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ocn:TotalMember 2011-12-31 0000873860 ocn:IndiaTaxAuthoritiesMember 2012-06-30 0000873860 ocn:FlowSaleOfAffiliateH2Member 2012-01-01 2012-06-30 iso4217:USD iso4217:USD xbrli:shares xbrli:shares xbrli:pure iso4217:INR Net of income tax benefit (expense) of $4 and $(9) for the three and six months ended June 30, 2011, respectively Net of income tax benefit of $1,470 and $1,231 for the three months ended June 30, 2012 and 2011, respectively, and $2,166 and $158 for the six months ended June 30, 2012 and 2011, respectively. Net of income tax expense of $301 and $321 for the three months ended June 30, 2012 and 2011, respectively, and $2,701 and $409 for the six months ended June 30, 2012 and 2011, respectively. Net of income tax expense of $1 for both the six months ended June 30, 2012 and 2011. All charges were recorded in the Servicing segment. Charges related to employee terminations and lease terminations are reported in Compensation and benefits expense and Occupancy and equipment expense, respectively, in the Consolidated Statements of Operations. The liabilities are included in Other liabilities in the Consolidated Balance Sheets. Reported in the Consolidated Statements of Cash Flows cash flows with financing activities as Proceeds from sale of mortgage servicing rights accounted for as a financing. Reported in the Consolidated Statements of Cash Flows with investing activities as Proceeds from sale of match funded advances. The $92,593 amount reported as proceeds does not reflect the post-closing price adjustment of $368 not yet paid as of June 30, 2012. Reported in the Consolidated Statements of Cash Flows with investing activities as Proceeds from sale of advance financing subsidiary and special purpose entity Measured at fair value on a non-recurring basis. Financial instruments disclosed, but not carried, at fair value. Measured at fair value on a recurring basis. The high-loan-to-value stratum is measured at fair value on a non-recurring basis and is classified as Level 3 because of the nature of the valuation inputs. The values are net of a valuation allowance of $2,163 and $2,864 at June 30, 2012 and December 31, 2011, respectively. The following table reconciles the adjusted purchase price of MSRs to the cash paid as of June 30, 2012. In the Consolidated Statement of Operations, Amortization of mortgage servicing rights is reported net of the amortization of servicing liabilities and includes the amount of charges we recognized to increase servicing liability obligations. Balances arise from our Servicing business and primarily include reimbursable expenditures due from investors and amounts to be recovered from the custodial accounts of the trustees. The balance at June 30, 2012 also includes amounts due from the seller as a result of post-closing adjustments to the purchase price of advances in connection with MSRs that we acquired during the second quarter. Balances primarily represent payments to be received for proceeds from sales of investments in affordable housing properties. None of these receivables is delinquent. See Note 20 for additional information regarding transactions with HLSS and Altisource. Balances represent the fair value of an interest rate cap. See Note 15 for additional information. The balances include $20,980 and $19,623 of cash collateral held by the counterparties to certain of our derivative agreements at June 30, 2012 and December 31, 2011, respectively This note was issued to finance advances acquired in connection with the acquisition of Litton on September 1, 2011. Borrowing capacity under this facility declined to $1,892,800 on March 1, 2012 and will further decline to $1,637,591 on September 1, 2012, $1,403,650 on March 1, 2013 and $1,169,708 on September 1, 2013. This note matured on July 19, 2012, and the borrowing under this note was transferred to the Series 2009-1 variable funding note. The amortization period for this note ended in January 2012, at which time the remaining balance of $40,000 was repaid. The advances pledged to this note were transferred to the Series 2009-1 variable funding note and were re-pledged under that note. Effective March 12, 2012, the lender transferred this note from its commercial paper conduit and began charging interest based on 1-Month LIBOR. Beginning June 15, 2012, maximum borrowing capacity under this note will be reduced to the extent that the lender's commitment under any other advance facilities of Ocwen or its affiliates exceeds $200,000. These notes were issued to finance the advances acquired in connection with the Saxon MSR Transaction. These notes were issued to finance the advances acquired from BANA in connection with the acquisition of MSRs. These notes were issued in connection with the financing of advances acquired as part of the HomEq Acquisition. The Class D Term Note was repaid in full on March 2, 2012. On March 5, 2012, HLSS assumed the remaining balances. The principal amount of the loan (originally $575,000) is due in consecutive installments of $14,375 per quarter through June 30, 2016, with the remaining balance becoming due on September 1, 2016. The loan is secured by a first priority security interest in substantially all of the tangible and intangible assets of Ocwen. On March 5, 2012 and May 1, 2012, Ocwen completed the HLSS Transactions, in which it transferred to HLSS certain Rights to MSRs. However, because Ocwen has not yet transferred legal title to the MSRs, the sales were accounted for as a financing with the proceeds from the sale of the MSRs recorded as a financing liability. The financing liability is being amortized using the interest method with the servicing income that is remitted to HLSS representing payments of principal and interest. The liability has no contractual maturity but will be amortized over the estimated life of the pledged MSRs. The balance of the liability is reduced each month based on the change in the estimated fair value of the pledged MSRs. See Note 4 for additional information regarding the HLSS Transactions. This note was issued to finance the acquisition of MSRs from BANA. Prepayments of the balance on this note may be required if the borrowing base, as defined, falls below the amount of the note outstanding. The Class A-2 and A-3 notes issued by Ocwen Real Estate Asset Liquidating Trust 2007-1 have a face value of $27,710 at June 30, 2012.

128108000

144234000

823000 675000

19772000

20633000

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293152000

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Ocwen Financial Corporation 10-Q --12-31 134885695 986058629 false 0000873860 Yes No Large Accelerated Filer Yes 2012 Q2 2012-06-30

Note 1 Summary of Significant Accounting Policies Organization Ocwen Financial Corporation (NYSE: OCN) (Ocwen or OCN), through its subsidiaries, is a leading provider of residential and commercial mortgage loan servicing, special servicing and asset management services. Ocwen is headquartered in Atlanta, Georgia with offices in West Palm Beach and Orlando, Florida, Houston, Texas, St. Croix, United States Virgin Islands (USVI) and Washington, DC and support operations in India and Uruguay. Ocwen is a Florida corporation organized in February 1988. Ocwen Loan Servicing, LLC (OLS), a wholly-owned subsidiary, is licensed to service mortgage loans in all 50 states, the District of Columbia and two U.S. territories. At June 30, 2012, Ocwen directly or indirectly owned all of the outstanding stock of its primary operating subsidiaries: OLS, Ocwen Financial Solutions Private Limited and Ocwen Mortgage Servicing, Inc. (OMS). OMS is a corporation formed on February 27, 2012 under the laws of the USVI and is a wholly owned subsidiary of OCN.  OMS has its principal place of business in St. Croix, USVI. Ocwen also holds a 49% equity interest in Correspondent One S.A. (Correspondent One), an entity formed with Altisource Portfolio Solutions S.A. (Altisource) in March 2011, a 27% interest in Ocwen Structured Investments, LLC (OSI) and an approximate 25% interest in Ocwen Nonperforming Loans, LLC (ONL) and Ocwen REO, LLC (OREO). The assets of ONL and OREO have been liquidated to cash, and these entities are expected to be dissolved by year-end. On September 1, 2011, Ocwen completed its acquisition (the Litton Acquisition) of (i) all the outstanding partnership interests of Litton Loan Servicing LP (Litton), a subsidiary of The Goldman Sachs Group, Inc. (Goldman Sachs) and a provider of servicing and subservicing of primarily non-prime residential mortgage loans and (ii) certain interest-only servicing securities previously owned by Goldman Sachs & Co., also a subsidiary of Goldman Sachs (collectively referred to as Litton Loan Servicing Business). See Note 3 for additional information regarding the Litton Acquisition. Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared in conformity with the instructions of the Securities and Exchange Commission (SEC) to Form 10-Q and SEC Regulation S-X, Article 10, Rule 10-01 for interim financial statements. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (GAAP) for complete financial statements. In our opinion, the accompanying unaudited financial statements contain all adjustments, consisting only of normal recurring accruals, necessary for a fair presentation. The results of operations and other data for the three and six months ended June 30, 2012 are not necessarily indicative of the results that may be expected for any other interim period or for the entire year ending December 31, 2012. The unaudited interim consolidated financial statements presented herein should be read in conjunction with the audited consolidated financial statements and related notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2011. The preparation of financial statements in conformity with GAAP requires that we make estimates and assumptions that affect 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 revenues and expenses during the reporting period. Actual results could materially differ from those estimates. Material estimates that are particularly significant in the near or medium term relate to fair value measurements, the provision for potential losses that may arise from litigation proceedings, the amortization of mortgage servicing rights (MSRs) and the valuation of goodwill and deferred tax assets. Principles of Consolidation Our financial statements include the accounts of Ocwen and its majority-owned subsidiaries. We apply the equity method of accounting to investments when the entity is not a variable interest entity (VIE), and we are able to exercise significant influence, but not control, over the policies and procedures of the entity but own 50% or less of the voting securities. We account for our investments in OSI, ONL, OREO and Correspondent One using the equity method. We have eliminated intercompany accounts and transactions in consolidation. Variable Interest Entities We evaluate each special purpose entity (SPE) for classification as a VIE. When an SPE meets the definition of a VIE and we determine that Ocwen is the primary beneficiary, we include the SPE in our consolidated financial statements. We have determined that the SPEs created in connection with the match funded financing facilities discussed below are VIEs of which we are the primary beneficiary. We have also determined that we are the primary beneficiary for four residential mortgage loan securitization trusts. The accounts of these SPEs are included in our consolidated financial statements. Securitizations or Asset Backed Financing Arrangements Ocwen or its subsidiaries have been a transferor in connection with a number of securitizations or asset-backed financing arrangements. We have continuing involvement with the financial assets of eight of the securitizations and six of the asset-backed financing arrangements. We have aggregated these securitizations and asset-backed financing arrangements into two groups: (1) securitizations of residential mortgage loans and (2) financings of advances on loans serviced for others. Securitizations of Residential Mortgage Loans. The assets and liabilities of the four consolidated trusts are reported on our Consolidated Balance Sheet as Restricted cash – for securitization investors, Loans, net – restricted for securitization investors and Secured borrowings – owed to securitization investors. Our involvement with each of the remaining trusts does not represent a variable interest, and therefore, we exclude them from our consolidated financial statements. With regard to both the consolidated and the unconsolidated securitization trusts, we have no obligation to provide financial support to the trusts and have provided no such support. The creditors of the trusts can look only to the assets of the trusts themselves for satisfaction of the debt and have no recourse against the assets of Ocwen. Similarly, the general creditors of Ocwen have no claim on the assets of the trusts. Financings of Advances on Loans Serviced for Others. Match funded advances on loans serviced for others result from our transfers of residential loan servicing advances to SPEs in exchange for cash. These SPEs issue debt supported by collections on the transferred advances. Holders of the debt issued by these entities can look only to the assets of the entities themselves for satisfaction of the debt and have no recourse against Ocwen. However, OLS has guaranteed the payment of the obligations under the securitization documents of one of the entities. The maximum amount payable under the guarantee is limited to 10% of the notes outstanding at the end of the facility’s revolving period on July 1, 2013. As of June 30, 2012, this entity had $65,595 of notes outstanding. The assets and liabilities of the advance SPEs are comprised solely of Match funded advances, Debt service accounts, Match funded liabilities and amounts due to affiliates which are eliminated in consolidation. See 7, 10 and 11 for additional information. Reclassification Within the operating activities section of the Consolidated Statement of Cash Flows for the six months ended June 30, 2011, we reclassified Unrealized losses on derivative financial instruments from Other, net to conform to the current year presentation.

Organization Ocwen Financial Corporation (NYSE: OCN) (Ocwen or OCN), through its subsidiaries, is a leading provider of residential and commercial mortgage loan servicing, special servicing and asset management services. Ocwen is headquartered in Atlanta, Georgia with offices in West Palm Beach and Orlando, Florida, Houston, Texas, St. Croix, United States Virgin Islands (USVI) and Washington, DC and support operations in India and Uruguay. Ocwen is a Florida corporation organized in February 1988. Ocwen Loan Servicing, LLC (OLS), a wholly-owned subsidiary, is licensed to service mortgage loans in all 50 states, the District of Columbia and two U.S. territories. At June 30, 2012, Ocwen directly or indirectly owned all of the outstanding stock of its primary operating subsidiaries: OLS, Ocwen Financial Solutions Private Limited and Ocwen Mortgage Servicing, Inc. (OMS).OMS is a corporation formed on February 27, 2012 under the laws of the USVI and is a wholly owned subsidiary of OCN. OMS has its principal place of business in St. Croix, USVI. Ocwen also holds a 49% equity interest in Correspondent One S.A. (Correspondent One), an entity formed with Altisource Portfolio Solutions S.A. (Altisource) in March 2011, a 27% interest in Ocwen Structured Investments, LLC (OSI) and an approximate 25% interest in Ocwen Nonperforming Loans, LLC (ONL) and Ocwen REO, LLC (OREO). The assets of ONL and OREO have been liquidated to cash, and these entities are expected to be dissolved by year-end. On September 1, 2011, Ocwen completed its acquisition (the Litton Acquisition) of (i) all the outstanding partnership interests of Litton Loan Servicing LP (Litton), a subsidiary of The Goldman Sachs Group, Inc. (Goldman Sachs) and a provider of servicing and subservicing of primarily non-prime residential mortgage loans and (ii) certain interest-only servicing securities previously owned by Goldman Sachs & Co., also a subsidiary of Goldman Sachs (collectively referred to as Litton Loan Servicing Business). See Note 3 for additional information regarding the Litton Acquisition

