Question-and-Answer Session
Operator
(Operator Instructions). And our first question comes from the line of Steve DeLaney with JMP Securities. Please proceed, sir.
Steve DeLaney - JMP Securities
Sure. Good morning, everyone. How are you?
Matthew Lambiase
All right, Steve.
Steve DeLaney - JMP Securities
The mark, the negative mark against the portfolio through OCI in the quarter of about 128 million, would it be reasonable that the majority of that, I would assume, is on the re-REMICS, is that correct?
Alex Denahan
All of it is on the company portfolio.
Steve DeLaney - JMP Securities
Okay thanks, Alex. So I calculate that you’ve got those marks now at about 70 versus 85 at September 30?
Alex Denahan
That’s very close.
Steve DeLaney - JMP Securities
Okay. And I guess, my question there just on that mark, I mean, should we look at that as sort of a dealer, sort of a bid side indication, a value? Or is that something you’re coming up with internally? Or is it pretty much a market bid indication?
Alex Denahan
Our policy is to mark the portfolio internally, and then to go out and get three dealer quotes and average those dealer quotes, compare that against our mark, and make sure we’re within a very low variance. And as long as we’re within that low variance, then our mark stands.
Steve DeLaney - JMP Securities
Okay.
Alex Denahan
But essentially the street is confirming the market value that we’ve placed on them.
Steve DeLaney - JMP Securities
Okay. So I mean, it looks like prime super senior AAAs were down about 20 points in the fourth quarter or so. Even though these are super duper re-REMICs, you really kind of tracked more; you didn’t seem like you’ve got a lot of credit from the street in terms of the higher credit support?
Alex Denahan
No, that’s true.
Steve DeLaney - JMP Securities
Okay then. And, if any guess, if you were to have to go out and buy those bonds today, I mean, are the sort of the difference between the bid and the offered side of the market, I mean, are we talking magnitudes of as much as say 10 points, if you were to go to replace that portfolio today?
Matthew Lambiase
Obviously, the bid offer is five points.
Steve DeLaney - JMP Securities
Five points. Okay, that’s very helpful. Okay.
Matthew Lambiase
Steve, I would just like to add that the fourth quarter was an amazingly volatile period, and it’s not just us but you can go back and you can take a look at what John Thain was saying when Merrill Lynch and Bank of America were --
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