XML 71 R64.htm IDEA: XBRL DOCUMENT v2.4.0.8
NOTE 4 BUSINESS ACQUISITIONS (Detail) - (Table 1) (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2013
Dec. 31, 2012
Mar. 31, 2013
ResCap Acquisition
Mar. 31, 2013
ResCap Acquisition
Initial Estimate
Mar. 31, 2013
ResCap Acquisition
Adjustments
Dec. 31, 2012
Homeward Acquisition
Dec. 31, 2012
Homeward Acquisition
Initial Estimate
Dec. 31, 2012
Homeward Acquisition
Adjustments
Business Acquisition [Line Items]                
Cash              $ 79,511 $ 79,511   
Loans held for sale              558,721 558,721   
Mortgage servicing rights     393,891 393,891    360,344 358,119 2,225
Advances and match funded advances     1,618,856 [1] 1,622,348 [1] (3,492) [1] 2,266,882 [1] 2,266,882 [1]    [1]
Deferred tax assets              47,346 [1] 47,346 [1]    [1]
Premises and equipment     16,423 [1] 22,398 [1] (5,975) [1] 16,803 [1] 16,803 [1]    [1]
Debt service accounts              69,287 69,287   
Investment in unconsolidated entities              5,485 [1] 5,485 [1]    [1]
Receivables and other assets     2,989 2,989   56,886 56,886   
Match funded liabilities              (1,997,459) (1,997,459)   
Other borrowings              (864,969) (864,969)   
Liability for indemnification obligations (220,041) [2] (38,140) [2] (49,500) (49,500)    (32,498) [1] (32,498) [1]    [1]
Liability for certain foreclosure matters (66,431) [3] (13,602) [3]          (13,602) [1]    [1] (13,602) [1]
Accrued bonuses              (35,201) (35,201)   
Checks held for escheat        [1]    [1]    [1] (16,418) [1] (16,418) [1]    [1]
Other     (25,180) [1] (24,840) [1] (340) [1] (47,614) [1] (47,614) [1]    [1]
Total identifiable net assets     1,957,479 1,967,286 (9,807) 453,504 464,881 (11,377)
Goodwill     210,038 [1] 204,743 [1] 5,295 [1] 311,320 [1] 300,843 [1] 10,477 [1]
Total consideration     $ 2,167,517 $ 2,172,029 $ (4,512) $ 764,824 $ 765,724 $ (900)
[1] Initial fair value estimate
[2] The balance includes origination representation and warranty obligations and compensatory fees for foreclosures that may ultimately exceed investor timelines. These obligations were primarily assumed in connection with the Ally MSR Transaction, the ResCap Acquisition and the Homeward Acquisition. See Note 4 - Business Acquisitions and Note 9 - Mortgage Servicing for additional information.
[3] The balance represents a liability established in connection with our ongoing discussions with the Multi-State Mortgage Committee of the Conferences of State Bank Supervisors (MMC), Consumer Finance Protection Bureau (CFPB) and state Attorneys General in connection with certain foreclosure related matters. We recognized $52.8 million of expense in Professional services in the second quarter of 2013 in establishing the liability. We recognized the remaining $13.6 million of the liability as an adjustment to the initial purchase price allocation related to the Homeward Acquisition. We applied this measurement period adjustment retrospectively to our Consolidated Balance Sheet at December 31, 2012 with an offsetting increase in goodwill. See Note 24 - Commitments and Contingencies for additional information.