Financial Performance - GAAP net loss was $181.7 million, or $1.30 per share; distributable loss was $110.1 million, or $0.77 per share; distributable earnings prior to realized losses was $14.8 million, or $0.10 per share[2, 16] - Provision for CECL reserves was $189.5 million, or $1.33 per share, primarily driven by specific reserves[2] - Book value was $12.27 per share[2] Loan Portfolio and Resolutions - Loan portfolio totaled $5.0 billion, with 98% floating-rate and 98% senior loans[2, 3] - Year-to-date loan resolutions amounted to $1.9 billion of UPB, including $1.0 billion during the quarter[2] - Loans with a risk rating of 4 or 5 were 42% of the loan portfolio ($2.1 billion of UPB, 17 loans), compared to 48% as of June 30, 2025 ($2.6 billion of UPB, 20 loans)[2] - CECL reserves on loans receivable were $332.7 million, or $2.32 per share, approximating 6.4% of UPB[2] Liquidity and Capitalization - Total liquidity was $224 million, including $209 million of cash as of June 30, 2025, increasing to $323 million, including $310 million of cash by August 5, 2025[2, 9] - Unencumbered assets included $398 million of loan UPB and $115 million of REO carrying value[2] - Net unfunded loan commitments declined to $123 million[2] - Outstanding financings decreased by $652 million during the quarter, including $188 million of deleveraging payments[2] - Net debt / equity ratio declined to 2.2x, and total leverage ratio declined to 2.6x[2] Real Estate Owned (REO) - Mixed-use REO generated $29 million of gross proceeds primarily related to the sale of five floors of office space[2, 38] - Refinanced debt related to the real estate owned hotel portfolio with a $235 million non-recourse loan[2, 38]