How much lower does IndyMac’s stock price need to go before they sell Financial Freedom? This morning the stock price opened at $1.15 and while I’m writing this it’s hovering around $0.77.
- Brower Piven Encourages Investors Who Have Losses in Excess of $100,000 From Investment…
- Stull, Stull & Brody Announces Class Action on Behalf of Shareholders of IndyMac Bancorp, Inc.
- Federman & Sherwood Announces That a Securities Class Action Lawsuit Has Been Filed Against IndyMac Bancorp, Inc.
- Schatz Nobel Izard P.C. Announces Class Action Lawsuit Against IndyMac Bancorp, Inc.
No big deal right? Every lender is being sued right now… the IL States Attorney is even suing Countrywide. But then on Tuesday the Wall Street Journal reported that Moody’s Investors Service cut their servicer-quality ratings of IndyMac Bancorp Inc. on concerns about the mortgage lender’s lack of capital amid the housing downturn.
The rating agency also warned that the ratings may face further downgrades and noted that IndyMac’s servicer stability assessment fell to below average from average. Moody’s said the lower assessment “creates uncertainty in the company’s ability to maintain its servicing performance and whether the historical level of investment in the servicing platform, staffing levels and turnover rates can or will be maintained,” Moody’s said.
Today the guys from ML-Implode are telling us one of their sources states, “Pretty much we were told informally that if we did not get a capital infusion we would not make it and that we had a 50/50 chance of obtaining said infusion.”
Late Thursday afternoon the WSJ also reported that Sen. Charles Schumer sent letters to federal regulators asking them to monitor more closely the financial health of IndyMac becasuse of the $10.4 billion of loans the company has from the Federal Home Loan Bank of San Francisco. Sen. Schumer also said it is “troubling” that deposits placed by brokers account for about 37% of IndyMac’s total deposits and are considered more susceptible to sudden withdrawals.
IndyMac’s risk-based capital just above the 10% minimum needed to be classified as “well capitalized” at the end of the first quarter but the company said it aimed to raise that to 11% as soon as possible.
Any predictions on who is going to get a deal on the fire sale of Financial Freedom? Lets hope it’s someone who can fit a few more Cash Accounts on their balance sheet.