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To: Cube who wrote (3590)	10/6/1998 12:51:00 PM
From: Kip518	Respond to of 18998

Mortgage cos off following CRIIMI MAE bankruptcy Reuters Story - October 06, 1998 12:29 By Holly Rosenkrantz NEW YORK, Oct 6 (Reuters) - Shares of several mortgage companies fell Tuesday to new lows for the year, reflecting what analysts said were jitters about the sector following news Monday that CRIIMI MAE Inc. had filed for bankruptcy. Clarion Commercial Holdings Inc. lost 53.85 percent of its value, or 2-5/8 points, and was trading at 2-1/4. Earlier in the session, it hit a new low of the year of 1-7/8. Also, Indymac Mortgage Holdings Inc. was off 6-1/8 at 9-7/8, Laser Mortgage Management Inc. was off 103/8 at 4-5/8, Thornburg Mortgage Asset Corp. was off 3/4 at 6-3/4 and Capstead Mortgage was off 5/16 at 2-151/6. Except for Capstead, shares each of these companies hit new yearly lows early in the New York Stock Exchange's session. "Investors are spending very little time understanding the differences between these companies, they just are exiting the sector altogether," said Jim Fowler, an analyst with NationsBanc Montgomery Securities. Overall, shares in the mortgage sector of the real estate investment trust (REIT) industry have been off about 34 percent for the year. Fowler said many of these mortgage REITs generally attract retail investors, who like the shares because they pay a high-yield dividend. On Monday, CRIIMI MAE announced that it filed for Chapter 11 bankruptcy protection, blaming turmoil in the financial markets for its troubles. Its stock Monday reached a year low of 6-1/16. Analysts said CRIIMI MAE was considered one of the more stable businesses in the industry, and the surprising bankruptcy was viewed as a sign that other mortgage companies could soon stumble. "You typically see news releases about exploring strategic options or hiring investment bankers when a company is in trouble, you don't go straight to bankruptcy," Fowler said. Amid what analysts said were fears about the outlook of mortgage companies, Indymac on Tuesday morning said its third quarter has been within its range of expectations, and it is on track to meet its 1998 objectives despite falling interest rates.

To: Cube who wrote (3590)	10/6/1998 12:53:00 PM
From: Kip518	Respond to of 18998

IndyMac Mortgage Holdings (NYSE: NDE) tumbled $5 3/4 to $10 1/4 as Fitch IBCA placed the mortgage real estate investment trust's credit ratings on RatingAlert negative, indicating that they could be lowered. Fitch IBCA voiced concerns about the current funding environment for IndyMac due to its reliance on short-term collateralized funding, and said that IndyMac recently has received margin calls against its secured lines, which have weakened its available financial resources. From: MF Market Movers Down