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Operating Expenses
 6 Months Ended
Jun. 30, 2016
Other Income and Expenses [Abstract]  
Operating Expenses
Operating Expenses
Components of our operating expenses for the three and six months ended June 30, 2016 and 2015 are presented in the following table.
Table 20.1 – Components of Operating Expenses
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(In Thousands)
 
2016
 
2015
 
2016
 
2015
Fixed compensation expense
 
$
5,875

 
$
9,286

 
$
13,769

 
$
18,441

Variable compensation expense
 
4,262

 
3,578

 
6,022

 
7,569

Equity compensation expense
 
2,754

 
3,539

 
5,086

 
6,277

Total compensation expense
 
12,891

 
16,403

 
24,877

 
32,287

Systems and consulting
 
1,960

 
2,242

 
4,582

 
4,364

Loan acquisition costs (1)
 
1,686

 
2,545

 
3,287

 
4,869

Office costs
 
1,065

 
1,366

 
2,445

 
2,598

Accounting and legal
 
1,337

 
1,130

 
2,322

 
2,707

Corporate costs
 
645

 
512

 
1,111

 
1,038

Other operating expenses
 
689

 
1,020

 
1,442

 
2,418

Operating expenses before restructuring charges
 
20,273

 
25,218

 
40,066

 
50,281

Restructuring charges (2)
 
(118
)
 
—

 
10,541

 
—

Total Operating Expenses
 
$
20,155

 
$
25,218

 
$
50,607

 
$
50,281

(1)
Loan acquisition costs primarily includes underwriting and due diligence costs related to the acquisition of residential loans held-for-sale at fair value.
(2)
For the six months ended June 30, 2016, restructuring charges included $5 million of fixed compensation expense and $4 million of equity compensation expense related to one-time termination benefits, as well as $2 million of other contract termination costs, associated with the restructuring of our conforming and commercial mortgage banking operations and related charges associated with the departure of Redwood's President announced in the first quarter of 2016. See Note 11 for further discussion on restructuring charges.