This article first appeared on GuruFocus.
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GAAP Net Loss: $1.95 per share for Q3 2026.
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Distributable Earnings: $0.38 per share for Q3 2026.
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Distributable Earnings Prior to Realized Gains/Losses: $0.42 per share, down $0.06 from prior quarter; benefited ~$0.04 per share from a tax benefit on an owned real estate asset.
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Dividends: $0.47 per share paid for Q3 2026; $0.30 per share declared for Q4 2026, payable January 15, 2027.
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Book Value: $17.06 per share at Q3 end, down 12% from Q2; includes $3.64 per share of total CECL reserves ($0.97 general, $2.67 asset-specific).
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Loan Sales: Nearly $1 billion sold since last quarter at weighted average price of $0.93 on the dollar; included six legacy office loans (~$500 million) and two legacy multifamily loans (~$200 million).
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Repayments: $2.3 billion received in Q3, highest since Q4 2021; nearly 90% were legacy loans.
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Impairments: ~$800 million of loans impaired in the quarter, mostly legacy office and one hotel loan; $36 million impairment on three owned real estate assets.
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Watch List: Reduced ~56% quarter-over-quarter to lowest level since 2019; only one $57 million office watch list loan not previously impaired.
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Portfol...