Quarterly report pursuant to Section 13 or 15(d)

REAL ESTATE SECURITIES - Holdings in an Unrealized Loss Position and the Associated Intent to Sell (Details 2)

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REAL ESTATE SECURITIES - Holdings in an Unrealized Loss Position and the Associated Intent to Sell (Details 2) (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2013
Amortized Cost Basis $ 746,373 [1],[2]
RE Securities Intended to Sell
  
Fair Value   
Amortized Cost Basis   
Unrealized Credit Losses    [3]
Unrealized Non-Credit Losses N/A [4]
RE Securities More Likely to Sell
  
Fair Value    [5]
Amortized Cost Basis    [5]
Unrealized Credit Losses    [3],[5]
Unrealized Non-Credit Losses N/A [4],[5]
RE Securities No Intent to Sell Credit Impaired
  
Fair Value 2,139
Amortized Cost Basis 2,160
Unrealized Credit Losses (4,359) [3]
Unrealized Non-Credit Losses (21) [4]
RE Securities No Intent to Sell Non Credit Impaired
  
Fair Value 259,228
Amortized Cost Basis 260,724
Unrealized Credit Losses    [3]
Unrealized Non-Credit Losses (1,496) [4]
Securities in an Unrealized Loss Position
  
Fair Value 261,367
Amortized Cost Basis 262,884
Unrealized Credit Losses (4,359) [3]
Unrealized Non-Credit Losses $ (1,517) [4]
[1] (G) The total outstanding face amount was $0.4 billion for fixed rate securities and $0.6 billion for floating rate securities.
[2] (B) Net of discounts (or gross of premiums) and after OTTI, including impairment taken during the period ended September 30, 2013.
[3] (B) This amount is required to be recorded as other-than-temporary impairment through earnings. In measuring the portion of credit losses, Newcastle's management estimates the expected cash flow for each of the securities. This evaluation includes a review of the credit status and the performance of the collateral supporting those securities, including the credit of the issuer, key terms of the securities and the effect of local, industry and broader economic trends. Significant inputs in estimating the cash flows include management's expectations of prepayment speeds, default rates and loss severities. Credit losses are measured as the decline in the present value of the expected future cash flows discounted at the investment's effective interest rate.
[4] (C) This amount represents unrealized losses on securities that are due to non-credit factors and is required to be recorded through other comprehensive income.
[5] (A) Newcastle may, at times, be more likely than not to be required to sell certain securities for liquidity purposes. While the amount of the securities to be sold may be an estimate, and the securities to be sold have not yet been identified, Newcastle must make its best estimate, which is subject to significant judgment regarding future events, and may differ materially from actual future sales.