Impac Stops Atl-A Mortgages

[Lisa Lisa]

Associated Press
Impac Mortgage Stops Alt-A Lending

IRVINE, Calif. - Impac Mortgage Holdings Inc. said Tuesday it will
stop originating alt-A mortgages and is cutting staff in the wake of
the deteriorating mortgage market, but added it has been able to meet
all margin calls to date.

Impac, which was almost wholly an alt-A lender, will continue to
originate prime mortgages through wholesale and retail channels. Alt-A
loans are given to customers with minor credit problems or who cannot
fully document income like traditional, prime borrowers.

The shut down of its alt-A business comes amid growing concern about
rising mortgage delinquencies and defaults. The problem began with
subprime mortgages - loans given to customers with poor credit - but
is starting to creep into the wider mortgage market.

On Monday, American Home Mortgage Investment (nyse: AHM - news -
people ) Corp., another alt-A lender, filed for bankruptcy protection
as it could not meet growing margin calls.

Impac said it has met all margin calls made to date, and that it has
negotiated the sale of $1 billion of the $1.6 billion of loans held
for sale on its lines of credit. Those sales should be completed in
the next 30 days.

Shares of Impac fell 35 cents, or 20.6 percent, to $1.35 in premarket
trading.

Copyright 2007 Associated Press. All rights reserved. This material
may not be published broadcast, rewritten, or redistributed

[Vid...@tcq.net]

sorry lisa lisa, we do not understand the financial world, and we
must simply stop posting the truth.
what that really means is, that the new crop of deluded does not like
reality, nor understands history.