Quarterly report pursuant to Section 13 or 15(d)

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES - Segment Reporting (Details)

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SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES - Segment Reporting (Details) (USD $)
In Thousands, unless otherwise specified
 3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Dec. 31, 2012
Interest income $ 62,824 $ 77,956 $ 124,156 $ 150,818  
Interest expense 21,998 29,462 44,708 59,627  
Net interest income 40,826 48,494 79,448 91,191  
Impairment (reversal) 3,201 8,499 5,974 1,419  
Other revenues 14,013 515 27,513 1,024  
Other income (loss) 8,090 (4,882) 13,860 23,654  
Property operating expenses 8,409 231 16,772 457  
Depreciation and amortization 4,070 2 8,149 4  
Other operating expenses 19,107 11,576 33,919 19,812  
Income (loss) from continuing operations 28,142 23,819 56,007 94,177  
Income (loss) from discontinued operations 25,581 6,620 35,729 9,733  
Net income (loss) 53,723 30,439 91,736 103,910  
Preferred dividends (1,395) (1,395) (2,790) (2,790)  
Income (Loss) Available to Common Stockholders 52,328 29,044 88,946 101,120  
Investments 2,502,478   2,502,478    
Cash and restricted cash 278,225   278,225    
Derivative Assets 43,470   43,470   165
Other assets 21,161   21,161    
Total assets 2,845,334   2,845,334   3,945,312
Debt (1,897,460)   (1,897,460)    
Derivative Liabilities (20,197)   (20,197)   (31,576)
Other liabilities (64,051)   (64,051)    
Total liabilities (1,981,708)   (1,981,708)   (2,872,252)
Preferred Stock (61,583)   (61,583)   (61,583)
GAAP book value 802,043   802,043    
Additions to investments in real estate     834     
Non-recourse Senior Living
          
Interest income              
Interest expense 1,246    2,478     
Net interest income (1,246)    (2,478)     
Impairment (reversal)              
Other revenues 13,513    26,510     
Other income (loss) 112    120     
Property operating expenses 8,169    16,285     
Depreciation and amortization 4,017    8,039     
Other operating expenses 2,686    5,074     
Income (loss) from continuing operations (2,493)    (5,246)     
Income (loss) from discontinued operations              
Net income (loss) (2,493)    (5,246)     
Preferred dividends              
Income (Loss) Available to Common Stockholders (2,493)    (5,246)     
Investments 174,541   174,541    
Cash and restricted cash 11,302   11,302    
Derivative Assets 298   298    
Other assets 9,020   9,020    
Total assets 195,161   195,161    
Debt (120,525)   (120,525)    
Derivative Liabilities            
Other liabilities (5,983)   (5,983)    
Total liabilities (126,508)   (126,508)    
Preferred Stock            
GAAP book value 68,653   68,653    
Additions to investments in real estate     705    
Non-Recourse CDOs
          
Interest income 36,638 [1] 56,038 [1] 68,227 [1] 110,440 [1]  
Interest expense 6,819 [1] 17,004 [1] 13,950 [1] 34,640 [1]  
Net interest income 29,819 [1] 39,034 [1] 54,277 [1] 75,800 [1]  
Impairment (reversal) 8,803 [1] 7,742 [1] 11,986 [1] (789) [1]  
Other revenues    [1]    [1]    [1]    [1]  
Other income (loss) 7,178 [1] (5,380) [1] 11,675 [1] 24,533 [1]  
Property operating expenses    [1]    [1]    [1]    [1]  
Depreciation and amortization    [1]    [1]    [1]    [1]  
Other operating expenses 190 [1] 242 [1] 384 [1] 483 [1]  
Income (loss) from continuing operations 28,004 [1] 25,670 [1] 53,582 [1] 100,639 [1]  
Income (loss) from discontinued operations    [1]    [1]    [1]    [1]  
Net income (loss) 28,004 [1] 25,670 [1] 53,582 [1] 100,639 [1]  
Preferred dividends    [1]    [1]    [1]    [1]  
Income (Loss) Available to Common Stockholders 28,004 [1] 25,670 [1] 53,582 [1] 100,639 [1]  
Investments 1,118,367 [1]   1,118,367 [1]    
Cash and restricted cash 7,173 [1]   7,173 [1]    
Derivative Assets    [1]      [1]    
Other assets 4,794 [1]   4,794 [1]    
Total assets 1,130,334 [1]   1,130,334 [1]    
Debt (844,484) [1]   (844,484) [1]    
Derivative Liabilities (20,197) [1]   (20,197) [1]    
Other liabilities (5,715) [1]   (5,715) [1]    
Total liabilities (870,396) [1]   (870,396) [1]    
Preferred Stock    [1]      [1]    
GAAP book value 259,938 [1]   259,938 [1]    
Additions to investments in real estate        [1]    
Unlevered CDOs
          