0.49

0.27

0.25

Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared in conformity with the instructions of the Securities and Exchange Commission (SEC) to Form 10-Q and SEC Regulation S-X, Article 10, Rule 10-01 for interim financial statements. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (GAAP) for complete financial statements. In our opinion, the accompanying unaudited financial statements contain all adjustments, consisting only of normal recurring accruals, necessary for a fair presentation. The results of operations and other data for the three and six months ended June 30, 2012 are not necessarily indicative of the results that may be expected for any other interim period or for the entire year ending December 31, 2012. The unaudited interim consolidated financial statements presented herein should be read in conjunction with the audited consolidated financial statements and related notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2011. The preparation of financial statements in conformity with GAAP requires that we make estimates and assumptions that affect 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 revenues and expenses during the reporting period. Actual results could materially differ from those estimates. Material estimates that are particularly significant in the near or medium term relate to fair value measurements, the provision for potential losses that may arise from litigation proceedings, the amortization of mortgage servicing rights (MSRs) and the valuation of goodwill and deferred tax assets

Principles of Consolidation Our financial statements include the accounts of Ocwen and its majority-owned subsidiaries. We apply the equity method of accounting to investments when the entity is not a variable interest entity (VIE), and we are able to exercise significant influence, but not control, over the policies and procedures of the entity but own 50% or less of the voting securities. We account for our investments in OSI, ONL, OREO and Correspondent One using the equity method. We have eliminated intercompany accounts and transactions in consolidation. Variable Interest Entities We evaluate each special purpose entity (SPE) for classification as a VIE. When an SPE meets the definition of a VIE and we determine that Ocwen is the primary beneficiary, we include the SPE in our consolidated financial statements. We have determined that the SPEs created in connection with the match funded financing facilities discussed below are VIEs of which we are the primary beneficiary. We have also determined that we are the primary beneficiary for four residential mortgage loan securitization trusts. The accounts of these SPEs are included in our consolidated financial statements. Securitizations or Asset Backed Financing Arrangements Ocwen or its subsidiaries have been a transferor in connection with a number of securitizations or asset-backed financing arrangements. We have continuing involvement with the financial assets of eight of the securitizations and six of the asset-backed financing arrangements. We have aggregated these securitizations and asset-backed financing arrangements into two groups: (1) securitizations of residential mortgage loans and (2) financings of advances on loans serviced for others. Securitizations of Residential Mortgage Loans. The assets and liabilities of the four consolidated trusts are reported on our Consolidated Balance Sheet as Restricted cash - for securitization investors, Loans, net - restricted for securitization investors and Secured borrowings - owed to securitization investors. Our involvement with each of the remaining trusts does not represent a variable interest, and therefore, we exclude them from our consolidated financial statements. With regard to both the consolidated and the unconsolidated securitization trusts, we have no obligation to provide financial support to the trusts and have provided no such support. The creditors of the trusts can look only to the assets of the trusts themselves for satisfaction of the debt and have no recourse against the assets of Ocwen. Similarly, the general creditors of Ocwen have no claim on the assets of the trusts. Financings of Advances on Loans Serviced for Others. Match funded advances on loans serviced for others result from our transfers of residential loan servicing advances to SPEs in exchange for cash. These SPEs issue debt supported by collections on the transferred advances. Holders of the debt issued by these entities can look only to the assets of the entities themselves for satisfaction of the debt and have no recourse against Ocwen. However, OLS has guaranteed the payment of the obligations under the securitization documents of one of the entities. The maximum amount payable under the guarantee is limited to 10% of the notes outstanding at the end of the facility's revolving period on July 1, 2013. As of June 30, 2012, this entity had $65,595 of notes outstanding. The assets and liabilities of the advance SPEs are comprised solely of Match funded advances, Debt service accounts, Match funded liabilities and amounts due to affiliates which are eliminated in consolidation. See 7, 10 and 11 for additional information

0.50

four We have continuing involvement with the financial assets of eight of the securitizations and six of the asset-backed financing arrangements. We have aggregated these securitizations and asset-backed financing arrangements into two groups: (1) securitizations of residential mortgage loans and (2) financings of advances on loans serviced for others

10%

$65,595

Reclassification Within the operating activities section of the Consolidated Statement of Cash Flows for the six months ended June 30, 2011, we reclassified Unrealized losses on derivative financial instruments from Other, net to conform to the current year presentation.

Note 2 Recent Accounting Pronouncements Accounting Standards Update (ASU) 2011-03 (Accounting Standards Codification (ASC) 860, Transfers and Servicing): Reconsideration of Effective Control for Repurchase Agreements. Repurchase agreements are accounted for as secured borrowings (and therefore not as sales) if the transferor has not surrendered control over the transferred assets. The amendments in this ASU remove from the assessment of effective control the criterion relating to the transferor’s ability to repurchase or redeem financial assets on substantially the agreed terms, even in the event of default by the transferee. Consequently, the amendments in this update also eliminate the requirement to demonstrate that the transferor possesses adequate collateral to fund substantially all the cost of purchasing replacement financial assets. The effect of these amendments is to reduce the criteria that must be met in order for the transaction to be accounted for as a secured borrowing. The guidance should be applied prospectively to transactions or modifications of existing transactions that occur on or after the effective date. Our adoption of the provisions in this ASU effective January 1, 2012 did not have a material impact on our consolidated financial statements. See Note 12 for our disclosure of repurchase agreements, which we account for as a secured borrowing. ASU 2011-04 (ASC 820, Fair Value Measurement): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs. This ASU does not require additional fair value measurements and is not intended to establish valuation standards or affect valuation practices outside of financial reporting. The ASU clarifies the FASB’s intent about the application of existing fair value measurement and disclosure requirements and prescribes certain additional disclosures about fair value measurements. Our adoption of this standard effective January 1, 2012 did not have a material impact on our consolidated financial statements. See Note 5 for our fair value disclosures. ASU 2011-05 (ASC 220, Comprehensive Income): Presentation of Comprehensive Income. This ASU eliminates the option to present the components of other comprehensive income as part of the statement of changes in stockholders’ equity. This ASU also requires consecutive presentation of the statement of net income and other comprehensive income and requires that an entity present reclassification adjustments from other comprehensive income to net income by component on the face of both the statement in which net income is presented and the statement in which other comprehensive income is presented. ASU 2011-12 defers indefinitely the provision regarding the presentation of reclassification adjustments. Our adoption of this standard effective January 1, 2012 did not have a material impact on our consolidated financial statements.

Note 3 BUSINESS acquisition As disclosed in Note 1, Ocwen completed its acquisition of the Litton Loan Servicing Business on September 1, 2011. There were no adjustments to the purchase price during the first six months of 2012 and we do not anticipate any significant adjustments subsequent to June 30, 2012. We recorded $65,622 of goodwill in our Servicing segment in connection with the Litton Acquisition. The allocation of the purchase price is considered preliminary and therefore subject to change until the end of the measurement period (up to one year from the acquisition date). There were no revisions to the allocation of the purchase price during the first six months of 2012, and while we do anticipate adjustments of up to $10,000 subsequent to June 30, 2012, these adjustments will not affect earnings and we do not believe that they will be material to our consolidated financial statements. Pro forma impact of the Litton Acquisition The following table presents supplemental pro forma information for the three and six months ended June 30, 2011 as if the acquisition of Litton occurred on January 1, 2010. The pro forma consolidated results are not indicative of what Ocwen’s consolidated net earnings would have been if Ocwen had completed the acquisition of Litton on January 1, 2010 because of differences in servicing practices and cost structure between Ocwen and Litton. In addition, the pro forma consolidated results do not purport to project the future results of Ocwen combined nor do they reflect the expected realization of any cost savings associated with the Litton Acquisition. <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="font-weight: bold; border-bottom: Black 1pt solid; padding-left: 11pt; text-indent: -11pt"> For the periods ended June 30, 2011: </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 60%; text-indent: -11pt; padding-left: 11pt"> Revenues </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 177,111 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 329,988 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Net income </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 8,307 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 2,109 </td> <td style="text-align: left">   </td> </tr> </table> Facility Closure Costs Following the Litton Acquisition, we incurred severance and other benefits during 2011 related to the termination of former Litton employees. The Litton Acquisition included two leased facilities located in McDonough, Georgia and Houston, Texas. During the first quarter of 2012, we vacated the leased facility located in Georgia. The lease on the Texas facility expires on August 31, 2012 and is expected to be renewed on a short-term basis for a portion of the space. During 2010, we incurred similar costs related to our acquisition of the U.S. non-prime mortgage servicing business known as “HomEq Servicing” (the HomEq Acquisition) when we terminated the former HomEq employees and vacated the leased facilities located in Raleigh, North Carolina and Sacramento (North Highlands), California. The following table provides a reconciliation of the beginning and ending liability balances for these costs: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Employee termination benefits </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Lease termination costs (1) </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Total </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 49%; text-indent: -11pt; padding-left: 11pt"> Liability balance at December 31, 2011 (2) </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 5,163 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 5,287 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 10,450 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Additions charged to operations (2) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,392 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,030 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,422 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt"> Amortization of discount </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 104 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 104 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Payments </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (7,555 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (4,427 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (11,982 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Liability balance at June 30, 2012 (2) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 5,994 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 5,994 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> In March 2012, we recorded a charge of $4,779 to establish a liability for the remaining lease payments on the Georgia facility discounted through the lease expiration date in 2017. This lease does not contain an option for early termination, and we are actively attempting to sublease the space. The balance at December 31, 2011 relates to a liability established in 2010 for the remaining lease payments on the HomEq facilities through the early termination dates of the leases in 2013, including early termination penalties. In June 2012, we negotiated a buyout of the lease on the California facility for $2,900 and incurred an additional expense of $251 as the payment exceeded the liability, net of unamortized discount. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font-family: Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> All charges were recorded in the Servicing segment. Charges related to employee terminations and lease terminations are reported in Compensation and benefits expense and Occupancy and equipment expense, respectively, in the Consolidated Statements of Operations. The liabilities are included in Other liabilities in the Consolidated Balance Sheets. </td> </tr> </table>

65622000

10000000

4779000

2900000

251000

<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="font-weight: bold; border-bottom: Black 1pt solid; padding-left: 11pt; text-indent: -11pt"> For the periods ended June 30, 2011: </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 60%; text-indent: -11pt; padding-left: 11pt"> Revenues </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 177,111 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 329,988 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Net income </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 8,307 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 2,109 </td> <td style="text-align: left">   </td> </tr> </table>

177111000

329988000

8307000

2109000

5163000

5287000

10450000

2392000 5030000 7422000 104000 104000

-7555000

-4427000

-11982000

5994000

Note 4 ASSET SALES AND FINANCING On March 5, 2012, Ocwen completed its initial sale to HLSS Holdings, LLC (HLSS Holdings), a wholly owned subsidiary of Home Loan Servicing Solutions, Ltd. (HLSS), of the right to receive the servicing fees, excluding ancillary income, relating to certain mortgage servicing (Rights to MSRs) for approximately $15.2 billion of UPB and related servicing advances that we acquired in connection with the HomEq Acquisition. HLSS Holdings also acquired HomEq Servicer Advance Facility Transferor, LLC and HomEq Servicer Advance Receivables Trust 2010-ADV1 (together the Advance SPEs). As a result of the acquisition of the Advance SPEs, HLSS Holdings also assumed the related match funded liabilities under the structured servicing advance financing facility that we entered into as part of the HomEq Acquisition (the HomEq Servicing advance facility), with the exception of the Class D Term Note which Ocwen agreed to repay prior to closing. Ocwen received proceeds of $149,798 at closing based on the estimated purchase price as of February 28, 2012. On March 31, 2012, the purchase price was reduced to $138,792 as a result of post-closing adjustments that principally resulted from declines in match funded advances between February 28, 2012 and March 5, 2012. On March 31, 2012, Ocwen recorded a liability of $11,006 payable to HLSS which was subsequently settled on May 1, 2012. On May 1, 2012, Ocwen completed a second sale to HLSS of Rights to MSRs for approximately $2.9 billion of UPB and related servicing advances. Unlike the initial sale, this “flow” transaction did not involve the acquisition of the advance SPE or the assumption of related match funded liabilities by HLSS. These transactions with HLSS Holdings are referred to as the HLSS Transactions. See Note 11 for additional information regarding the match funded liabilities assumed by HLSS Holdings. Ocwen received proceeds of $103,826 at closing based on the estimated purchase price which was subsequently reduced to $103,458 for post-closing adjustments that resulted from declines in match funded advances through the closing date. Ocwen recorded a liability of $368 payable to HLSS which will be settled in the third quarter of 2012. As part of the HLSS Transactions, Ocwen retains legal ownership of the MSRs and continues to service the related mortgage loans. However, Ocwen will service the loans for a reduced fee because HLSS Holdings has assumed the match funded liabilities as well as the obligation for future servicing advances related to the MSRs. Ocwen is obligated to transfer legal ownership of the MSRs to HLSS Holdings if and when the required third party consents are obtained. At that time, Ocwen would commence subservicing the MSRs under essentially the same terms and conditions pursuant to a subservicing agreement with HLSS Holdings which was executed on February 10, 2012. The following table summarizes the sales price of the assets and liabilities acquired by HLSS in connection with the HLSS Transactions: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Initial sale </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Flow sale </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Total </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 49%; text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Sale of MSRs accounted for as a financing (1) </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 12%; border-bottom: Black 1pt solid; text-align: right"> 62,458 </td> <td style="width: 1%; padding-bottom: 1pt; text-align: left">   </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 12%; border-bottom: Black 1pt solid; text-align: right"> 11,233 </td> <td style="width: 1%; padding-bottom: 1pt; text-align: left">   </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 12%; border-bottom: Black 1pt solid; text-align: right"> 73,691 </td> <td style="width: 1%; padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Sale of match funded advances (2) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 92,225 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 92,225 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Sale of Advance SPEs: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Match funded advances </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 413,374 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 413,374 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Debt service account </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 14,786 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 14,786 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Prepaid lender fees and debt issuance costs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,422 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,422 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Other prepaid expenses </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,928 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,928 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Match funded liabilities </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (358,335 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (358,335 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Accrued interest payable and other accrued expenses </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (841 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (841 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Net assets of Advance SPEs (3) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 76,334 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 76,334 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Sales price, as adjusted </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 138,792 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 103,458 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 242,250 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Amount due HLSS for post-closing adjustments at June 30, 2012 </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 368 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 368 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Cash received </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 138,792 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 103,826 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 242,618 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Use of proceeds: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Repayment of senior secured term loan </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 37,449 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 7,106 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 44,555 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Repayment of match funded liabilities </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 64,395 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 64,395 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 101,343 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 32,325 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 133,668 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 2.5pt"> Cash received </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 138,792 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 103,826 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 242,618 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Reported in the Consolidated Statements of Cash Flows cash flows with financing activities as Proceeds from sale of mortgage servicing rights accounted for as a financing. </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif; width: 5%"> (2) </td> <td style="text-indent: 0in; line-height: 12pt; width: 95%"> Reported in the Consolidated Statements of Cash Flows with investing activities as Proceeds from sale of match funded advances. The $92,593 amount reported as proceeds does not reflect the post-closing price adjustment of $368 not yet paid as of June 30, 2012. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> Reported in the Consolidated Statements of Cash Flows with investing activities as Proceeds from sale of advance financing subsidiary and special purpose entity. </td> </tr> </table> Because Ocwen has retained legal title to the MSRs, the sales to HLSS of Rights to MSRs have been accounted for as financings. As a result, we have not derecognized the MSRs, and we have established a liability equal to the sales price. If and when the third party consents are obtained, legal title will transfer to HLSS, and we expect to record a sale with the gain deferred and derecognize the MSRs. Until such time, we continue to recognize the full amount of servicing revenue and amortization of the MSRs. The sales proceeds represent the estimated fair value of the MSRs. Total combined proceeds received from the sale of Rights to MSRs in the initial sale and the flow sale exceed Ocwen’s combined carrying value of the MSRs at the date of sale by $11,020. This excess amount will be realized over time as the Rights to MSRs amortize. Our investment in the Advance SPEs was sold at carrying value and accounted for as a sale. The consolidated assets and liabilities of the advance SPEs were derecognized at the time of the sale. We have determined that the HLSS Transactions do not constitute the disposal of a business. Therefore, there was no need to consider goodwill in determining the gain on the sale. Because the HLSS Transactions resulted in the sale of a portion of the assets within the Residential Servicing reporting unit which is an indicator that goodwill for the reporting unit should be tested for impairment, we updated our qualitative assessment of whether it was more likely than not that the fair value of the Residential Servicing reporting unit was less than its carrying amount. Our updated assessment indicated that goodwill was not impaired. In 2010, Ocwen entered into a hedge of the effect of changes in interest rates on the total cash flows of the HomEq Servicing advance financing facility. With the assumption of the HomEq Servicing advance facility by HLSS in March 2012, Ocwen terminated the hedging relationship for accounting purposes and recognized in Other, net in the Consolidated Statements of Operations $5,958 of hedge losses that were included in Accumulated other comprehensive loss. Ocwen also entered into an agreement with HLSS Management, LLC (HLSS Management), a wholly owned subsidiary of HLSS, for the provision of certain professional services to us and the provision by us of certain professional services to HLSS Management. See Note 20 for additional information regarding this agreement. 15200000000

