Altisource Residential Corporation Reports Fourth Quarter and Period End Results

Altisource Residential Corporation Reports Fourth Quarter and Period End
Results

FREDERIKSTED, United States Virgin Islands, Feb. 7, 2013 (GLOBE NEWSWIRE) --
Altisource Residential Corporation (Residential or the Company) (NYSE:RESI)
announced today financial and operating results for the fourth quarter and
period from inception (June 7, 2012) to December 31, 2012. Net loss
attributable to common stockholders for the fourth quarter and for the period
from inception to December 31, 2012 totaled $89,000, or $(0.01) per share
based on 7.8 million shares outstanding. The results of the fourth quarter and
period ended December 31, 2012 include 10 days of operations commencing on the
close of business on December 21, 2012.

Fourth quarter and period ending December 31, 2012 highlights:

  *As of the close of business on December 21, 2012, we became a stand-alone
    public company through the separation of our business from Altisource
    Portfolio Solutions S.A. (Altisource) and the distribution of our shares
    to the shareholders of Altisource.
  *In connection with the separation, we were capitalized with $100 million
    of cash and entered into an asset management agreement with Altisource
    Asset Management Corporation (AAMC), a mortgage servicing agreement with
    Ocwen Mortgage Servicing Inc. (Ocwen) and a master services agreement with
    a subsidiary of Altisource as well as other support services and trademark
    licensing agreements.
  *We incurred $89,000 of net loss attributable to common stockholders
    consisting of general and administrative expenses incurred directly by
    Residential or incurred by AAMC and attributable and reimbursable by
    Residential.
  *In December 2012, we committed to invest $18 million for 100% of the
    preferred stock of NewSource, a title insurance and reinsurance company.

Chairman William Erbey stated, "As expected, we successfully completed our
separation from Altisource in December 2012. We were capitalized with cash
available for investment and are actively performing due diligence on select
non-performing loan portfolios. I am pleased with the progress Residential has
made in its brief history and believe we have a solid foundation to deliver
long-term value to our shareholders."

"Results for Residential for the quarter and period ending December 31, 2012
predictably reflect costs to operate as a new public company," said Chief
Executive Officer Ashish Pandey. "Residential, supported by AAMC, Ocwen and
Altisource has a highly differentiated business model and is positioned to
create value from a proven platform in the coming year."

Webcast

Residential will not hold an earnings call concerning 2012 fourth quarter
results because the results only include 10 days of operations in 2012 after
the separation from Altisource was completed. Residential expects that it
regularly will hold earnings calls in future periods.

About Residential

Residential is engaged in the acquisition and ownership of single-family
rental assets. Its primary sourcing strategy is to acquire these assets by
purchasing sub-performing and non-performing mortgages as well as
single-family homes at or following the foreclosure sale. Additional
information is available at www.altisourceresi.com

Forward-Looking Statements

This press release contains forward-looking statements that involve a number
of risks and uncertainties. Those forward-looking statements include all
statements that are not historical fact, including statements about
management's beliefs and expectations. Forward-looking statements are based on
management's beliefs as well as assumptions made by and information currently
available to management. Because such statements are based on expectations as
to future economic performance and are not statements of historical fact,
actual results may differ materially from those projected. Residential
undertakes no obligation to update any forward-looking statements whether as a
result of new information, future events or otherwise. The risks and
uncertainties to which forward-looking statements are subject include, but are
not limited to: Residential's ability to achieve its business and strategy and
implement its business plan; Residential's ability to leverage strategic
relationships on an efficient and cost-effective basis, its ability to
compete; general economic and market conditions; governmental regulations,
taxes and policies; availability of adequate and timely sources of liquidity
and financing; and other risks and uncertainties detailed in the
"Forward-Looking Statements," "Risk Factors" and other sections of
Residential's Registration Statement on Form 10, its Annual Report on Form
10-K and other filings with the Securities and Exchange Commission.

Altisource Residential Corporation
Consolidated Balance Sheet
(In Thousands, Except Share and Per Share Amounts)
                                                            
                                                            
                                                            December 31, 2012
Assets:                                                      
Cash and Cash Equivalents                                    $100,005
Prepaid and Other Assets                                     6
Total Assets:                                                100,011
Liabilities:                                                 
Accounts Payable and Accrued Expenses                        46
Related Party Payables                                       54
Total Liabilities:                                           100
Commitments and Contingencies                                
Equity:                                                      
Class B Common Stock, $.01 Par Value,100,000,0000 Authorized 78
Shares; and 7,810,708 Shares Issued and Outstanding
Additional Paid-in Capital                                   99,922
Accumulated Net Loss Attributable to Class B Common Stock    (89)
Total Equity:                                                99,911
Total Liabilities and Equity:                                $100,011


Altisource Residential Corporation
Consolidated Statement of Operations
(In Thousands, Except Share and Per Share Amounts)
                                                     
                                                     
                                                     June 7, 2012 (Inception)
                                                     to December 31, 2012
Expenses:                                             
General and Administrative                            $ 47
Expense Reimbursement                                 42
Total Expenses                                        89
Net (Loss)                                            (89)
(Loss) Attributable to Common Stockholders            $ (89)
(Loss) Per Share of Class B Common Stock – Basic:     
(Loss) Per Basic Share                                $ (0.01)
Weighted Average Class B Common Stock Outstanding –   7,810,708
Basic
(Loss) Per Share of Class B Common Stock – Diluted:   
(Loss) Per Diluted Share                              $ (0.01)
Weighted Average Class B Common Stock Outstanding –   7,810,708
Diluted

CONTACT: Rachel Ridley
         Chief Financial Officer
         T: (770) 818-4027
         E: Rachel.Ridley@altisourceresi.com
 
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