Market Overview

Walter Investment Management Corp. Announces Refinancing Plans


TAMPA, Fla., Oct. 25, 2012 /PRNewswire/ -- Walter Investment Management Corp. (NYSE MKT: WAC) (the "Company") announced today it has engaged Credit Suisse Securities (USA) LLC and Morgan Stanley Senior Funding, Inc. to assist it with the arrangement of a senior secured first lien term loan facility in the aggregate principal amount of up to $600 million and a senior secured revolving credit facility in the aggregate principal amount of up to $100 million.  The Company intends to use the proceeds of borrowings under the senior secured first lien term loan facility to (1) repay all indebtedness outstanding under its existing first lien term loan (approximately $444 million at June 30, 2012), (2) pay related transaction costs and expenses, and (3) for potential growth opportunities, including acquisitions, and for working capital and general corporate purposes. 

Mark J. O'Brien, Walter Investment's Chairman and Chief Executive Officer, said, "We believe the credit markets have improved and conditions are now favorable for us to pursue refinancing of our existing first lien term loan facility and revolving credit facility under improved terms. The refinancing of these facilities will provide financial flexibility to Walter Investment leaving us well positioned to capitalize on the accelerating opportunities in our $500 billion active pipeline."

Borrowings under the facilities are expected to be secured by liens on substantially all of the Company's assets.

Walter Investment's ability to refinance the existing revolving credit facility and first lien term loan facility and borrow thereunder will be subject to the receipt of commitments from lenders to provide the facility, the negotiation and execution of definitive loan documents and the satisfaction of other conditions.

About Walter Investment Management Corp.

Walter Investment Management Corp. is an asset manager, mortgage servicer and mortgage portfolio owner specializing in less-than-prime, non-conforming and other credit-challenged mortgage assets. Based in Tampa, Fla., the Company services a diverse loan portfolio.

Disclaimer and Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, such as statements relating to Walter Investment's investment strategy, financial condition, results of operations, plans, objectives, future performance or expectations and business operations. These statements relate to expectations concerning matters that are not historical facts. Accordingly, statements that are based on management's projections, estimates, assumptions and judgments constitute forward-looking statements. Words such as "believes," "anticipates," "expects," "intends," "plans," "projects," "estimates," "assumes," "may," "should," "will," or variations of these words and similar expressions are intended to identify these forward-looking statements. These forward-looking statements are based largely on information currently available to Walter Investment's management and on Walter Investment's current expectations, assumptions, plans, estimates, judgments and projections about its business and its industry. These statements are not guarantees of future performance and are subject to a number of known and unknown risks, uncertainties, contingencies and assumptions, many of which are outside Walter Investment's control, that are difficult to forecast. Actual results may differ materially from those expressed or forecast in these forward-looking statements. Accordingly, there is no assurance that Walter Investment's expectations will in fact occur or that its estimates or assumptions will be correct, and Walter Investment cautions investors and all others not to place undue reliance on such forward-looking statements. Factors that could cause the forward looking statements to be materially different include: satisfaction of the contingencies described in the press release; the availability of suitable investments for the capital Walter Investment raises and competition for such investments, at times from larger competitors; and other factors, risks and uncertainties described in exhibit 99.3 to Walter Investment's Current Report on Form 8-K filed on October 15, 2012 and other factors, risks and uncertainties described under the caption "Risk Factors" in Walter Investment's Annual Report on Form 10-K for the fiscal year ended December 31, 2011 and in Walter Investment's most recent Quarterly Report on Form 10-Q filed on August 9, 2012, and in Walter Investment's other filings with the SEC. This press release speaks only as of this date. Walter Investment disclaims any duty to update the information herein.

SOURCE Walter Investment Management Corp.

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