149798000

138792000

11006000 2900000000

103826000

103458000

368000 92593000 11020000

5958000

76334000

138792000 103458000 242250000 -368000 -368000

138792000

103826000

242618000

-37449000

-7106000

-44555000

-64395000 -64395000

101343000

32325000

133668000

Note 5 Fair Value of Financial Instruments Fair value is estimated based on a hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs. Observable inputs are inputs that reflect the assumptions that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy prioritizes the inputs to valuation techniques into three broad levels whereby the highest priority is given to Level 1 inputs and the lowest to Level 3 inputs. Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3: Unobservable inputs for the asset or liability. Where available, we utilize quoted market prices or observable inputs rather than unobservable inputs to determine fair value. We classify assets in their entirety based on the lowest level of input that is significant to the fair value measurement. The carrying amounts and the estimated fair values of our financial instruments and our nonfinancial assets measured at fair value are as follows at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Level </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Carrying Value </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Fair Value </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Carrying Value </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Fair Value </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Financial assets: </td> <td>   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 25%; text-align: left; text-indent: -11pt; padding-left: 15pt"> Loans held for resale (1) </td> <td style="width: 3%">   </td> <td style="width: 10%; text-align: center"> 3 </td> <td style="width: 1%; text-align: center">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 19,772 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 19,772 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 20,633 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 20,633 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Loans, net – restricted for securitization investors (2) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 54,782 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 50,831 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 58,560 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 55,165 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> Advances (2) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,254,091 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,254,091 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,733,502 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,733,502 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Receivables, net (2) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 83,123 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 83,123 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 83,202 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 83,202 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Financial liabilities: </td> <td>   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Match funded liabilities (2) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 3,104,964 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 3,114,818 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 2,558,951 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 2,569,131 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Lines of credit and other secured borrowings(2) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 567,538 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 571,744 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 540,369 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 550,860 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Secured borrowings – owed to securitization investors (2) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 49,902 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 48,826 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 53,323 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 52,652 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Debt securities (2) </td> <td>   </td> <td style="text-align: center"> 2 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 26,119 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 26,919 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 82,554 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 92,125 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Derivative financial instruments, net (3) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (14,905 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (14,905 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (16,676 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (16,676 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Impaired stratum of MSRs (1)(4) </td> <td>   </td> <td style="text-align: center"> 3 </td> <td style="text-align: center">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 214 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 214 </td> <td style="text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Measured at fair value on a non-recurring basis. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> Financial instruments disclosed, but not carried, at fair value. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> Measured at fair value on a recurring basis. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (4) </td> <td style="text-indent: 0in; line-height: 12pt"> The high-loan-to-value stratum is measured at fair value on a non-recurring basis and is classified as Level 3 because of the nature of the valuation inputs. The values are net of a valuation allowance of $2,163 and $2,864 at June 30, 2012 and December 31, 2011, respectively. </td> </tr> </table> The methodologies that we use and key assumptions that we make to estimate the fair value of financial instruments and other assets and liabilities measured at fair value on a recurring or non-recurring basis are described below: Loans Held for Resale All loans held for resale were measured at fair value because their cost exceeded their estimated fair value at June 30, 2012. Current market illiquidity has reduced the availability of observable pricing data. When we enter into an agreement to sell a loan to an investor at a set price, the loan is valued at the commitment price. We base the fair value of uncommitted loans on the expected future cash flows discounted at a rate commensurate with the risk of the estimated cash flows. The more significant assumptions used in the June 30, 2012 valuation of performing loans include: historical default rates of 5% to 10%; re-performance rates on defaulted loans of 35%; loss severity on defaulted loans of 20% to 50%; an average resolution timeline of 12 months; an average coupon of 7.8%; and a discount rate of 10%. Significant assumptions used in the June 30, 2012 valuation of nonperforming loans include: the current market value of the underlying collateral based on third party sources such as appraisals or broker price opinions; a resolution timeline of 10 to 42 months depending on the state in which the property is located and the type of property; estimated foreclosure and disposition costs that are based on historical experience and considering that state in which the property is located and the type of property; and a discount rate of 15%. Loans – Restricted for Securitization Investors We base the fair value of Loans – restricted for securitization investors on the expected future cash flows discounted at a rate commensurate with the risk of the estimated cash flows. Significant assumptions include expected prepayment rates and delinquency and cumulative loss curves. The more significant assumptions used in our June 30, 2012 valuations were: prepayment speeds of 3% to 6%; default rates of 23% to 29%; and a discount rate of 20.5% to 22%. Advances We value advances that we make on loans that we service for others at their carrying amounts because they have no stated maturity, generally are realized within a relatively short period of time and do not bear interest. Receivables The carrying value of receivables generally approximates fair value because of the relatively short period of time between their origination and realization. Borrowings We base the fair value of our debt securities on quoted prices in markets with limited trading activity. The carrying value of match funded liabilities and secured borrowings that bear interest at a rate that is adjusted regularly based on a market index approximates fair value. For other match funded or secured borrowings that bear interest at a fixed rate, we determine fair value by discounting the future principal and interest repayments at a market rate commensurate with the risk of the estimated cash flows. We estimate principal repayments of match funded liabilities during the amortization period based on our historical advance collection rates and taking into consideration any plans to refinance the notes. The more significant assumptions used in the June 30, 2012 valuation of match funded liabilities bearing a fixed interest rate were a discount rate of 2.5% to 3.5% and estimated repayments using an advance reduction curve that is based on historical experience. Mortgage Servicing Rights MSRs are an intangible asset representing the right to service a portfolio of mortgage loans. We account for MSRs using the amortization method and perform an impairment analysis based on the difference between the carrying amount and estimated fair value after grouping the underlying loans into the applicable strata based on one or more of their predominant risk characteristics. We estimate the fair value of our MSRs by calculating the present value of expected future cash flows utilizing assumptions that we believe are used by market participants. The most significant assumptions used in our internal valuation are the speed at which mortgages prepay and delinquency experience. The significant components of the estimated future cash inflows for MSRs include servicing fees, late fees, prepayment penalties, float earnings and other ancillary fees. Significant cash outflows include the cost of servicing, the cost of financing servicing advances and compensating interest payments. We derive prepayment speeds and delinquency assumptions from historical experience adjusted for prevailing market conditions. We develop the discount rate internally, and we consider external market-based assumptions in determining the interest rate for the cost of financing advances, the interest rate for float earnings and the cost of servicing. The more significant assumptions used in the June 30, 2012 valuation include prepayment speeds ranging from 11.0 % to 17.9% (depending on loan type) and delinquency rates ranging from 15.9% to 23.4% (depending on loan type). Other assumptions include an interest rate of 1-month LIBOR plus 4% for computing the cost of financing advances, an interest rate of 1-month LIBOR for computing float earnings and a discount rate of 20%. As disclosed above and in Note 8, we established a valuation allowance for impairment on the high-loan-to-value stratum of our MSRs because the estimated fair value was less than the carrying value. For all other strata, the fair value exceeded the carrying value at June 30, 2012. Derivative Financial Instruments Our derivatives are not exchange-traded and therefore quoted market prices or other observable inputs are not available. Fair value is based on information provided by third-party pricing sources. Third-party valuations are derived from proprietary models based on inputs that include yield curves and contractual terms such as fixed interest rates and payment dates. Although we do not adjust the information obtained from the third-party pricing sources, we review this information to ensure that it provides a reasonable basis for estimating fair value. Our review is designed to identify information that appears stale, information that has changed significantly from the prior period and other indicators that the information may not be accurate. For interest rate contracts, significant increases or decreases in the unobservable portion of the yield curves in isolation will result in substantial changes in the fair value measurement. The following tables present a reconciliation of the changes in fair value of our Level 3 assets that we measure at fair value on a recurring basis, which consists of derivative financial instruments, for the periods indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="font-weight: bold; border-bottom: Black 1pt solid; padding-left: 11pt; text-indent: -11pt"> For the periods ended June 30, </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 40%; text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Beginning balance </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 1pt solid; text-align: right"> (12,806 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 1pt solid; text-align: right"> (12,397 </td> <td style="width: 1%; padding-bottom: 1pt; text-align: left"> ) </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 1pt solid; text-align: right"> (16,676 </td> <td style="width: 1%; padding-bottom: 1pt; text-align: left"> ) </td> <td style="width: 3%; padding-bottom: 1pt">   </td> <td style="width: 1%; border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 1pt solid; text-align: right"> (15,351 </td> <td style="width: 1%; padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Purchases, issuances, sales and settlements: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Settlements </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 65 </td> <td style="text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 25 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 2,422 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 71 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 65 </td> <td style="text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 25 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 2,422 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 71 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Total realized and unrealized gains and (losses) (1): </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Included in Other, net </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,843 </td> <td style="text-align: left"> </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (6 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,248 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (117 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Included in Other comprehensive income (loss) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (4,007 </td> <td style="text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,409 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (5,899 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (390 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,164 </td> <td style="text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,415 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (651 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (507 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Ending balance </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (14,905 </td> <td style="text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (15,787 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (14,905 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (15,787 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Total net losses attributable to derivative financial instruments for the three and six months ended June 30, 2012 include losses of $2,164 and $6,437, respectively, on derivatives held at June 30, 2012. Net losses attributable to derivative financial instruments for the three and six months ended June 30, 2011 include losses of $3,415 and $289, respectively, on derivatives held at June 30, 2011. </td> </tr> </table>

2163000

2864000

5% to 10%

35%

20% to 50%

7.8%

10%

15%

3% to 6% 23% to 29% 20.5% to 22% 2.5% to 3.5% 0.04

0.20

2164000

6437000

3415000

289000

3000

19772000

20633000

3000 54782000 50831000 58560000 55165000 3000 4254091000 4254091000 3733502000 3733502000

3000

83123000

83202000

3000 3104964000 3114818000 2558951000 2569131000

3000

567538000

571744000

540369000

550860000

3000 49902000 48826000 53323000 52652000 2000 26119000 26919000 82554000 92125000

