"It has been very successful — very strong," John Lawrence, the company's head of loan servicing, told Mr. Kurland one recent morning in a glass-walled boardroom here at PennyMac's spacious headquarters, opened last year in the same Los Angeles suburb where Countrywide once flourished.
Jonathan Goodman, then head of loan purchases, recalls salesmen from Countrywide laughing at him on the phone when he refused to buy iffy condo paper backed by the two agencies.
Tim Moss, head of loans and debt at Moneysupermarket, says banks would rather give 10 loans to their own customers than one to someone they don't know.
The securitization system "didn't contemplate that there would be such a rapid change in valuation, and that this would happen during a time when there wouldn't be a functioning financial market," said D. Michael Van Konynenburg, the president of Eastdil Secured, a national brokerage firm, and the head of its loan sale team.
Two dropouts were Toichi Takenaka, whose Takenaka construction company's consolidated profits fell by two-thirds for fiscal 2007 because of fewer orders and higher costs, and Kenshin Oshima, head of consumer loan outfit SFCG, whose market value was halved.
Fuat Erbil, head of consumer loans at Garanti Bank, Turkey's largest bank, says that the success of the instant loans reflects the emerging buying power of a younger, more dynamic Turkey.
"TWO months ago, I would have said the chances of a credit crunch were too small to measure," says the head of syndicated loans at a big American bank.
Doolan was left in yards of space as the ball spun over the head of on-loan Manchester City defender Ellis Plummer and the striker steered his header just inside the far post.
Jonathan Silver, the head of the Energy Department loan office, said the value would be double to quadruple as much if the factory could begin operations.
"Banks just have to get smaller, so they're lending less and getting out of certain asset classes," said David Abrams, head of European nonperforming loan investments at Apollo Global Management in London.
But Representative Cliff Stearns, Republican of Florida and chairman of the Subcommittee on Oversight and Investigations, replied that when the head of the Energy Department loan guarantee office, Jonathan Silver, testified a month ago, the Democratic lawmakers had been "conspicuously mum" on the question of whether the restructuring of the loan violated the law.
