||the common stock, par value $0.001 per share ("common shares"), of ellington financial inc. (the "company") are held in the simon family trust (the "trust"). dr. simon is a trustee of the trust. dr. simon and his wife are the beneficiaries of the trust. dr. simon disclaims beneficial ownership of the reported securities except to the extent of his pecuniary interest therein.
||represents a separate non-voting class of limited liability company interests ("op ltip units") of ellington financial operating partnership llc (the "operating partnership"), the operating partnership subsidiary of the company.
||represents the conversion of outstanding vested op ltip units into common units and the redemption of the common units for common shares pursuant to the terms thereof. the conversion and redemption do not represent or involve a disposition for value. the 5,710 ltip units became convertible on september 9, 2021. the rights to convert ltip units into common units and redeem such common units do not have expiration dates.
||the 4,066 op ltip units remain forfeitable, subject to the reporting person's continued service as a member of the board of directors of the company, until september 13, 2022. the op ltip units may be converted, upon lapse of the vesting restrictions described above, at the election of the holder, or at any time at the election of the company, into limited liability company interests of the operating partnership designated as common units ("common units") on a one-for-one basis. subject to certain conditions, the common units are redeemable by the holder for an equivalent number of shares of common stock of the company, $0.001 par value per share (the "common shares") or for the cash value of such common shares, at the company's election. the op ltip units were issued pursuant to, and are subject to the terms and conditions of,the company's 2017 equity incentive plan (the "2017 plan").