3000

-14905000

-16676000

3000

214000

-12806000

-12397000

-16676000

-15351000

-65000

-25000

-2422000

-71000

65000

25000

2422000

71000

1843000 -6000 5248000 -117000

-4007000

-3409000

-5899000

-390000

-2164000

-3415000

-651000

-507000

-14905000

-15787000

Note 6 Advances Advances, representing payments made on behalf of borrowers or on foreclosed properties, consisted of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Servicing: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 60%; text-align: left; text-indent: -11pt; padding-left: 15pt"> Principal and interest </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 88,392 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 30,462 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Taxes and insurance </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 54,660 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 33,387 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Foreclosure and bankruptcy costs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 48,069 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,390 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 31,944 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 27,442 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 223,065 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 99,681 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Corporate Items and Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 3,899 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 3,910 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 226,964 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 103,591 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Servicing: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 60%; text-align: left; text-indent: -11pt; padding-left: 15pt"> Principal and interest </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 88,392 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 30,462 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Taxes and insurance </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 54,660 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 33,387 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Foreclosure and bankruptcy costs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 48,069 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,390 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 31,944 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 27,442 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 223,065 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 99,681 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Corporate Items and Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 3,899 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 3,910 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 226,964 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 103,591 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> 88392000 30462000 54660000 33387000 48069000 8390000 31944000 27442000 223065000 99681000 3899000 3910000 226964000 103591000 Note 7 Match Funded Advances Match funded advances on residential loans we service for others are comprised of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 60%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Principal and interest </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 2,098,469 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 1,679,536 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Taxes and insurance </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,437,337 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,452,707 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Foreclosure and bankruptcy costs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 300,827 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 259,231 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Real estate servicing costs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 90,864 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 121,705 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 99,630 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 116,732 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 4,027,127 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 3,629,911 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table>

2098469000 1679536000 1437337000 1452707000 300827000 259231000 90864000 121705000 99630000 116732000

Note 8 Mortgage Servicing Servicing Assets. The following table summarizes the activity in the carrying value of servicing assets, or MSRs, for the six months ended June 30, 2012: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 80%; text-indent: -11pt; padding-left: 11pt"> Balance at December 31, 2011 </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 293,152 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> Purchases (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 175,852 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Increase in impairment valuation allowance </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (88 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Amortization (2) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (34,348 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Balance at June 30, 2012 </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 434,568 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif; padding-left: 5pt"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> The following table reconciles the adjusted purchase price of MSRs to the cash paid as of June 30, 2012: </td> </tr> </table> <table cellpadding="0" cellspacing="0" align="right" style="border-collapse: collapse; width: 95%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 80%; text-indent: -11pt; padding-left: 11pt"> Purchase price of MSRs, as adjusted </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 175,852 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Cash holdback of purchase price due to seller (a) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (5,000 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Servicing liabilities assumed </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (1,441 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Cash paid for MSRs acquired, net of servicing liabilities assumed </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 169,411 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt">   </td> <td style="width: 5%; text-indent: 0in; line-height: 12pt"> a. </td> <td style="width: 90%; text-indent: 0in; line-height: 12pt"> Under the terms of one of the MSR purchase and sale agreements, Ocwen withheld $5,000 of the purchase price of the MSRs pending the receipt of missing mortgage loan documents from the seller. Beginning sixty days after the servicing transfer date of June 18, 2012, the holdback is to be released to the seller pro rata as the missing loan documents are provided. One year after the servicing transfer date, the remainder of the holdback is to be released to the seller less any out of pocket cost incurred by Ocwen in order to create or obtain any loan documents that have not been provided. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td colspan="2" style="text-indent: 0in; font: 10pt Times New Roman, Times, Serif"> In the Consolidated Statement of Operations, Amortization of mortgage servicing rights is reported net of the amortization of servicing liabilities and includes the amount of charges we recognized to increase servicing liability obligations. </td> </tr> </table> We completed the following MSR acquisitions in the first six months of 2012: <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font-family: Symbol"> </td> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font-family: Symbol"> · </td> <td style="width: 90%; text-indent: 0in; line-height: 12pt"> On April 2, 2012, we completed an acquisition from Saxon Mortgage Services, Inc. (Saxon) of an MSR portfolio of approximately $22.2 billion in UPB of residential mortgage loans, approximately $9.9 billion of which Ocwen had previously subserviced, and approximately $1.2 billion of associated servicing advances (the Saxon MSR Transaction). To finance the Saxon MSR Transaction, we utilized a combination of available cash and two new two-year servicing advance facilities. On April 2, 2012, we also completed an acquisition of MSRs from JPMorgan Chase Bank, N.A. (JPMCB) which includes servicing rights for non-prime loans with a UPB of approximately $8.1 billion (the JPMCB MSR Transaction) and $557,184 of servicing advances. Ocwen financed the purchase price through available cash and an existing servicing advance facility. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font-family: Symbol"> </td> <td style="text-indent: 0in; line-height: 12pt; font-family: Symbol"> · </td> <td style="text-indent: 0in; line-height: 12pt"> On May 31, 2012, we completed the acquisition of MSRs from Aurora Bank FSB (Aurora) on a portfolio of small-balance commercial mortgage loans with a total UPB of $1.8 billion and $52,911 of servicing advances. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font-family: Symbol"> </td> <td style="text-indent: 0in; line-height: 12pt; font-family: Symbol"> · </td> <td style="text-indent: 0in; line-height: 12pt"> On June 11, 2012, we purchased residential MSRs from Bank of America, N.A. (BANA) with respect to mortgage loans with a UPB of approximately $10.1 billion owned by Freddie Mac. We entered into a new servicing advance facility to finance a portion of the $34,486 of related servicing advances acquired in the transaction. At June 30, 2012, the acquired MSRs, which had a carrying value of $64,400, were pledged as collateral for the promissory note used to finance the purchase. </td> </tr> </table> See Note 11 and Note 12 for additional information regarding the advance facilities and promissory note used to finance the advances and MSRs acquired in the transactions described above. As part of the Saxon MSR Transaction and the JPMCB MSR Transaction, the selling parties and Ocwen have agreed to certain indemnification provisions. Additionally, as part of the Saxon MSR Transaction, Saxon and Morgan Stanley agreed to retain certain contingent liabilities for losses, fines and penalties arising from claims by and/or settlements with government authorities and certain third parties relating to the Saxon’s and its affiliates’ pre-closing foreclosure, servicing and loan origination practices. Further, Saxon, Morgan Stanley and Ocwen have agreed to share certain losses arising out of third-party claims in connection with the Seller’s pre-closing performance under its servicing agreements. As disclosed in Note 4, we sold certain Rights to MSRs on March 5, 2012 and May 1, 2012 as part of the HLSS Transactions. The carrying value of the related MSRs which have not been derecognized at June 30, 2012 was $58,298. The following table presents the composition of our servicing and subservicing portfolios by type of property serviced as measured by UPB. The servicing portfolio represents loans for which we own the MSRs while subservicing represents all other loans. <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="font-weight: bold; border-bottom: Black 1pt solid; padding-left: 11pt; text-indent: -11pt"> UPB of Assets Serviced: </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Residential </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Commercial </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Total </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt"> June 30, 2012: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 49%; text-indent: -11pt; padding-left: 20pt"> Servicing </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 112,505,980 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> — </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 112,505,980 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Subservicing </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 15,367,244 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 387,352 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 15,754,596 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 127,873,224 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 387,352 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 128,260,576 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt"> December 31, 2011: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 20pt"> Servicing </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 78,675,160 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 78,675,160 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Subservicing </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 23,524,062 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 290,863 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 23,814,925 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 102,199,222 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 290,863 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 102,490,085 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> Residential assets serviced consist principally of mortgage loans, primarily subprime, but also include foreclosed real estate. Residential assets also include small-balance commercial assets with a UPB of $2,142,069 and $586,080 at June 30, 2012 and December 31, 2011, respectively that are managed using the REALServicing™ application. Commercial assets subserviced consist of large-balance foreclosed real estate. Assets serviced for others are not included on our Consolidated Balance Sheet. Custodial accounts, which hold funds representing collections of principal and interest that we receive from borrowers, are held in escrow by an unaffiliated bank and excluded from our Consolidated Balance Sheet. Custodial accounts amounted to approximately $716,900 and $555,500 at June 30, 2012 and December 31, 2011, respectively. Valuation Allowance for Impairment. We established a valuation allowance for impairment on the high-loan-to-value stratum of our MSRs as the estimated fair value was less than the carrying value. Net of the valuation allowance of $2,378 and $2,290, the carrying value of this stratum was $0 and $214 at June 30, 2012 and December 31, 2011, respectively. Changes in the valuation allowance for impairment are reflected in Servicing and origination expenses in our Consolidated Statement of Operations. The estimated fair value of residential MSRs at June 30, 2012 and December 31, 2011 was $470,974 and $340,015, respectively. Servicing Liabilities. We recognize a servicing liability for those agreements that are not expected to compensate us adequately for performing the servicing. Servicing liabilities are included in Other liabilities. See Note 14 for additional information.

5000000 22200000000 9900000000 1200000000 8.1 557184000 1800000000 52911000 10100000000 34486000

64400000

58298000 2142069000 586080000

716900000

555500000

2378000

2290000

0 214000

470974000

340015000

<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 80%; text-indent: -11pt; padding-left: 11pt"> Balance at December 31, 2011 </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 293,152 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> Purchases (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 175,852 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Increase in impairment valuation allowance </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (88 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Amortization (2) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (34,348 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Balance at June 30, 2012 </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 434,568 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table>

175852000

-88000

-34348000

<table cellpadding="0" cellspacing="0" align="right" style="border-collapse: collapse; width: 95%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 80%; text-indent: -11pt; padding-left: 11pt"> Purchase price of MSRs, as adjusted </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 175,852 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Cash holdback of purchase price due to seller (a) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (5,000 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Servicing liabilities assumed </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (1,441 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Cash paid for MSRs acquired, net of servicing liabilities assumed </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 169,411 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table>

5000000

1441000

<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="font-weight: bold; border-bottom: Black 1pt solid; padding-left: 11pt; text-indent: -11pt"> UPB of Assets Serviced: </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Residential </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Commercial </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Total </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt"> June 30, 2012: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 49%; text-indent: -11pt; padding-left: 20pt"> Servicing </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 112,505,980 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> — </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 112,505,980 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Subservicing </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 15,367,244 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 387,352 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 15,754,596 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 127,873,224 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 387,352 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 128,260,576 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt"> December 31, 2011: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 20pt"> Servicing </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 78,675,160 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 78,675,160 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Subservicing </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 23,524,062 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 290,863 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 23,814,925 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 102,199,222 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 290,863 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 102,490,085 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> 112505980000 112505980000 15367244000 387352000 15754596000 127873224000 387352000 128260576000 78675160000 78675160000 23524062000 290863000 23814925000 102199222000 290863000 102490085000

Note 9 Receivables Receivables consisted of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="10" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="10" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Receivables </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Allowance for Losses </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Net </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Receivables </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Allowance for Losses </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Net </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 18%; text-indent: -11pt; padding-left: 11pt"> Servicing (1) </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 73,230 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> (3,112 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 9%; text-align: right"> 70,118 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 53,852 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> (1,648 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 9%; text-align: right"> 52,204 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Income taxes receivable </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 21,518 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 21,518 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Affordable housing (2) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,317 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (768 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 549 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,568 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (5,019 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 549 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Due from related parties(3) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,914 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,914 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,309 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,309 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Derivatives, at fair value(4) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,421 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,421 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,600 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,600 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 2,389 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> (1,268 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 1,121 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 4,284 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> (1,262 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 3,022 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left"> $ </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 88,271 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left"> $ </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> (5,148 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left"> $ </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 83,123 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left"> $ </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 91,131 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left"> $ </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> (7,929 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left"> $ </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right"> 83,202 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Balances arise from our Servicing business and primarily include reimbursable expenditures due from investors and amounts to be recovered from the custodial accounts of the trustees. The balance at June 30, 2012 also includes amounts due from the seller as a result of post-closing adjustments to the purchase price of advances in connection with MSRs that we acquired during the second quarter. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> Balances primarily represent payments to be received for proceeds from sales of investments in affordable housing properties. None of these receivables is delinquent. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> See Note 20 for additional information regarding transactions with HLSS and Altisource. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (4) </td> <td style="text-indent: 0in; line-height: 12pt"> Balances represent the fair value of an interest rate cap. See Note 15 for additional information. </td> </tr> </table> The change in the allowance for credit losses for the six months ended June 30, 2012 and the balance of the related receivables at those dates were as follows (the disclosure requirements for the allowance for credit losses do not apply to mortgage banking activities, including the long-term servicing of loans, such as the activities of our Servicing segment): <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Affordable Housing </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Other </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Total </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 49%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Allowance for credit losses balance at December 31, 2011 </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 5,019 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 1,262 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 6,281 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Charge offs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (4,251 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (387 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (4,638 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Provision, net </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 455 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 455 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (62 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (62 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Allowance for credit losses balance at June 30, 2012 </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 768 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 1,268 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 2,036 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Receivables balance at June 30, 2012 </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 1,317 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 2,389 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 3,706 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table>

73230000 -3112000 70118000 53852000 -1648000 52204000

21518000

1317000 -768000 549000 5568000 -5019000 549000

8914000

2309000

2421000

3600000

2389000

-1268000

1121000

4284000

-1262000

3022000

88271000 -5148000 83123000 91131000 -7929000 83202000

5019000

1262000

6281000

-4251000

-387000

-4638000

455000

-62000

768000

1268000

2036000

1317000 2389000 3706000

Note 10 Other Assets Other assets consisted of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 60%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Debt service accounts </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 106,862 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 115,867 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Interest earning collateral deposits (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 30,752 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 27,191 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Prepaid lender fees and debt issuance costs, net </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 19,771 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 27,113 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Real estate, net </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,531 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,368 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Prepaid expenses and other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 11,399 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 12,403 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 171,315 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 185,942 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> The balances include $20,980 and $19,623 of cash collateral held by the counterparties to certain of our derivative agreements at June 30, 2012 and December 31, 2011, respectively. </td> </tr> </table>

