Mortgage Lender Countrywide Gets Bailout
RENEE MONTAGNE, host:
Our business news starts with another bailout for the largest U.S. home lender.
Countrywide has lined up $12 billion in extra funding from its banks. That sent its beleaguered stock up yesterday. In response to the crisis in the mortgage market, Countrywide sold a chunk of itself to the Bank of America last month. The lender is hurting from the protracted housing slump that's keeping buyers out of the market. Yesterday, Countrywide said it issued 17 percent fewer home loans from last year. And last week it said it would lay off 20 percent of its workforce.
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