Interest income 87 [2] 115 [2] 326 [2] 230 [2]  
Interest expense    [2]    [2]    [2]    [2]  
Net interest income 87 [2] 115 [2] 326 [2] 230 [2]  
Impairment (reversal)    [2]    [2]    [2]    [2]  
Other revenues    [2]    [2]    [2]    [2]  
Other income (loss) 71 [2] 84 [2] 145 [2] 176 [2]  
Property operating expenses    [2]    [2]    [2]    [2]  
Depreciation and amortization    [2]    [2]    [2]    [2]  
Other operating expenses    [2]    [2]    [2] 1 [2]  
Income (loss) from continuing operations 158 [2] 199 [2] 471 [2] 405 [2]  
Income (loss) from discontinued operations    [2]    [2]    [2]    [2]  
Net income (loss) 158 [2] 199 [2] 471 [2] 405 [2]  
Preferred dividends    [2]    [2]    [2]    [2]  
Income (Loss) Available to Common Stockholders 158 [2] 199 [2] 471 [2] 405 [2]  
Investments 5,440 [2]   5,440 [2]    
Cash and restricted cash    [2]      [2]    
Derivative Assets    [2]      [2]    
Other assets 5 [2]   5 [2]    
Total assets 5,445 [2]   5,445 [2]    
Debt    [2]      [2]    
Derivative Liabilities    [2]      [2]    
Other liabilities    [2]      [2]    
Total liabilities    [2]      [2]    
Preferred Stock    [2]      [2]    
GAAP book value 5,445 [2]   5,445 [2]    
Additions to investments in real estate        [2]    
Non-recourse Other
          
Interest income 16,467 [1],[3] 18,037 [1] 32,774 [1],[3] 36,463 [1]  
Interest expense 12,475 [1],[3] 12,671 [1] 24,858 [1],[3] 25,334 [1]  
Net interest income 3,992 [1],[3] 5,366 [1] 7,916 [1],[3] 11,129 [1]  
Impairment (reversal) (1,421) [1],[3] 1,055 [1] (573) [1],[3] 2,703 [1]  
Other revenues 500 [1],[3] 515 [1] 1,003 [1],[3] 1,024 [1]  
Other income (loss)    [1],[3]    [1]    [1],[3]    [1]  
Property operating expenses 240 [1],[3] 231 [1] 487 [1],[3] 457 [1]  
Depreciation and amortization 53 [1],[3] 2 [1] 110 [1],[3] 4 [1]  
Other operating expenses 691 [1],[3] 970 [1] 1,410 [1],[3] 1,926 [1]  
Income (loss) from continuing operations 4,929 [1],[3] 3,623 [1] 7,485 [1],[3] 7,063 [1]  
Income (loss) from discontinued operations    [1],[3]    [1]    [1],[3]    [1]  
Net income (loss) 4,929 [1],[3] 3,623 [1] 7,485 [1],[3] 7,063 [1]  
Preferred dividends    [1],[3]    [1]    [1],[3]    [1]  
Income (Loss) Available to Common Stockholders 4,929 [1],[3] 3,623 [1] 7,485 [1],[3] 7,063 [1]  
Investments 699,660 [1],[3]   699,660 [1],[3]    
Cash and restricted cash    [1],[3]      [1],[3]    
Derivative Assets    [1],[3]      [1],[3]    
Other assets 117 [1],[3]   117 [1],[3]    
Total assets 699,777 [1],[3]   699,777 [1],[3]    
Debt (630,945) [1],[3],[4]   (630,945) [1],[3],[4]    
Derivative Liabilities    [1],[3]      [1],[3]    
Other liabilities (1,378) [1],[3]   (1,378) [1],[3]    
Total liabilities (632,323) [1],[3]   (632,323) [1],[3]    
Preferred Stock    [1],[3]      [1],[3]    
GAAP book value 67,454 [1],[3]   67,454 [1],[3]    
Additions to investments in real estate     129 [1],[3]    
Recourse
          