20980000

19623000

106862000 115867000

30752000

27191000

19771000

27113000

2531000

3368000

11399000

12403000

Note 11 Match Funded Liabilities Match funded liabilities are comprised of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="padding-bottom: 1pt; text-align: center"> Unused </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; text-indent: 0pt; border-bottom: Black 1pt solid"> Balance Outstanding </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> </tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center"> Borrowing Type </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Interest Rate </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Maturity </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Amortization Date </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Borrowing Capacity (1) </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="border-bottom: Black 1pt solid"> June 30, 2012 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="border-bottom: Black 1pt solid"> December 31, 2011 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt">   </td> <td>   </td> <td>   </td> <td nowrap="nowrap" style="text-align: left">   </td> <td>   </td> <td>   </td> <td>   </td> <td>   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> <td>   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> <td>   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 16%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Promissory Note (2) </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: left; text-indent: 0pt"> 3.3875% </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: left; text-indent: 0pt"> Sept. 2013 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: left; text-indent: 0pt"> Sept. 2013 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 10%; text-align: right; text-indent: 0pt"> 375,535 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 12%; text-align: right; text-indent: 0pt"> 1,517,265 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 12%; text-align: right; text-indent: 0pt"> 1,784,043 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Note Series 2009-3 (3) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 4.14% </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> July 2023 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> July 2012 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 210,000 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 210,000 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt"> Advance Receivable Backed Note Series 2010-1 (7) </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 3.59% </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> Sep. 2023 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> Feb. 2011 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 40,000 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt"> Total fixed rate </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 375,535 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 1,727,265 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 2,034,043 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Variable Funding Note Series 2009-2 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1-Month LIBOR (1ML)+ 350 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Nov. 2023 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Nov. 2012 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 100,000 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Variable Funding Note Series 2009-1 (4) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 325 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Dec. 2023 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Dec. 2012 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 255,466 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 544,534 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 11,687 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Notes (5) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 285 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Apr. 2015 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Apr. 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 212,892 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 437,108 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Notes Series 2012-ADV1 (5) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Commercial paper (CP) rate plus 225 or 335 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> May 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> April 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 142,979 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 307,021 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Notes Series 2012-ADV1 (6) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 250 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> June 2016 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> June 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 76,559 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 23,441 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class A-1 Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> CP rate + 350 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 340,185 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class B Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> CP rate + 525 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 15,850 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class C Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> CP rate + 625 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 15,056 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class D Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 750 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 11,638 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Advance Receivable Backed Notes </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 200 bps </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> Jan. 2014 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> July 2013 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 199,405 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 65,595 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 130,492 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Total variable rate </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 987,301 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 1,377,699 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 524,908 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 2.5pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 1,362,836 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 3,104,964 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 2,558,951 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> At June 30, 2012, we had no eligible advances available to be pledged as collateral for additional borrowings under our advance facilities. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> This note was issued to finance advances acquired in connection with the acquisition of Litton on September 1, 2011. Borrowing capacity under this facility declined to $1,892,800 on March 1, 2012 and will further decline to $1,637,591 on September 1, 2012, $1,403,650 on March 1, 2013 and $1,169,708 on September 1, 2013. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> This note matured on July 19, 2012, and the borrowing under this note was transferred to the Series 2009-1 variable funding note. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (4) </td> <td style="text-indent: 0in; line-height: 12pt"> Effective March 12, 2012, the lender transferred this note from its commercial paper conduit and began charging interest based on 1-Month LIBOR. Beginning June 15, 2012, maximum borrowing capacity under this note will be reduced to the extent that the lender’s commitment under any other advance facilities of Ocwen or its affiliates exceeds $200,000. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (5) </td> <td style="text-indent: 0in; line-height: 12pt"> These notes were issued to finance the advances acquired in connection with the Saxon MSR Transaction. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (6) </td> <td style="text-indent: 0in; line-height: 12pt"> These notes were issued to finance the advances acquired from BANA in connection with the acquisition of MSRs. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (7) </td> <td style="text-indent: 0in; line-height: 12pt"> The amortization period for this note ended in January 2012, at which time the remaining balance of $40,000 was repaid. The advances pledged to this note were transferred to the Series 2009-1 variable funding note and were re-pledged under that note. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (8) </td> <td style="text-indent: 0in; line-height: 12pt"> These notes were issued in connection with the financing of advances acquired as part of the HomEq Acquisition. The Class D Term Note was repaid in full on March 2, 2012. On March 5, 2012, HLSS assumed the remaining balances. </td> </tr> </table>

1892800000

1637591000

1403650000

1169708000

200000000

40000000

<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="padding-bottom: 1pt; text-align: center"> Unused </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; text-indent: 0pt; border-bottom: Black 1pt solid"> Balance Outstanding </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> </tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center"> Borrowing Type </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Interest Rate </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Maturity </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Amortization Date </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center; text-indent: 0pt"> Borrowing Capacity (1) </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="border-bottom: Black 1pt solid"> June 30, 2012 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt">   </td> <td colspan="2" style="border-bottom: Black 1pt solid"> December 31, 2011 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt">   </td> <td>   </td> <td>   </td> <td nowrap="nowrap" style="text-align: left">   </td> <td>   </td> <td>   </td> <td>   </td> <td>   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> <td>   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> <td>   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 16%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Promissory Note (2) </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: left; text-indent: 0pt"> 3.3875% </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: left; text-indent: 0pt"> Sept. 2013 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: left; text-indent: 0pt"> Sept. 2013 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 10%; text-align: right; text-indent: 0pt"> 375,535 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 12%; text-align: right; text-indent: 0pt"> 1,517,265 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 12%; text-align: right; text-indent: 0pt"> 1,784,043 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Note Series 2009-3 (3) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 4.14% </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> July 2023 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> July 2012 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 210,000 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 210,000 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt"> Advance Receivable Backed Note Series 2010-1 (7) </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 3.59% </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> Sep. 2023 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> Feb. 2011 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 40,000 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt"> Total fixed rate </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 375,535 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 1,727,265 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 2,034,043 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Variable Funding Note Series 2009-2 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1-Month LIBOR (1ML)+ 350 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Nov. 2023 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Nov. 2012 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 100,000 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Variable Funding Note Series 2009-1 (4) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 325 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Dec. 2023 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Dec. 2012 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 255,466 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 544,534 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 11,687 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Notes (5) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 285 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Apr. 2015 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Apr. 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 212,892 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 437,108 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Notes Series 2012-ADV1 (5) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Commercial paper (CP) rate plus 225 or 335 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> May 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> April 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 142,979 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 307,021 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Advance Receivable Backed Notes Series 2012-ADV1 (6) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 250 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> June 2016 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> June 2014 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 76,559 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 23,441 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class A-1 Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> CP rate + 350 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 340,185 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class B Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> CP rate + 525 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 15,850 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class C Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> CP rate + 625 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 15,056 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Class D Term Note (8) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 750 bps </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2043 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Aug. 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 11,638 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Advance Receivable Backed Notes </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> 1ML + 200 bps </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> Jan. 2014 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> July 2013 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 199,405 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 65,595 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 130,492 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Total variable rate </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 987,301 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 1,377,699 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 524,908 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 2.5pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 1,362,836 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 3,104,964 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 2,558,951 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> </tr> </table>

3.3875%

2013-12-31

Sept. 2013

375535000

1517265000

1784043000

4.14%

2023-07-31

July 2012

210000000

3.59%

2023-12-31

Feb. 2011

40000000

375535000

1727265000

2034043000

1-Month LIBOR (1ML)+ 350 bps

2023-12-31

Nov. 2012

100000000

1ML + 325 bps

2023-12-31

Dec. 2012

255466000

544534000

11687000

1ML + 285 bps

2015-12-31

Apr. 2014

212892000

437108000

Commercial paper (CP) rate plus 225 or 335 bps

2014-05-31

April 2014

142979000

307021000

1ML + 250 bps

2016-06-30

June 2014

76559000

23441000

CP rate + 350 bps

2043-12-31

Aug. 2013

340185000

CP rate + 525 bps

2043-12-31

Aug. 2013

15850000

CP rate + 625 bps

2043-12-31

Aug. 2013

15056000

1ML + 750 bps

2043-12-31

Aug. 2013

11638000

1ML + 200 bps

2014-12-31

July 2013

199405000

65595000

130492000

987301000

1377699000

524908000

1362836000

3104964000

2558951000

Note 12 LINES OF CREDIT AND OTHER SECURED BORROWINGS Lines of credit and other secured borrowings are comprised of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-align: center; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td colspan="2" style="padding-bottom: 1pt; text-align: center"> Unused </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center"> Balance Outstanding </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; text-align: center"> Borrowings </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Collateral </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Interest Rate </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Maturity </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Borrowing Capacity </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> June 30, 2012 </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> December 31, 2011 </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="text-align: center; padding-left: 11pt; text-indent: -11pt">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td colspan="2" style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: center">   </td> <td style="text-align: center">   </td> <td colspan="2" style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: center">   </td> <td style="text-align: center">   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Servicing: </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Senior secured term loan (1) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> (1) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt; vertical-align: top"> 1ML + 550 bps with a LIBOR floor of 1.50% </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Sept. 2016 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> $ </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> $ </td> <td style="text-align: right; text-indent: 0pt"> 472,945 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> $ </td> <td style="text-align: right; text-indent: 0pt"> 546,250 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Financing liability – MSRs pledged (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> MSRs (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 70,175 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 15pt; text-indent: -11pt"> Promissory Note (3) </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> MSRs </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> 1ML + 350 bps </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> May 2017 </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 29,784 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 15%; text-align: left; padding-left: 11pt; text-indent: -11pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 10%; text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 10%; text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 10%; text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 10%; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="width: 1%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 12%; text-align: right; text-indent: 0pt"> 572,904 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 12%; text-align: right; text-indent: 0pt"> 546,250 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td colspan="3" style="text-align: left; text-indent: 0pt"> Corporate Items and Other </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 15pt; text-indent: -11pt"> Securities sold under an agreement to repurchase (4) </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt; vertical-align: top"> Ocwen Real Estate Asset Liquidating Trust 2007-1 Notes </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt; vertical-align: top"> Class A-2 notes: 1ML + 200 bps; Class A-3 notes: 1ML + 300 bps </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> Monthly </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 3,646 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 4,610 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 576,550 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 550,860 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td colspan="7" style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> Discount on senior secured term loan </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (9,012 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> ) </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (10,491 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 567,538 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 540,369 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> The principal amount of the loan (originally $575,000) is due in consecutive installments of $14,375 per quarter through June 30, 2016, with the remaining balance becoming due on September 1, 2016. The loan is secured by a first priority security interest in substantially all of the tangible and intangible assets of Ocwen. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> On March 5, 2012 and May 1, 2012, Ocwen completed the HLSS Transactions, in which it transferred to HLSS certain Rights to MSRs. However, because Ocwen has not yet transferred legal title to the MSRs, the sales were accounted for as a financing with the proceeds from the sale of the MSRs recorded as a financing liability. The financing liability is being amortized using the interest method with the servicing income that is remitted to HLSS representing payments of principal and interest. The liability has no contractual maturity but will be amortized over the estimated life of the pledged MSRs. The balance of the liability is reduced each month based on the change in the estimated fair value of the pledged MSRs. See Note 4 for additional information regarding the HLSS Transactions. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> This note was issued to finance the acquisition of MSRs from BANA. Prepayments of the balance on this note may be required if the borrowing base, as defined, falls below the amount of the note outstanding. </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="text-indent: 0in; font: 10pt/12pt Times New Roman, Times, Serif; width: 5%"> (4) </td> <td style="text-indent: 0in; line-height: 12pt; width: 95%"> The Class A-2 and A-3 notes issued by Ocwen Real Estate Asset Liquidating Trust 2007-1 have a face value of $27,710 at June 30, 2012. </td> </tr> </table>

575000000

14375000

27710000

<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-align: center; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td colspan="2" style="padding-bottom: 1pt; text-align: center"> Unused </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center"> Balance Outstanding </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; text-align: center"> Borrowings </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Collateral </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Interest Rate </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Maturity </td> <td style="padding-bottom: 1pt; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Borrowing Capacity </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt">   </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> June 30, 2012 </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> December 31, 2011 </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="text-align: center; padding-left: 11pt; text-indent: -11pt">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td style="text-align: center">   </td> <td colspan="2" style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: center">   </td> <td style="text-align: center">   </td> <td colspan="2" style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: center">   </td> <td style="text-align: center">   </td> <td colspan="2">   </td> <td nowrap="nowrap" style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Servicing: </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Senior secured term loan (1) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> (1) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt; vertical-align: top"> 1ML + 550 bps with a LIBOR floor of 1.50% </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> Sept. 2016 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> $ </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> $ </td> <td style="text-align: right; text-indent: 0pt"> 472,945 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> $ </td> <td style="text-align: right; text-indent: 0pt"> 546,250 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Financing liability – MSRs pledged (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> MSRs (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt"> (2) </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 70,175 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 15pt; text-indent: -11pt"> Promissory Note (3) </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> MSRs </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> 1ML + 350 bps </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> May 2017 </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 29,784 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 15%; text-align: left; padding-left: 11pt; text-indent: -11pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 10%; text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 10%; text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 10%; text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 10%; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="width: 1%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 12%; text-align: right; text-indent: 0pt"> 572,904 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; width: 12%; text-align: right; text-indent: 0pt"> 546,250 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td colspan="3" style="text-align: left; text-indent: 0pt"> Corporate Items and Other </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 2px; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 15pt; text-indent: -11pt"> Securities sold under an agreement to repurchase (4) </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt; vertical-align: top"> Ocwen Real Estate Asset Liquidating Trust 2007-1 Notes </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt; vertical-align: top"> Class A-2 notes: 1ML + 200 bps; Class A-3 notes: 1ML + 300 bps </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> Monthly </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 3,646 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 4,610 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 576,550 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 550,860 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td colspan="7" style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> Discount on senior secured term loan </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (9,012 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> ) </td> <td style="text-align: left; padding-bottom: 2px; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (10,491 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2px; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: right; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> — </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 567,538 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 540,369 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 4px; text-indent: 0pt">   </td> </tr> </table>

(1)

Sept. 2016

472945000

546250000

MSRs (2)

-0.02

(2)

70175000

MSRs

May 2017

29784000

572904000

546250000

Ocwen Real Estate Asset Liquidating Trust 2007-1 Notes

Monthly

3646000

4610000

576550000

550860000

-9012000

-10491000

567538000

540369000

Note 13 DEBT SECURITIES Debt securities consisted of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 60%; text-align: left; text-indent: -11pt; padding-left: 11pt"> 3.25% Contingent Convertible Senior Unsecured Notes due August 1, 2024 </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> — </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 56,435 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> 10.875% Capital Securities due August 1, 2027 </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 26,119 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 26,119 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 26,119 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 82,554 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> On February 27, 2012, we provided notice of redemption to all the holders of our 3.25% Contingent Convertible Senior Unsecured Notes (Convertible Notes) stating our election to redeem all of the outstanding notes on March 28, 2012. Of the $56,435 outstanding principal balance of the Convertible Notes, $56,410 was converted to 4,635,159 shares of common stock at a conversion rate of 82.1693 per $1,000 (in dollars) principal amount (representing a conversion price of $12.17 per share) with 11 fractional shares settled in cash. The remaining $25 principal balance of the Convertible Notes was redeemed at a cash price of 100% of principal outstanding, plus accrued and unpaid interest.

