Question-and-Answer Session
Operator
(Operator Instructions). Your first question is from the line of Bose George with KBW.
Bose George
Hey good afternoon. Had a couple of questions. One, your quarter-end spread was up by 33 basis points over Q4 and does that primarily reflect the fact that assets are marked down further?
Debra Hess
It's actually two pieces. We actually sold 1.3 billion of assets in the first quarter over 700 of which were agency RMBS, which just happens to have a lower net spread to it, that’s the largest contributor.
Bose George
Okay. And second just switching to the – I just wanted to try and figure out the capital that you had invested in your sub prime securities and just in terms of the total exposure that you guys have?
Debra Hess
Well the assets that most of assets – most of the assets-backeds aren't sitting in our CBO's. We have them marked on the basis of say the overall '06 of vintage for instance with that $0.14 at the end of year and currently it is at $0.06.
Bose George
So when in term - when I think of our total exposure its really its what that is marked on to plus - is the calculation of your exposure in your residuals separate?
Debra Hess
It is. When you go to the table in the press release we actually break out the third party sub prime securities separately from the sub prime retained interest and the retained bonds. And you?
Bose George
Yes so it’s the – and then I just take the $0.06 of this and then add there on the residuals as well.
Debra Hess
You can add it all up.
Analyst
Okay great thanks.
Operator
(Operator Instructions). The next question comes from the line of Edmond Safra with M. Safra & Co.
Edmond Safra
Hi. Can you just give us a little bit of an idea of how the B notes portfolio is doing and are there non-marked-to-market assets. So you had a couple charges related to that you know, the bulk of our portfolio is performing very well, we have very low leverage on our mezzanine loans and B notes, and the underlying assets are performing inline with expectations. So, no real issues there. The charges we took were on a bank loan that we had and also a residential loan which was a loan lands in Arizona. So those are the two charges we took in the quarter. So it was isolated the bulk of portfolio is performing very well or better than expected.
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