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Non-Tech : Signature Group Holdings -- Ignore unavailable to you. Want to Upgrade?

To: Travis_Bickle who wrote (1)	3/6/2007 7:39:28 PM
From: Carey Thompson	Respond to of 78

If I remember the down cycle of 1999 - 2000 correctly, FMT will bottom during the 1st week of December. It was hammered just as bad in that down cycle as it is getting hammered now. With this stock you would be smart to concentrate on the intermediate to long term view, you cannot be too short term oriented, and look at the MACD and that stuff to make money. I believe FMT will turn around and go back up, to reflect its savings and loan business and its commercial loan business. The savings and loan business concentrates on CDs, savings accounts, and IRAs. All accounts are insured up to $100,000 by the FDIC. Believe it or not FMT savings and loans continues to have loyal customers with over $8.5 billion of deposits as of Dec 31, 2006. The commercial loans business makes construction and mezzanine loans to builders in CA, FL, IL, NY, and the rest of the country. The Commercial loans business is profitable as of Dec 31, 2006, too. The recent Cease and Desist order handed to FMT by the federal deposit insurance corporation FDIC was a disaster, on top of the Freddie Mac chairman stating sub prime lenders must change their lending practices in order for Freddie Mac and by association, Fannie Mae, to purchase sub prime loans on the secondary market. These regulatory events will have a negative impact on the FMT credit ratings. Which are bad now, and bound to get worst in time. FMT has stopped writing sub prime residential loans. The CEO, Rampino, just furloughed all the residential loan personnel Monday, Mar 5, 2005. So FMT is making progress on following the new rules and regulations. Last week FMT put its Residential Loan business up for sale. So far, no takers -- stay tuned to this development. In conclusion, currently FMT is in a reactive mode and right now profits and prospects look bleak. Next year will be different.