56435000

56410000

4635159

82.1693

1000000

12170

11 25000

56435000

26119000

82554000

Note 14 OTHER LIABILITIES Other liabilities were comprised of the following at the dates indicated: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 60%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Accrued expenses </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 38,327 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> 53,516 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Payable to servicing and subservicing investors </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 25,905 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 28,824 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Checks held for escheat </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 22,340 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 24,687 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Derivatives, at fair value (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 17,326 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 20,276 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Income taxes payable </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 11,068 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Servicing liabilities (2) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 10,167 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 9,662 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Due to related parties (3) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,719 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,274 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Accrued interest payable </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,759 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,140 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Liability for selected tax items </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,690 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,524 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Other (4) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 16,465 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 8,746 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 156,766 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 158,649 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 3%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="width: 5%; text-indent: 0in; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 92%; text-indent: 0in; line-height: 12pt"> See Note 15 for additional information regarding derivatives. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> Our acquisition of MSRs as part of the JPMCB MSR Transaction included a servicing liability with a fair value of $1,441. During the six months ended June 30, 2012 and 2011, amortization of servicing liabilities exceeded the amount of charges we recognized to increase servicing liability obligations by $937 and $246, respectively. Amortization of mortgage servicing rights is reported net of this amount in the Consolidated Statement of Operations </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> See Note 20 for additional information regarding transactions with HLSS and Altisource. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (4) </td> <td style="text-indent: 0in; line-height: 12pt"> As disclosed in Note 8, the balance at June 30, 2012 includes a $5,000 holdback of the purchase price of MSRs we acquired during the second quarter. </td> </tr> </table>

937000

246000

38327000

53516000

25905000 28824000 22340000 24687000

17326000

20276000

11068000

10167000

9662000

5719000

4274000

4759000

4140000

4690000 4524000

16465000

8746000

Note 15 Derivative Financial Instruments Foreign Currency Exchange Rate Risk Management We periodically enter into foreign exchange forward contracts to hedge against the effect of changes in the value of the India Rupee (INR) on amounts payable to our India subsidiary, OFSPL. Interest Rate Management In our Servicing segment, we have entered into interest rate swaps in order to hedge against the effects of changes in interest rates on our borrowings under our advance funding facilities. We also entered into an interest rate cap which was not designated as a hedge for accounting purposes. The following summarizes our swap positions at June 30, 2012: <table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; text-align: center; padding-left: 11pt; text-indent: -11pt"> Purpose </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Date Opened </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Effective Date </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Maturity </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> We Pay </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> We Receive </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Notional Amount </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Fair Value </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; font-weight: bold; padding-left: 11pt"> Not designated as hedges: </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 18%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Hedge the effects of a change in 1ML on borrowing under a $265,000 advance funding facility (1) </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: center"> April 2010 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: center"> July 2010 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 9%; text-align: center"> July 2013 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 8%; text-align: center"> 2.0590% </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 8%; text-align: center"> 1ML </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 1%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 10%; text-align: right; text-indent: 0pt"> 250,000 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 1%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 10%; text-align: right; text-indent: 0pt"> (4,794 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Hedge the effects of a change in the lender’s CP rate and 1ML on borrowing under an advance facility (2) </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> May 2010 and June 2010 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> September 2010 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> August 2013 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 1.5750% and 1.5275% </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 1ML </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 374,125 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (4,982 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td colspan="11" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt; font-weight: bold; padding-left: 15pt"> Total not designated as hedges </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 624,125 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (9,776 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; font-weight: bold; padding-left: 11pt"> Designated as hedges: </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Hedge the effects of changes in 1ML or the lenders’ CP rate on advance funding facilities </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> October 2011 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> June 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> January 2015 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> 0.9275% and 0.9780% </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> 1ML </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 201,892 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> (5,576 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Hedge the effects of changes in 1ML or the lenders’ CP rate on advance funding facilities (3) </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> December 2011 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> February 2012 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> January 2015 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 0.7000% and 0.6825% </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 1ML </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 343,582 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (1,974 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td colspan="11" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt; font-weight: bold; padding-left: 15pt"> Total designated as hedges </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 545,474 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (7,550 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td colspan="11" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt; font-weight: bold; padding-left: 25pt"> Total </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 1,169,599 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> (17,326 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt"> ) </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> We discontinued hedge accounting for this hedging relationship effective July 1, 2011 and began amortizing to earnings the $6,179 of deferred losses in Accumulated other comprehensive loss. Unamortized deferred losses were $3,089 at June 30, 2012. Amortization will continue until the related advance facility matures in July 2013. The balance outstanding under the advance facility at June 30, 2012 was $65,595. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> The hedging relationship was terminated when the advance facility was assumed on March 5, 2012 by HLSS. See Note 4 and Note 11 for additional information regarding the match funded liabilities assumed by HLSS Holdings. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> Projected net settlements on the swaps for the next twelve months total approximately $1,200 of payments to the counterparties. </td> </tr> </table> The following table summarizes our use of derivatives during the six months ended June 30, 2012: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Interest Rate Cap </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Foreign Exchange Forwards </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Interest Rate Swaps </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 48%; text-indent: -11pt; padding-left: 11pt"> Notional balance at December 31, 2011 </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 13%; text-align: right"> 1,600,000 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 13%; text-align: right"> 46,200 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 13%; text-align: right"> 1,393,685 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> Maturities </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (224,086 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Terminations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (46,200 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Notional balance at June 30, 2012 </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 1,600,000 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 1,169,599 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Fair value of derivative assets (liabilities) at (1): </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> June 30, 2012 </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 2,421 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left"> $ </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (17,326 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> December 31, 2011 </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 3,600 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (5,785 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (14,491 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt"> Maturity </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: center"> May 2014 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> July 2013 to January 2015 </td> <td style="text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif">   </td> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 90%; text-indent: 0in; line-height: 12pt"> Derivatives are reported at fair value in Receivables or Other liabilities. </td> </tr> </table> Other income (expense), net, includes the following related to derivative financial instruments: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 43%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Gains (losses) on non-hedging derivatives (1) </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 1,843 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> (6 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 5,248 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> (117 </td> <td style="width: 1%; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Losses from ineffectiveness of cash flow hedges </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (64 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (889 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (1) </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (1,131 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of losses in Accumulated other comprehensive loss for a discontinued hedge </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (772 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (1,544 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Write off losses in Accumulated other comprehensive loss for the hedge of a financing facility assumed by HLSS (See Note 4) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (5,958 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 1,007 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (895 </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (2,255 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (1,248 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Includes the gain of $3,359 in the first quarter of 2012 from the termination of foreign exchange forward contracts. </td> </tr> </table> Included in Accumulated other comprehensive loss at June 30, 2012 and December 31, 2011, respectively, were $10,510 and $12,114 of deferred unrealized losses, before taxes of $3,819 and $4,354, respectively, on the interest rate swaps that we designated as cash flow hedges.

6179000

3089000

65595000

1200000 3359000

10510000

12114000

3819000 4354000

<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; text-align: center; padding-left: 11pt; text-indent: -11pt"> Purpose </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Date Opened </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Effective Date </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> Maturity </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> We Pay </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> <td style="border-bottom: Black 1pt solid; text-align: center"> We Receive </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Notional Amount </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> <td style="padding-bottom: 1pt; font-weight: bold; text-align: center">   </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Fair Value </td> <td nowrap="nowrap" style="text-align: center; padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; font-weight: bold; padding-left: 11pt"> Not designated as hedges: </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td colspan="2" style="text-align: left; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 18%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Hedge the effects of a change in 1ML on borrowing under a $265,000 advance funding facility (1) </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: center"> April 2010 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 10%; text-align: center"> July 2010 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 9%; text-align: center"> July 2013 </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 8%; text-align: center"> 2.0590% </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 8%; text-align: center"> 1ML </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 1%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 10%; text-align: right; text-indent: 0pt"> 250,000 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt">   </td> <td style="width: 2%; text-align: left; text-indent: 0pt">   </td> <td style="width: 1%; text-align: left; text-indent: 0pt"> $ </td> <td style="width: 10%; text-align: right; text-indent: 0pt"> (4,794 </td> <td nowrap="nowrap" style="width: 1%; text-align: left; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Hedge the effects of a change in the lender’s CP rate and 1ML on borrowing under an advance facility (2) </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> May 2010 and June 2010 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> September 2010 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> August 2013 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 1.5750% and 1.5275% </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 1ML </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 374,125 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (4,982 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td colspan="11" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt; font-weight: bold; padding-left: 15pt"> Total not designated as hedges </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 624,125 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (9,776 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; font-weight: bold; padding-left: 11pt"> Designated as hedges: </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt">   </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Hedge the effects of changes in 1ML or the lenders’ CP rate on advance funding facilities </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> October 2011 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> June 2013 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> January 2015 </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> 0.9275% and 0.9780% </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: center"> 1ML </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> 201,892 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: left; text-indent: 0pt">   </td> <td style="text-align: right; text-indent: 0pt"> (5,576 </td> <td nowrap="nowrap" style="text-align: left; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt"> Hedge the effects of changes in 1ML or the lenders’ CP rate on advance funding facilities (3) </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> December 2011 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> February 2012 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center; padding-bottom: 1pt"> January 2015 </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 0.7000% and 0.6825% </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: center"> 1ML </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 343,582 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (1,974 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td colspan="11" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt; font-weight: bold; padding-left: 15pt"> Total designated as hedges </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> 545,474 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 1pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left; text-indent: 0pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: right; text-indent: 0pt"> (7,550 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 1pt; text-indent: 0pt"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td colspan="11" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt; font-weight: bold; padding-left: 25pt"> Total </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> 1,169,599 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left; text-indent: 0pt"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right; text-indent: 0pt"> (17,326 </td> <td nowrap="nowrap" style="text-align: left; padding-bottom: 2.5pt; text-indent: 0pt"> ) </td> </tr> </table>

2010-04-30

2010-07-31

2013-07-31

0.020590

250000000

-4794000

2010-06-30

2010-09-30

2013-08-31

374125000

-4982000

624125000

-9776000

2011-10-31

2013-06-30

2015-01-31

201892000

-5576000

2011-12-31

2012-02-29

2015-01-31

343582000

-1974000

545474000

-7550000

1169599000

-17326000

1600000000

46200000

1393685000

-224086000 -46200000

1600000000

1169599000

2421000

-17326000

3600000

-5785000

-14491000

2014-05-31

2015-01-31

1843000

-6000

5248000

-117000

-64000

-889000

-1000

-1131000

772000

1544000

5958000

1007000

-895000

-2255000

-1248000

Note 16 SERVICING AND SUBSERVICING FEES The following table presents the principal components of servicing and subservicing fees for the periods ended June 30: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 40%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Loan servicing and subservicing fees </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 149,384 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 72,304 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 261,973 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 149,741 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Late charges </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 17,676 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 6,691 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 36,521 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 15,236 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Home Affordable Modification Program (HAMP) fees </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 21,390 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,654 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 34,074 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 17,292 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Loan collection fees </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,830 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,363 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,169 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,917 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Custodial accounts (float earnings) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 663 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 533 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,450 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,072 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 7,396 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 5,292 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 14,255 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 10,084 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 200,339 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 95,837 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 355,442 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 198,342 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 40%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Loan servicing and subservicing fees </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 149,384 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 72,304 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 261,973 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 149,741 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Late charges </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 17,676 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 6,691 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 36,521 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 15,236 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Home Affordable Modification Program (HAMP) fees </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 21,390 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,654 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 34,074 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 17,292 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Loan collection fees </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,830 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,363 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,169 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,917 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Custodial accounts (float earnings) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 663 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 533 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,450 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,072 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 7,396 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 5,292 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 14,255 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 10,084 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 200,339 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 95,837 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 355,442 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 198,342 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> 149384000 72304000 261973000 149741000 17676000 6691000 36521000 15236000 21390000 8654000 34074000 17292000 3830000 2363000 7169000 4917000 663000 533000 1450000 1072000 7396000 5292000 14255000 10084000 Note 17 INTEREST EXPENSE The following table presents the components of interest expense for the periods ended June 30: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 40%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Match funded liabilities </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 35,920 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 18,170 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 67,035 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 10%; text-align: right"> 38,954 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Secured borrowings – owed to securitization investors </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 122 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 198 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 377 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 393 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Lines of credit and other secured borrowings(1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 21,060 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,026 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 35,283 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 17,264 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Debt securities: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt"> 3.25% Convertible Notes </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 459 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 153 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 917 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt"> 10.875% Capital Trust Securities </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 710 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 710 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,420 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,420 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Escrow deposits </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 507 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 250 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 975 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 408 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 58,319 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 21,813 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 105,243 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 59,356 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Includes interest expense of $10,591 and $13,535 for the three and six months ending June 30, 2012, respectively, on the financing liability arising from the sales of Rights to MSRs to HLSS that were accounted for as financings. See Note 4 and Note 12 for additional information regarding these sales and the financing liability. </td> </tr> </table>

