|
FOR IMMEDIATE RELEASE
|
CONTACTS:
|
Mike
McMahon
|
|
Redwood Trust,
Inc.
|
|
(415) 384-3805
|
|
Monday, November 16,
2009
|
|
|
|
|
|
Martin S.
Hughes
|
|
|
|
(415)
389-7373
|
REDWOOD
TRUST DECLARES $0.25 PER SHARE DIVIDEND
FOR
THE FOURTH QUARTER OF 2009
MILL
VALLEY, CA – Monday,
November 16,
2009 – Redwood Trust, Inc. (NYSE:RWT) today
announced
that its Board of Directors authorized the declaration of a fourth
quarter regular dividend of $0.25 per share. The fourth quarter 2009 dividend is
payable on January 21, 2010 to stockholders of record on December 31, 2009. As
Redwood has previously indicated, it will not pay a special dividend for
2009.
The Board
of Directors also announced its intention to continue to pay a regular dividend
of $0.25 per share per quarter in 2010.
“The
payment of our fourth quarter dividend will mark our 42nd
consecutive quarterly dividend,” said George E. Bull, Redwood’s Chairman and
CEO.
For more
information about Redwood Trust, Inc., please visit our website at: www.redwoodtrust.com.
Cautionary
Statement: This press release contains forward-looking statements
within the meaning of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements involve numerous risks
and uncertainties. Our actual results may differ from our beliefs, expectations,
estimates, and projections and, consequently, you should not rely on these
forward-looking statements as predictions of future events. Forward-looking
statements are not historical in nature and can be identified by words such as
“anticipate,” “estimate,” “will,” “should,” “expect,” “believe,” “intend,”
“seek,” “plan” and similar expressions or their negative forms, or by references
to strategy, plans, or intentions. In particular, statements regarding dividends
intended to be paid in 2010 are forward looking in nature. These forward-looking
statements are subject to risks and uncertainties, including, among other
things, those described in our Annual Report on Form 10-K for the period ending
December 31, 2008 under the caption “Risk Factors.” Other risks, uncertainties,
and factors that could cause actual results to differ materially from those
projected are described below and may be described from time to time in reports
we file with the Securities and Exchange Commission (SEC), including reports on
Forms 10-Q and 8-K. We undertake no obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events, or otherwise.
Important
factors, among others, that may affect our actual results include: changes in
interest rates; changes in mortgage prepayment rates; the timing of credit
losses within our portfolio; our exposure to adjustable-rate and negative
amortization mortgage loans; the state of the credit markets and other general
economic conditions, particularly as they affect the price of earning assets and
the credit status of borrowers; the concentration of the credit risks we are
exposed to; the ability of counterparties to satisfy their obligations to us;
legislative and regulatory actions affecting the mortgage industry or our
business; the availability of high quality assets for purchase at attractive
prices; declines in home prices and commercial real estate prices; increases in
mortgage payment delinquencies; changes in the level of liquidity in the capital
markets which may adversely affect our ability to finance our real estate asset
portfolio; changes in liquidity in the market for real estate securities, the
re-pricing of credit risk in the capital markets, inaccurate ratings of
securities by rating agencies, rating agency downgrades of securities, and
increases in the supply of real estate securities available-for-sale, each of
which may adversely affect the values of securities we own; the extent of
changes in the values of securities we own and the impact of adjustments
reflecting those changes on our income statement and balance sheet, including
our stockholders’ equity; our ability to maintain the positive stockholders’
equity necessary to enable us to pay the dividends required to maintain our
status as a real estate investment trust for tax purposes; our ability to
generate the amount of cash flow we expect from our investment portfolio;
changes in our investment, financing, and hedging strategies and the new risks
that those changes may expose us to; changes in the competitive landscape within
our industry, including changes that may affect our ability to retain or attract
personnel; our failure to manage various operational risks associated with our
business; our failure to maintain appropriate internal controls over financial
reporting; our failure to properly administer and manage our securitization
entities; risks we may be exposed to if we expand our business activities, such
as risks relating to significantly increasing our direct holdings of loans;
limitations imposed on our business due to our REIT status and our status as
exempt from registration under the Investment Company Act of 1940; our ability
to successfully invest our excess capital and raise additional capital to fund
our investing activity; and other factors not presently identified.