Interest income 6,280 [5] 954 13,565 [5] 1,768  
Interest expense 1,569 [5] 293 3,447 [5] 561  
Net interest income 4,711 [5] 661 10,118 [5] 1,207  
Impairment (reversal) 3,738 [5]    3,028 [5]     
Other revenues    [5]       [5]     
Other income (loss) 25 [5]    25 [5]     
Property operating expenses    [5]       [5]     
Depreciation and amortization    [5]       [5]     
Other operating expenses 5 [5]    47 [5]     
Income (loss) from continuing operations 993 [5] 661 6,358 [5] 1,207  
Income (loss) from discontinued operations    [5]       [5]     
Net income (loss) 993 [5] 661 6,358 [5] 1,207  
Preferred dividends    [5]       [5]     
Income (Loss) Available to Common Stockholders 993 [5] 661 6,358 [5] 1,207  
Investments 335,815 [5]   335,815 [5]    
Cash and restricted cash    [5]      [5]    
Derivative Assets 43,172 [5]   43,172 [5]    
Other assets 2,408 [5]   2,408 [5]    
Total assets 381,395 [5]   381,395 [5]    
Debt (311,276) [5]   (311,276) [5]    
Derivative Liabilities    [5]      [5]    
Other liabilities (34) [5]   (34) [5]    
Total liabilities (311,310) [5]   (311,310) [5]    
Preferred Stock    [5]      [5]    
GAAP book value 70,085 [5]   70,085 [5]    
Additions to investments in real estate        [5]    
Unlevered Other
          
Interest income 4,387 [6] 4,328 11,093 [6] 4,851  
Interest expense    [6]       [6]     
Net interest income 4,387 [6] 4,328 11,093 [6] 4,851  
Impairment (reversal) (7,919) [6] (298) (9,177) [6] (495)  
Other revenues    [6]       [6]     
Other income (loss) 704 [6] 414 1,895 [6] (1,055)  
Property operating expenses    [6]       [6]     
Depreciation and amortization    [6]       [6]     
Other operating expenses 143 [6] 12 238 [6] 25  
Income (loss) from continuing operations 12,867 [6] 5,028 21,927 [6] 4,266  
Income (loss) from discontinued operations (13) [6] (14) (29) [6] (31)  
Net income (loss) 12,854 [6] 5,014 21,898 [6] 4,235  
Preferred dividends    [6]       [6]     
Income (Loss) Available to Common Stockholders 12,854 [6] 5,014 21,898 [6] 4,235  
Investments 229,665 [3]   229,665 [3]    
Cash and restricted cash    [3]      [3]    
Derivative Assets    [3]      [3]    
Other assets 2,375 [3]   2,375 [3]    
Total assets 232,040 [3]   232,040 [3]    
Debt    [3]      [3]    
Derivative Liabilities    [3]      [3]    
Other liabilities (776) [3]   (776) [3]    
Total liabilities (776) [3]   (776) [3]    
Preferred Stock    [3]      [3]    
GAAP book value 231,264 [3]   231,264 [3]    
Additions to investments in real estate        [6]    
Corporate
          
Interest income 30 52 102 103  
Interest expense 954 949 1,906 1,903  
Net interest income (924) (897) (1,804) (1,800)  
Impairment (reversal)              
Other revenues              
Other income (loss)              
Property operating expenses              
Depreciation and amortization              
Other operating expenses 15,392 10,465 26,766 17,603  
Income (loss) from continuing operations (16,316) (11,362) (28,570) (19,403)  
Income (loss) from discontinued operations              
Net income (loss) (16,316) (11,362) (28,570) (19,403)  
Preferred dividends (1,395) (1,395) (2,790) (2,790)  
Income (Loss) Available to Common Stockholders (17,711) (12,757) (31,360) (22,193)  
Investments            
Cash and restricted cash 259,750   259,750    
Derivative Assets            
Other assets 2,596   2,596    
Total assets 262,346   262,346    
Debt (51,240)   (51,240)    
Derivative Liabilities            
Other liabilities (50,319)   (50,319)    
Total liabilities (101,559)   (101,559)    
Preferred Stock (61,583)   (61,583)    
GAAP book value 99,204   99,204    
Additions to investments in real estate           
Excess MSRs and Consumer Loans
          