10591000

13535000

35920000

18170000

67035000

38954000

122000

198000

377000

393000

21060000

2026000

35283000

17264000

459000

153000

917000

710000

1420000

507000

250000

975000

408000

58319000

21813000

105243000

59356000

Note 18 Basic and Diluted Earnings per Share The following is a reconciliation of the calculation of basic EPS to diluted EPS for the periods ended June 30: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-align: left; text-indent: -11pt; padding-left: 11pt"> Basic EPS: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 44%; text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Net income attributable to Ocwen Financial Corporation </td> <td style="width: 2%; padding-bottom: 2.5pt">   </td> <td style="width: 1%; border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 2.5pt double; text-align: right"> 44,833 </td> <td style="width: 1%; padding-bottom: 2.5pt; text-align: left">   </td> <td style="width: 2%; padding-bottom: 2.5pt">   </td> <td style="width: 1%; border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 2.5pt double; text-align: right"> 26,378 </td> <td style="width: 1%; padding-bottom: 2.5pt; text-align: left">   </td> <td style="width: 2%; padding-bottom: 2.5pt">   </td> <td style="width: 1%; border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 2.5pt double; text-align: right"> 64,182 </td> <td style="width: 1%; padding-bottom: 2.5pt; text-align: left">   </td> <td style="width: 2%; padding-bottom: 2.5pt">   </td> <td style="width: 1%; border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="width: 10%; border-bottom: Black 2.5pt double; text-align: right"> 48,452 </td> <td style="width: 1%; padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Weighted average shares of common stock </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 134,856,101 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 100,943,402 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 132,752,848 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 100,853,424 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Basic EPS </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.33 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.26 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.48 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.48 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-decoration: underline; text-align: left; text-indent: -11pt; padding-left: 11pt"> Diluted EPS: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Net income attributable to Ocwen Financial Corporation </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 44,833 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 26,378 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 64,182 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 48,452 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Interest expense on Convertible Notes, net of tax (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 294 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 98 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 588 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Adjusted net income attributable to Ocwen Financial Corporation </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 44,833 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 26,672 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 64,280 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 49,040 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Weighted average shares of common stock </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 134,856,101 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 100,943,402 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 132,752,848 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 100,853,424 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Effect of dilutive elements: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt"> Convertible Notes (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,637,224 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,028,868 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,637,224 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt"> Stock options </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,297,798 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,529,962 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 3,317685 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,454,033 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Common stock awards </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,474 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,421 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Dilutive weighted average shares of common stock </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 138,155,373 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 108,110,588 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 138,100,822 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left">   </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 107,944,681 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt"> Diluted EPS </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.32 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.25 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.47 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 0.45 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Stock options excluded from diluted EPS computation: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt"> Anti-dilutive(2) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 166,250 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 20,000 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 158,750 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 20,000 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt"> Market-based(3) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 558,750 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,615,000 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 558,750 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,615,000 </td> <td style="text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Prior to the redemption of the Convertible Notes in March 2012, we computed their effect on diluted EPS using the if-converted method. Interest expense and related amortization costs applicable to the Convertible Notes, net of income tax, were added back to net income. We assumed the conversion of the Convertible Notes into shares of common stock for purposes of computing diluted EPS unless the effect was anti-dilutive. As disclosed in Note 13, we issued 4,635,159 shares of common stock upon conversion of the Convertible Notes. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (2) </td> <td style="text-indent: 0in; line-height: 12pt"> These options were anti-dilutive because their exercise price was greater than the average market price of our stock. </td> </tr> <tr style="vertical-align: top"> <td style="text-indent: 0in; line-height: 12pt; font: 10pt Times New Roman, Times, Serif"> (3) </td> <td style="text-indent: 0in; line-height: 12pt"> Options that begin vesting upon the achievement of certain performance criteria related to OCN’s stock price and an annualized rate of return to investors. </td> </tr> </table>

4635159

294000

98000

588000

44833000

26672000

64280000

49040000

4637224

2028868

4637224

3297798

2529962

3317685

2454033

1474

1421

166250

20000

158750

20000

558750000 1615000000 558750000 1615000000

Note 19 Business Segment Reporting Our business segments reflect the internal reporting that we use to evaluate operating performance of products and services and to assess the allocation of our resources. A brief description of our current business segments is as follows: Servicing. Through this segment, we provide residential and commercial mortgage loan servicing, special servicing and asset management services. We earn fees for providing these services to owners of the mortgage loans and foreclosed real estate. In most cases, we provide these services either because we purchased the MSRs from the owner of the mortgage or because we entered into a subservicing or special servicing agreement with the entity that owns the MSR. Subprime loans represent the largest category, or strata of the residential loans that we service. Subprime loans represent residential loans that were made to borrowers who generally did not qualify under guidelines of Fannie Mae and Freddie Mac (nonconforming loans) or have subsequently become delinquent. This segment is primarily comprised of our core residential servicing business. Corporate Items and Other. Corporate Items and Other includes items of revenue and expense that are not directly related to a business, business activities that are individually insignificant, interest income on short-term investments of cash and certain corporate expenses. Loans held for resale, Investments in unconsolidated entities and Debt securities are also included in Corporate Items and Other. Other business activities included in Corporate Items and Other that are not considered to be of continuing significance include our affordable housing investment activities. We allocate interest income and expense to each business segment for funds raised or for funding of investments made, including interest earned on cash balances and short-term investments and interest incurred on corporate debt. We also allocate expenses generated by corporate support services to each business segment. Financial information for our segments is as follows: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="text-align: center; padding-left: 11pt; text-indent: -11pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Servicing </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Corporate Items and Other </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Corporate Eliminations </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Business Segments Consolidated </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-indent: -11pt; padding-left: 11pt"> Results of Operations </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the three months ended June 30, 2012 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 36%; text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 210,411 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 1,204 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> (230 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 211,385 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 80,940 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 5,099 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (131 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 85,908 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 129,471 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,895 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (99 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 125,477 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,038 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,038 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (58,139 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (180 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (58,319 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,070 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (201 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 99 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 968 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other income (expense), net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (57,069 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,657 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 99 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (55,313 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 72,402 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (2,238 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 70,164 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the three months ended June 30, 2011 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 105,493 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 635 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (291 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 105,837 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 40,799 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,630 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (175 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 42,254 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 64,694 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (995 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (116 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 63,583 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 34 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,255 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,289 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (21,751 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (62 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (21,813 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (86 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,053 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 116 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,023 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other income (expense), net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (21,803 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (860 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 116 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (22,547 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 42,891 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (1,855 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 41,036 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the six months ended June 30, 2012 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 374,604 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,862 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (535 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 375,931 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 163,819 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 8,495 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (279 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 172,035 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 210,785 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (6,633 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (256 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 203,896 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,350 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,350 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (104,665 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (578 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (105,243 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 759 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,735 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 256 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,720 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other income (expense), net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (103,906 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 37 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 256 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (103,613 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 106,879 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (6,596 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 100,283 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the six months ended June 30, 2011 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 216,362 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,107 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (626 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 216,843 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 80,581 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 3,201 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (329 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 83,453 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 135,781 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,094 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (297 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 133,390 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 81 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,377 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,458 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (59,252 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (104 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (59,356 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,061 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (4,325 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 297 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,967 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other expense, net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (58,110 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (52 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 297 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (57,865 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 77,671 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (2,146 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 75,525 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-align: left; text-indent: -11pt; padding-left: 11pt"> Total Assets </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> June 30, 2012 </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 4,978,986 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 395,876 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 5,374,862 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> December 31, 2011 </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 4,310,354 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 426,803 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 4,737,157 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> June 30, 2011 </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,893,917 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 394,832 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 2,288,749 </td> <td style="text-align: left">   </td> </tr> </table> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 5%; text-indent: 0in; line-height: 12pt"> (1) </td> <td style="width: 95%; text-indent: 0in; line-height: 12pt"> Depreciation and amortization expense are as follows: </td> </tr> </table> <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Servicing </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Corporate Items and Other </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Business Segments Consolidated </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the three months ended June 30, 2012: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 49%; text-align: left; text-indent: -11pt; padding-left: 11pt"> Depreciation expense </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 419 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 686 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 1,105 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Amortization of MSRs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 19,097 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 19,097 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt discount </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 735 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 735 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt issuance costs – senior secured term loan </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 923 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 923 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the three months ended June 30, 2011: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Depreciation expense </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 25 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 112 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 137 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Amortization of MSRs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 9,926 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 9,926 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt discount </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,297 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,297 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt issuance costs – senior secured term loan </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 833 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 833 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the six months ended June 30, 2012: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Depreciation expense </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 674 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,263 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,937 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Amortization of MSRs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 33,411 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 33,411 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt discount </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,480 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,480 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt issuance costs – senior secured term loan </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,843 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 1,843 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the six months ended June 30, 2011: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Depreciation expense </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 50 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 837 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 887 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Amortization of MSRs </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 18,849 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 18,849 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt discount </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,343 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,343 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Amortization of debt issuance costs – senior secured term loan </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,604 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 8,604 </td> <td style="text-align: left">   </td> </tr> </table>

<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="text-align: center; padding-left: 11pt; text-indent: -11pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Servicing </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Corporate Items and Other </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Corporate Eliminations </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Business Segments Consolidated </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-indent: -11pt; padding-left: 11pt"> Results of Operations </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the three months ended June 30, 2012 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 36%; text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 210,411 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 1,204 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> (230 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 211,385 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 80,940 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 5,099 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (131 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 85,908 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 129,471 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,895 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (99 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 125,477 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,038 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,038 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (58,139 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (180 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (58,319 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,070 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (201 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 99 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 968 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other income (expense), net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (57,069 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,657 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 99 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (55,313 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 72,402 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (2,238 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 70,164 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the three months ended June 30, 2011 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 105,493 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 635 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (291 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 105,837 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 40,799 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,630 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (175 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 42,254 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 64,694 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (995 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (116 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 63,583 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 34 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,255 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 2,289 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (21,751 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (62 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (21,813 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (86 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,053 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 116 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,023 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other income (expense), net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (21,803 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (860 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 116 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (22,547 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 42,891 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (1,855 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 41,036 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the six months ended June 30, 2012 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 374,604 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,862 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (535 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 375,931 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 163,819 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 8,495 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (279 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 172,035 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 210,785 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (6,633 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (256 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 203,896 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,350 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,350 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (104,665 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (578 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (105,243 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 759 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (3,735 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 256 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,720 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other income (expense), net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (103,906 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 37 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 256 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (103,613 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 106,879 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (6,596 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 100,283 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-decoration: underline; text-indent: -11pt; padding-left: 11pt"> For the six months ended June 30, 2011 </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt"> Revenue </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 216,362 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,107 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> (626 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 216,843 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Operating expenses (1) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 80,581 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 3,201 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (329 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 83,453 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt; padding-bottom: 1pt"> Income (loss) from operations </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 135,781 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,094 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (297 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 133,390 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 11pt"> Other income (expense), net: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest income </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 81 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,377 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 4,458 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt"> Interest expense (1) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (59,252 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (104 </td> <td style="text-align: left"> ) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> (59,356 </td> <td style="text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> Other </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 1,061 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (4,325 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 297 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (2,967 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 20pt; padding-bottom: 1pt"> Other expense, net </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (58,110 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (52 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 297 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> (57,865 </td> <td style="padding-bottom: 1pt; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt; padding-bottom: 2.5pt"> Income (loss) before income taxes </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 77,671 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (2,146 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> — </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 75,525 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; text-indent: -11pt; padding-left: 15pt">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: left">   </td> <td style="border-bottom: #EAF9E8 1pt solid; text-align: right">   </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-align: left; text-indent: -11pt; padding-left: 11pt"> Total Assets </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> June 30, 2012 </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 4,978,986 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 395,876 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 5,374,862 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> December 31, 2011 </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 4,310,354 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 426,803 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 4,737,157 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 11pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: left">   </td> <td style="border-bottom: #EAF9E8 2.5pt double; text-align: right">   </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 15pt"> June 30, 2011 </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 1,893,917 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 394,832 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 2,288,749 </td> <td style="text-align: left">   </td> </tr> </table>

