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The Latest SERVICING Or ig i nat ion Xerox Mortgage Services Releases New Technology Company introduces service that will provide a single point of reference for the lifespan of a loan. X O cwen Financial Corporation experienced a first-quarter surge in net income— jumping more than twofold over a year— and reported record revenue. In Q1 2013, Ocwen's net income jumped to $45.1 million, or $0.31 per share, up from $19.3 million, or $0.14 per share, a year ago. Revenue for the Atlantabased company also swelled 147 percent year-over-year to $406.7 million in Q1 2013, while income from operations increased 108 percent to $163.1 million during the same time period. "The company's string of record quarterly revenues will continue into the second quarter as we benefit from a full quarter of ResCap revenue and our recent acquisition of Ally Bank's mortgage servicing rights," said Bill Erbey, Ocwen's chairman. "Ocwen's core earnings and cash-flow were strong in the first quarter, and we should see these trend higher as a percentage of revenue as we drive down costs and delinquencies on newly acquired business. Ocwen's lower funding costs and improving pre-pay speeds on non-prime loans should also support better performance versus our original expectations," he added. This year, Ocwen has seen several of its acquisitions come to completion. In February, the Residential Capital, LLC, acquisition added $269 billion of unpaid principal balance to the company's servicing portfolio. In April, Ocwen closed deals with Ally Bank for $63.4 billion of Fannie Mae mortgage servicing rights (MSRs) and another $21.2 billion of Freddie Mac MSRs. The M Report se c on da r y m a r k e t Company saw profits more than double from the same period last year. In the same month, Ocwen completed the purchase of Genworth Financial Home Equity Access, which was the No. 1 reverse mortgage originator based on January 2013 industry data. The reverse mortgage business will be renamed Liberty Home Equity Solutions. In late 2012, Ocwen also purchased Homeward Residential, a Dallas-based servicer and originator. Ocwen reported Homeward's lending operation originated about $2.4 billion of fundings with another $0.4 billion originated through partnerships, while total Home Affordable Refinance Program (HARP) volume reached $415 million. In the first quarter, the company completed 24,184 loan modifications, of which 34 percent were through the Home Affordable Modification Program (HAMP). a na ly t ic s Ocwen Breaks Record for Revenue in Q1 by agencies such as the Consumer Financial Protection Bureau (CFPB), according to a company release. "By helping servicers go paperless, Xerox is simplifying the servicing process and removing costs associated with manually sending documents, improving customer service by ensuring 24/7 access to all loan documents, and supporting compliance by providing an audit trail of all actions taken on a loan," said Nancy Alley, VP and general manager of Xerox Mortgage Services. Through BlitzDocs, documents can be sent and received from trading partners including originators, borrowers, investors, subservicers, business process outsourcing providers, and mortgage insurance companies. s e r v ic i ng erox Mortgage Services announced the release of BlitzDocs Servicing to simplify the paperless mortgage process for lenders and servicers. BlitzDocs provides an electronic loan folder that imitates traditional paper loan folders. Through the expanded offering, the solution is able to provide a single point of reference for all documentation related to a borrower for the lifespan of a loan, which results in better customer service for the borrower. BlitzDocs has been used by lenders and servicers for its document management capabilities to support customer service and default loan servicing. The expanded solution helps lenders and servicers meet new regulations introduced | 49