Thursday, March 8, 2007

New Century SEC Filing

This latest filing with the SEC by New Century (NEW) isn't keeping shares from sliding deeper down into $3 territory this evening.

The gist of this 8k is that it has received $265 in lender financing and that it's holding discussions with other lenders and other parties to obtain additional liquidity. The 8K portrays a company completely up against the wall since it was also forced to secure additional funding to address $710 mln worth of mortgage loans financed through another facility.

NEW is also no longer accepting loan applications.

Gee, maybe they should call Lending Tree, or Quicken Loans?


Howard Lindzon said...

Great coverage. NEW is done. The banks will make more killing this now than trying to save it. they will raid the talent and take the assets at cents and screw everybody to try and make it back later.

More interesting now is once that is busted up, the others may actually be spared. NEW becomes the warning and the example. FMT (no position) seems most interesting because of their bank and real lending business.

Shit - i just left a blogpost in your comments :)

Revin Floyd said...

An email was sent today by a low level supervisor alarming New Century employees that there was a "minor glitch" with direct deposits for this periods pay checks, but not to worry, they're aware of the problem and working on it. Can you spell whooaaa!