210411000

1204000

-230000

211385000

80940000

5099000

-131000

85908000

129471000

-3895000

-99000

125477000

2038000

58139000

180000

58319000

1070000

-201000

99000

968000

-57069000

1657000

99000

-55313000

72402000

-2238000

70164000

105493000

635000

-291000

105837000

40799000

1630000

-175000

42254000

64694000

-995000

-116000

63583000

34000

2255000

2289000

21751000

62000

21813000

-86000

-3053000

116000

-3023000

-21803000

-860000

116000

-22547000

42891000

-1855000

41036000

374604000

1862000

-535000

375931000

163819000

8495000

-279000

172035000

210785000

-6633000

-256000

203896000

4350000

104665000

578000

105243000

759000

-3735000

256000

-2720000

-103906000

37000

256000

-103613000

106879000

-6596000

100283000

216362000

1107000

-626000

216843000

80581000

3201000

-329000

83453000

135781000

-2094000

-297000

133390000

81000

4377000

4458000

59252000

104000

59356000

1061000

-4325000

297000

-2967000

-58110000

-52000

297000

-57865000

77671000

-2146000

75525000

4978986000

395876000

5374862000

4310354000

426803000

4737157000

1893917000

394832000

2288749000

419000

686000

1105000

19097000

735000

923000

25000

112000

137000

9926000

1297000

833000

674000

1263000

1937000

33411000

1480000

1843000

50000

837000

887000

18849000

7343000

8604000

Note 20 Related Party Transactions For purposes of governing certain of the ongoing relationships between Ocwen and Altisource after the spin-off in August 2009, the companies entered into certain agreements to provide to each other services in such areas as human resources, vendor management, corporate services, six sigma, quality assurance, quantitative analytics, treasury, accounting, tax matters, risk management, law, strategic planning, compliance and other areas. Altisource also provides certain technology products and support services to Ocwen, and Ocwen has agreed to make available to Altisource certain data from Ocwen’s servicing portfolio in exchange for a per asset fee. Ocwen subleases from Altisource its principal executive office space in Atlanta, Georgia under an agreement entered into in 2010. Ocwen and Altisource also each hold a 49% equity interest in Correspondent One, a company that facilitates the purchase of conforming and government-guaranteed residential mortgages from approved mortgage originators and resells the mortgages to secondary market investors. As disclosed in Note 4, Ocwen and HLSS Management entered into an agreement to provide to each other certain professional services including valuation analysis of potential MSR acquisitions, treasury management services and other similar services, legal, licensing and regulatory compliance support services, risk management services and other similar services. Ocwen’s Chairman of the Board of Directors, William C. Erbey, also serves as Chairman of the Board for both Altisource and HLSS. As a result, he has obligations to Ocwen as well as to Altisource and HLSS. Mr. Erbey currently owns approximately 13% of the common stock of Ocwen, approximately 25% of the common stock of Altisource and approximately 5% of the common stock of HLSS. The following table summarizes our transactions with related parties for the periods ended June 30, and amounts receivable from or payable to related parties: <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-align: left; text-indent: -11pt; padding-left: 11pt"> Revenues and Expenses: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold; text-indent: -11pt; padding-left: 15pt"> Altisource: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 35%; text-indent: -11pt; padding-left: 20pt"> Revenues </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 4,461 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 2,473 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 8,073 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 5,379 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 20pt"> Expenses </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,182 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,301 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 13,711 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 10,392 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-indent: -11pt; padding-left: 15pt"> HLSS: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 20pt"> Revenues </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 30 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 40 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 20pt"> Expenses </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 741 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 993 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> </tr> </table> <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="font-weight: bold; padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> June 30, 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> December 31, 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-align: left; text-indent: -11pt; padding-left: 11pt"> Net Receivable (Payable) </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 60%; text-indent: -11pt; padding-left: 15pt"> Altisource </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> (863 </td> <td style="width: 1%; text-align: left"> ) </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 15%; text-align: right"> (1,965 </td> <td style="width: 1%; text-align: left"> ) </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 15pt; padding-bottom: 1pt"> HLSS </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> 4,058 </td> <td style="padding-bottom: 1pt; text-align: left">   </td> <td style="padding-bottom: 1pt">   </td> <td style="border-bottom: Black 1pt solid; text-align: left">   </td> <td style="border-bottom: Black 1pt solid; text-align: right"> — </td> <td style="padding-bottom: 1pt; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 11pt; padding-bottom: 2.5pt">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> 3,195 </td> <td style="padding-bottom: 2.5pt; text-align: left">   </td> <td style="padding-bottom: 2.5pt">   </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> $ </td> <td style="border-bottom: Black 2.5pt double; text-align: right"> (1,965 </td> <td style="padding-bottom: 2.5pt; text-align: left"> ) </td> </tr> </table>

0.49

0.13 0.25 0.05 <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Three months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> Six months </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom"> <td style="padding-left: 11pt; text-indent: -11pt; padding-bottom: 1pt">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2012 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> <td style="font-weight: bold; padding-bottom: 1pt">   </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"> 2011 </td> <td style="padding-bottom: 1pt; font-weight: bold">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-align: left; text-indent: -11pt; padding-left: 11pt"> Revenues and Expenses: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold; text-indent: -11pt; padding-left: 15pt"> Altisource: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="width: 35%; text-indent: -11pt; padding-left: 20pt"> Revenues </td> <td style="width: 3%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 4,461 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 2,473 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 8,073 </td> <td style="width: 1%; text-align: left">   </td> <td style="width: 2%">   </td> <td style="width: 1%; text-align: left"> $ </td> <td style="width: 12%; text-align: right"> 5,379 </td> <td style="width: 1%; text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 20pt"> Expenses </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 7,182 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 5,301 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 13,711 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 10,392 </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="font-weight: bold; text-indent: -11pt; padding-left: 15pt"> HLSS: </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right">   </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-indent: -11pt; padding-left: 20pt"> Revenues </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 30 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> 40 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left"> $ </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(234,249,232)"> <td style="text-indent: -11pt; padding-left: 20pt"> Expenses </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 741 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> 993 </td> <td style="text-align: left">   </td> <td>   </td> <td style="text-align: left">   </td> <td style="text-align: right"> — </td> <td style="text-align: left">   </td> </tr> </table>

4461000

2473000

8073000

5379000

7182000

5301000

13711000

10392000

30000

40000

741000

993000

-863000

-1965000

4058000

3195000

-1965000

Note 21 REGULATORY REQUIREMENTS Our business is subject to extensive regulation by federal, state and local governmental authorities, including the Federal Trade Commission (FTC), the federal Consumer Financial Protection Bureau (CFPB), the SEC and various state agencies that license, audit and conduct examinations of our mortgage servicing and collection activities in a number of states. From time to time, we also receive requests from federal, state and local agencies for records, documents and information relating to our policies, procedures and practices regarding our loan servicing and debt collection business activities. We incur significant ongoing costs to comply with new and existing laws and governmental regulation of our business. We must comply with a number of federal, state and local consumer protection laws including, among others, the Gramm-Leach-Bliley Act, the Fair Debt Collection Practices Act, the Real Estate Settlement Procedures Act (RESPA), the Truth in Lending Act (TILA), the Fair Credit Reporting Act, the Servicemembers Civil Relief Act, Homeowners Protection Act, the Federal Trade Commission Act and, more recently, the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), and state foreclosure laws. These statutes apply to debt collection, use of credit reports, safeguarding of non−public personally identifiable information about our customers, foreclosure and claims handling, investment of and interest payments on escrow balances and escrow payment features, and mandate certain disclosures and notices to borrowers. These requirements can and do change as statutes and regulations are enacted, promulgated or amended. In April 2012, the CFPB announced that it is considering new rules under the Dodd-Frank Act that would require mortgage servicers to (i) warn borrowers before any interest rate adjustments on their mortgages and provide alternatives for borrowers to consider, (ii) provide monthly mortgage statements that explicitly breakdown principal, interest, fees, escrow and due dates, (iii) provide options for avoiding lender-placed, or “forced-placed” insurance, (iv) provide early outreach to borrowers in danger of default regarding options to avoid foreclosure, (v) provide that payments be credited to borrower accounts the day they are received, (vi) require borrower account records be kept current, (vii) provide increased accessibility to servicing staff and records for borrowers and (viii) investigate errors within 30 days and improve staff accessibility to consumers, among other things. The CFPB stated that it will seek public comment before formally promulgating the rules which are expected to be finalized by early next year. There are a number of foreign laws and regulations that are applicable to our operations in India and Uruguay including acts that govern licensing, employment, safety, taxes, insurance, and the laws and regulations that govern the creation, continuation and the winding up of companies as well as the relationships between the shareholders, the company, the public and the government in both countries.

Note 22 Commitments and Contingencies Litigation In September 2006, the Bankruptcy Trustee in Chapter 7 proceedings involving American Business Financial Services, Inc. (ABFS) brought an action against multiple defendants, including Ocwen, in Bankruptcy Court. The action arises out of Debtor-in-Possession financing to ABFS by defendant Greenwich Capital Financial Products, Inc. and the subsequent purchases by Ocwen of MSRs and certain residual interests in mortgage-backed securities previously held by ABFS. The Trustee filed an amended complaint in March 2007 alleging various claims against Ocwen including turnover, fraudulent transfers, accounting, breach of fiduciary duty, aiding and abetting breach of fiduciary duty, breach of contract, fraud, civil conspiracy and conversion. The Trustee seeks compensatory damages in excess of $100,000 and punitive damages jointly and severally against all defendants. In April 2008, Ocwen filed an answer denying all charges and a counterclaim for breach of contract, fraud, negligent misrepresentation and indemnification in connection with the MSR purchase transaction. Fact discovery is complete, and both Ocwen and the Trustee have filed motions for partial summary judgment. We believe that the Trustee’s allegations against Ocwen are without merit and intend to continue to vigorously defend against this matter. We are unable to provide any estimate of possible loss or range of possible loss at this time. We are subject to various other pending legal proceedings, including those subject to loss sharing provisions of the Litton Acquisition and the Saxon MSR Transaction. In our opinion, the resolution of those proceedings will not have a material effect on our financial condition, results of operations or cash flows. Tax Matters India tax authorities issued income tax assessment orders with respect to assessment years 2006 - 2007 and 2007 - 2008. The proposed adjustments would impose upon OFSPL additional tax and interest of INR 156,718 ($2,783), and penalties may be assessed. Ocwen and OFSPL intend to vigorously contest the assessments and do not believe they have violated any statutory provision or rule. OFSPL has submitted appeals in both cases to the India Income Tax Appellate Tribunal and petitioned for Competent Authority assistance under the Mutual Agreement Procedures of the U.S./India income tax treaty. OFSPL has furnished bank guarantees of INR 205,473 ($3,649) related to transfer pricing matters, paid INR 7,647 ($136) towards non-transfer pricing issues and obtained abeyance on the demand of INR 4,376 ($78) relating to non-transfer pricing matters. Due to uncertainties inherent in the appeals processes, Ocwen and OFSPL cannot currently estimate any additional exposure beyond the amount currently assessed and cannot predict when these tax matters will be resolved. Competent Authority relief should preserve Ocwen’s right to offset any potential increase in India tax against Ocwen’s U.S. taxes. Other Information In July 2010, OLS received two subpoenas from the Federal Housing Finance Agency (FHFA) as conservator for Freddie Mac and Fannie Mae in connection with ten private label mortgage securitization transactions where Freddie Mac and Fannie Mae have invested. The transactions include mortgage loans serviced but not originated by OLS or its affiliates. There is no allegation of wrongdoing in the subpoenas against OLS, and we are cooperating with the FHFA’s requests. On November 24, 2010, OLS received a Civil Investigative Demand (CID) from the Federal Trade Commission (FTC) requesting documents and information regarding various servicing activities. On June 6, 2012, the FTC notified OLS that it had referred this CID to the CFPB. There is no allegation of wrongdoing against OLS in this CID or in the notice of referral to the CFPB, and we are cooperating with the FTC’s and the CFPB’s requests. On November 7, 2011, OLS received a CID from the Attorney General’s Office of the Commonwealth of Massachusetts requesting documents and information regarding certain foreclosures executed in Massachusetts. There is no allegation of wrongdoing against OLS in the Massachusetts Attorney General CID, and we are cooperating with the Massachusetts Attorney General’s request. On January 18, 2012, OLS received a subpoena from the New York Department of Financial Services requesting documents regarding OLS’ policies, procedures and practices regarding lender placed or “force placed” insurance which is required to be provided for borrowers who allow their hazard insurance policies to lapse. There is no allegation of wrongdoing against OLS in the subpoena, and we are cooperating with the New York Department of Financial Service’s request. Ongoing inquiries into servicer foreclosure processes could result in additional actions by state or federal governmental bodies, regulators or the courts that could result in temporary moratoria on mortgage foreclosures or an extension of foreclosure timelines, which may be applicable generally to the servicing industry or to us in particular. In addition, a number of our match funded advance facilities contain provisions that limit the eligibility of advances to be financed based on the length of time that advances are outstanding, and two of our match funded advance facilities have provisions that limit new borrowings if average foreclosure timelines extend beyond a certain time period, either of which, if such provisions applied, could adversely affect liquidity by reducing our average effective advance rate. In addition, governmental bodies may impose regulatory fines or penalties as a result of our foreclosure processes or impose additional requirements or restrictions on such activities which could increase our operating expenses. Increases in the amount of advances and the length of time to recover advances, fines or increases in operating expenses, and decreases in the advance rate and availability of financing for advances would lead to increased borrowings, reduced cash and higher interest expense which could negatively impact our liquidity and profitability. With respect to the Servicing segment, Ocwen is not the title owner of record for any foreclosed real estate, and neither Ocwen nor any of its subsidiaries make any type of direct title warranty to a subsequent purchaser of foreclosed real estate. Ocwen has been a party to loan sales and securitizations dating back to the 1990s. The majority of securities issued in these transactions has been retired and are not subject to put-back risk. There is one remaining securitization with an original UPB of approximately $200,000 where Ocwen provided representations and warranties and the loans were originated in the last decade. Ocwen performed due diligence on each of the loans included in this securitization. The outstanding UPB of this securitization was $43,450 at June 30, 2012, and the outstanding balance of the notes was $43,355. Ocwen is not aware of any inquiries or claims regarding loan put-backs for any transaction where we made representations and warranties. We do not expect loan put-backs to result in any material change to our financial position, operating results or liquidity.

100000000

156718000 2783000 205473000 3649000 7647000 136000 4376000 78000 200000000 43450000 43355000

Note 23 Subsequent eventS On July 31, 2012, we provided notice to all holders of our 10.875% Capital Securities of our redemption of the $26,119 outstanding principal balance. The redemption will occur on August 31, 2012 at a price of 102.719% of the outstanding principal, plus accrued and unpaid interest. On August 1, 2012, we completed a second flow sale to HLSS Holdings of Rights to MSRs for approximately $2.1 billion of UPB and related servicing advances under terms similar to the initial flow sale on May 1, 2012. Ocwen received proceeds of $74.4 million at closing. Of that amount, $7.2 million was used to prepay a portion of Ocwen’s senior secured term loan borrowing and $45.4 million was used to repay a portion of the match funded liabilities related to the advances.

26119000

1.02719

2100000000

74400

7200

45400