New Residential Investment Corp. Declares First Quarter 2020 Common and Preferred Stock Dividends and Announces Company Updates

New Residential Investment Corp. (“NRZ,” “New Residential,” the “Company”) announced today that its Board of Directors (the “Board”) has declared first quarter 2020 common and preferred stock dividends, and provided additional Company updates.

Common Stock Dividend

The Board declared a quarterly dividend of $0.05 per common share for the first quarter 2020. The dividend is payable on May 15, 2020 to common shareholders of record on April 15, 2019.

Preferred Stock Dividends

In accordance with the terms of New Residential’s 7.50% Series A Cumulative Redeemable Preferred Stock (“Series A”), the Board declared a Series A dividend for the first quarter 2020 of $0.46875 per share.

In accordance with the terms of New Residential’s 7.125% Series B Cumulative Redeemable Preferred Stock (“Series B”), the Board declared a Series B dividend for the first quarter 2020 of $0.4453125 per share.

In accordance with the terms of New Residential’s 6.375% Series C Cumulative Redeemable Preferred Stock (“Series C”), the Board declared a Series C dividend for the first quarter 2020 (long first period) of $0.4028646 per share.

Dividends for the Series A, Series B and Series C are payable on May 15, 2020 to preferred shareholders of record on April 15, 2020.

“Since our last update on March 13, 2020, markets have evolved considerably and conditions created by the COVID-19 pandemic have greatly impacted the mortgage REIT industry,” said Michael Nierenberg, Chairman, Chief Executive Officer and President of New Residential. “In particular, market dislocations have put significant downward pressure on asset values. In light of these events, we have made a number of decisions to de-risk, increase liquidity and protect our book value. We continue to focus on growing liquidity as we navigate the market during this time.”

“We feel that the decision to reduce our common dividend at this time is prudent in order to preserve liquidity for our Company,” Michael Nierenberg continued. “The Board will evaluate the Company’s ability to pay dividends in future quarters commensurate with our liquidity and the earnings power of our Company and based upon customary considerations, including market conditions.”

Update on Estimated Book Value

The Company announced that estimated book value as of March 27, 2020 is down approximately 25% to 30% from $16.21 as of December 31, 2019.

The estimated book value is based primarily on management’s estimates of its assets as of March 27, 2020 and not on third party valuations. While the Company believes that such estimates are based on reasonable assumptions and information available to it as of March 27, 2020, actual results may vary, and such variations may be material. Furthermore, the extreme volatility and turmoil that currently riles the financial markets makes estimates of asset values even less reliable than usual.