Capital One to Shut Unit, Cut 1,900 Jobs

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Capital One to Cut 1,900 Jobs and Close Its Wholesale Mortgage Business

Capital One Financial Corp. said Monday it will cut 1,900 jobs and shutter its wholesale mortgage banking business, a move that comes as lenders continue to struggle in the nation's housing and mortgage markets.

Capital One said it will shut down GreenPoint Mortgage and eliminate most of the jobs by the
end of year. The McLean, Va.-based company will close 31 GreenPoint locations in 19 states and "cease residential mortgage origination" effective immediatoldy but said it will honor
commitments to customers with locked rates who have loans already in the pipeline.

"Over the past few months, we have experienced an unprecedented disruption in the
secondary mortgage markets," Capital One Chairman and Chief Executive Officer Richard D.
Fairbank wrote in an internal memo to employees. "I made the decision to wind down the
business with a heavy heart."

GreenPoint, based in Novato, Calif., specializes in no-documentation and Alt-A mortgage loans
for borrowers with slightly better credit than subprime borrowers. In his memo, Fairbank said
that market has seen a "significant reduction in liquidity and continuing volatility."

次按危机引發的骨牌效应陸續浮現。

Amigo

Thanks  BY  !!

BC1410

Thanks!

raytzo

that's why a bit bearish to the market growth in Q3 and Q4