Interest income              
Interest expense              
Net interest income              
Impairment (reversal)              
Other revenues              
Other income (loss)              
Property operating expenses              
Depreciation and amortization              
Other operating expenses              
Income (loss) from continuing operations              
Income (loss) from discontinued operations 25,594 6,634 35,758 9,764  
Net income (loss) 25,594 6,634 35,758 9,764  
Preferred dividends              
Income (Loss) Available to Common Stockholders 25,594 6,634 35,758 9,764  
Investments            
Cash and restricted cash            
Derivative Assets            
Other assets            
Total assets            
Debt            
Derivative Liabilities            
Other liabilities            
Total liabilities            
Preferred Stock            
GAAP book value            
Additions to investments in real estate           
Intersegment Elimination
          
Interest income (1,065) [7] (1,568) [7] (1,931) [7] (3,037) [7]  
Interest expense (1,065) [7] (1,455) [7] (1,931) [7] (2,811) [7]  
Net interest income    [7] (113) [7]    [7] (226) [7]  
Impairment (reversal)    [7]    [7]    [7]    [7]  
Other revenues    [7]    [7]    [7]    [7]  
Other income (loss)    [7]    [7]    [7]    [7]  
Property operating expenses    [7]    [7]    [7]    [7]  
Depreciation and amortization    [7]    [7]    [7]    [7]  
Other operating expenses    [7] (113) [7]    [7] (226) [7]  
Income (loss) from continuing operations    [7]    [7]    [7]    [7]  
Income (loss) from discontinued operations    [7]    [7]    [7]    [7]  
Net income (loss)    [7]    [7]    [7]    [7]  
Preferred dividends    [7]    [7]    [7]    [7]  
Income (Loss) Available to Common Stockholders    [7]    [7]    [7]    [7]  
Investments (61,010) [7]   (61,010) [7]    
Cash and restricted cash    [7]      [7]    
Derivative Assets    [7]      [7]    
Other assets (154) [7]   (154) [7]    
Total assets (61,164) [7]   (61,164) [7]    
Debt 61,010 [7]   61,010 [7]    
Derivative Liabilities    [7]      [7]    
Other liabilities 154 [7]   154 [7]    
Total liabilities 61,164 [7]   61,164 [7]    
Preferred Stock    [7]      [7]    
GAAP book value    [7]      [7]    
Additions to investments in real estate        [7]    
[1] (A) Assets held within CDOs and other non-recourse structures are not available to satisfy obligations outside of such financings, except to the extent Newcastle receives net cash flow distributions from such structures. Furthermore, creditors or beneficial interest holders of these structures have no recourse to the general credit of Newcastle. Therefore, Newcastle's exposure to the economic losses from such structures is limited to its invested equity in them and economically their book value cannot be less than zero. Therefore, impairment recorded in excess of Newcastle's investment, which results in negative GAAP book value for a given non-recourse financing structure, cannot economically be incurred and will eventually be reversed through amortization, sales at gains, or as gains at the deconsolidation or termination of such non-recourse financing structure.
[2] (B) Represents unlevered investments in CDO securities issued by Newcastle. This CDO has been deconsolidated as Newcastle does not have the power to direct the relevant activities of the CDO.
[3] (C) See Schedule of Segment Other Non-Recourse Investments and Debt
[4] * An aggregate face amount of $69.5 million (carrying value of $61.0 million) of debt represents financing provided by the CDO segment (and included as investments in the CDO segment), which is eliminated upon consolidation.
[5] (D) The $311.3 million of recourse debt represents repurchase agreements secured by $335.8 million carrying value of FNMA/FHLMC securities.
[6] (E) See Schedule of Segment Reporting Investments in Unlevered Other Segment
[7] (F) Represents the elimination of investments and financings and their related income and expenses between the CDO segment and other non-recourse segment as the corresponding inter-segment investments and financings are presented on a gross basis within each of these segments.