | ||||||||||||
|
Other
investments
|
1,994 | 1,994 | – | – | ||||||||||||
12