Friday, March 7, 2008

Thornburg to slash millions from stated earnings - Mar. 7, 2008

SANTA FE, N.M. (AP) -- Thornburg Mortgage says it will restate its 2006 and 2007 earnings as it takes additional write-downs on the value of certain mortgage holdings.

Thornburg says it will reduce the value of certain portfolios by $427.8 million.

Weakening credit markets have led to the value of mortgage-backed securities plummeting. Because of the declining prices, Thornburg must restate the value of its mortgage-backed securities to comply with accounting standards.

Thornburg (TMA) has faced $1.78 billion in margin calls since the beginning of the year. It has yet to meet $610 million in calls and says it is unlikely to be able to pay them all off. See Also

Source: Home Mortgage Rates and Real Estate News

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