More Subprime Fallout: Greenpoint Mortgage Gone

Posted By Tate Dwinnell |  Subscribe in a reader | Comment 1

Another mortgage company casualty after the bell today announced by Capital One (COF) during their earnings report.  In addition to cutting its earnings forecast from $7.15 to $5/share, COF announced that they would eliminate their Greenpoint mortgage unit (the 7th largest Alt A lender) and eliminate 1900 jobs.   According to the WSJ,   Capital One bought Greenpoint, which specialized in jumbo and Alt A loans less than a year ago in a 13.2 billion dollar deal.  With other large layoff announcements from Countrywide (CFC) and SunTrust  (STI) today alone and thousands more to come as other mortgage companies fold, you have to wonder just how much impact this will have on the economy from an employment perspective which has been largely ignored up to this point.  The housing boom was able to cushion the blow of many jobs being shipped overseas so the impact could be great.

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Comments on More Subprime Fallout: Greenpoint Mortgage Gone »

November 19, 2007

Tai @ 3:55 am

If you’ve been following this story, you may enjoy this clip about a certain famous chimp from those Super Bowl commercials getting fired and hitting the streets: http://youtube.com/watch?v=6uSL1rilsWg

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