Two Harbors Investment Corp. Annual report pursuant to Section 13 and 15(d)

Stockholders' Equity (Tables)

12 Months Ended

Dec. 31, 2014

The following table presents a reconciliation of the common shares outstanding from December 31, 2011 through December 31, 2014:



	Number of common shares
Common shares outstanding, December 31, 2011	140,596,708
Issuance of common stock	158,184,529
Issuance of restricted stock ⁽¹⁾	32,021
Common shares outstanding, December 31, 2012	298,813,258
Issuance of common stock	67,511,609
Issuance of restricted stock ⁽¹⁾	1,061,001
Repurchase of common stock	(2,450,700	)
Common shares outstanding, December 31, 2013	364,935,168
Issuance of common stock	57,218
Issuance of restricted stock ⁽¹⁾	1,403,534
Common shares outstanding, December 31, 2014	366,395,920

____________________


(1)	Represents shares of restricted stock granted under the Restated 2009 Equity Incentive Plan, of which 2,002,406 restricted shares remained subject to vesting requirements at December 31, 2014.

The following table presents cash dividends declared by the Company on its common stock for the years ended December 31, 2014, 2013 and 2012:

Accumulated other comprehensive income at December 31, 2014 and December 31, 2013 was as follows:



(in thousands)	December 31, 2014			December 31, 2013
Available-for-sale securities, at fair value
Unrealized gains	$	891,820		$	697,779
Unrealized losses	(36,031		)	(253,044		)
Accumulated other comprehensive income	$	855,789		$	444,735

The following table summarizes reclassifications out of accumulated other comprehensive income for the years ended December 31, 2014, 2013 and 2012:



(in thousands)	Affected Line Item in the Consolidated Statements of Comprehensive Income	Amount Reclassified out of Accumulated Other Comprehensive Income
		Year Ended December 31,
		2014			2013		2012
Other-than-temporary-impairments on AFS securities	Total other-than-temporary impairment losses	$	392		$	1,662	$	10,952
Realized losses (gains) on sales of AFS securities	(Loss) gain on investment securities	(52,931		)	44,780		(123,534		)
Total		$	(52,539	)	$	46,442	$	(112,582	)