Invesco Mortgage Capital Inc (IVR)

[getmoreshares]

As previously reported, the Company resumed investing in Agency residential mortgage-backed securities (“Agency RMBS”) in July 2020. The Company is providing the following portfolio update as of close of business on September 18, 2020:

•The Company had a total investment portfolio of approximately $6.0 billion (excluding cash and to-be-announced securities (“TBAs”)) consisting of 91% Agency RMBS and 9% commercial credit investments.
•The Company began investing in Agency RMBS TBAs during the third quarter and had net TBA purchase contracts with a notional balance of $900 million.
•The Company repaid the remaining balance of its secured loans during the third quarter ($740 million as of June 30, 2020).
•The Company had approximately $5.2 billion of repurchase agreement borrowings that were collateralized by Agency RMBS. The Company's commercial credit investments were unencumbered.
•The Company had a cash balance of approximately $408 million; approximately $146 million of the balance was posted as collateral for interest rate swaps with a notional balance of $4.6 billion.
•The Company's book value per common share* was estimated to be in the range of $3.29-$3.39, up from $3.17 as of June 30, 2020. The increase in book value per common share was primarily due to realized and unrealized gains on credit assets resulting from price recoveries during the third quarter and a one-time gain on settlement of a debt obligation.