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Technology Stocks : E Loan Inc -EELN -- Ignore unavailable to you. Want to Upgrade?

To: stockman_scott who wrote (481)	7/29/1999 7:56:00 PM
From: Mohan Marette	Read Replies (2) \| Respond to of 817

CEO Larsen is optimistic about loan mix, global moves Larsen, in an interview with CBS MarketWatch, appeared unruffled by the revenue disappointment. Last month E-Loan saw the number of completed "purchase mortgages" grow to 29 percent of all loans vs. less than 10 percent last year. In addition the company is pursuing an overseas expansion strategy with formidable partners. In early July, Softbank, the Japanese Net incubator, and Rupert Murdoch's News Corporation (NWS: news, msgs) teamed up to form EVentures. The new venture invested $22.5 million in a separate E-Loan unit to focus on the U.K., Australia and New Zealand markets. EVentures owns 50 percent of that unit. Softbank owns 60 percent of another E-Loan unit that's positioned to move into the Japan and South Korean markets. L.V.M.H (LVMHY: news, msgs) recently invested $10.5 million for a 15 percent stake in E-Loan's European entity. While Dublin, Calif.-based E-Loan has yet to hang its virtual shingles overseas, having the first-mover advantage appears to sit well with executives. MW: Second quarter sales declined by some 4 percent. For a young company whose market cap reflects only the most optimistic projections and precision like performance, that's disappointing for investors - how do you explain that? Larsen: "Our core revenue growth actually grew by ten percent. So, we're pleased with that, particularly because the second quarter was a difficult business environment with interest rates rising 70 basis points in about two months. What we're very pleased with is we've seen a dramatic shift in refinance loans to purchase loans. Over 50 percent of our loan applications come from purchase loans. We're very gratified with that and we think it's indicative of people trusting our brand and really this is the way people will get loans in the future. cbs.marketwatch.com