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Incredible, we fcked up, we're bailed out and now were back at the game.
Maybe the bright side is that GM can turn a profit be offsetting its losses on cars with "free" profits derived from the money they received when the pallet truck showed up from the U.S. treasury. :rolleyes:
http://www.bloomberg.com/apps/news?p...yNo&refer=home
April 16 (Bloomberg) -- GMAC LLC, the auto and home lender that was bailed out to save General Motors Corp., said its mortgage unit is benefiting from an increase in refinancing and jumbo loans and is hiring 1,000 people to handle the workload.
As recently as November, GMAC said its Residential Capital LLC unit may fail amid foreclosures and eight straight quarterly losses. Since the government allowed GMAC to convert to a bank the following month and tap $6 billion in rescue funds, the company has used a surge in deposits and record low interest rates to bolster mortgage lending, said ResCap Chief Executive Officer Thomas Marano.
....
“I don’t want to say that everything is fixed and right with the world but what you’re starting to see is the fruits of an organized effort,” said Marano, 47, in a telephone interview today from New York. “The mortgage market is very healthy right now. It’s the healthiest it’s been on the origination side in some years.”
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Marano, who spent 25 years at Bear Stearns Cos. where he led mortgage trading and originations, was hired a year ago as a managing director at Cerberus Capital Management LP, the majority owner of GMAC before the bailout. He was appointed non- executive chairman at ResCap at the same time.
Maybe the bright side is that GM can turn a profit be offsetting its losses on cars with "free" profits derived from the money they received when the pallet truck showed up from the U.S. treasury. :rolleyes:
http://www.bloomberg.com/apps/news?p...yNo&refer=home
April 16 (Bloomberg) -- GMAC LLC, the auto and home lender that was bailed out to save General Motors Corp., said its mortgage unit is benefiting from an increase in refinancing and jumbo loans and is hiring 1,000 people to handle the workload.
As recently as November, GMAC said its Residential Capital LLC unit may fail amid foreclosures and eight straight quarterly losses. Since the government allowed GMAC to convert to a bank the following month and tap $6 billion in rescue funds, the company has used a surge in deposits and record low interest rates to bolster mortgage lending, said ResCap Chief Executive Officer Thomas Marano.
....
“I don’t want to say that everything is fixed and right with the world but what you’re starting to see is the fruits of an organized effort,” said Marano, 47, in a telephone interview today from New York. “The mortgage market is very healthy right now. It’s the healthiest it’s been on the origination side in some years.”
...
Marano, who spent 25 years at Bear Stearns Cos. where he led mortgage trading and originations, was hired a year ago as a managing director at Cerberus Capital Management LP, the majority owner of GMAC before the bailout. He was appointed non- executive chairman at ResCap at the same time.
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