This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/6955449.stm

The article has changed 3 times. There is an RSS feed of changes available.

Version 0 Version 1
US mortgage lender sells assets US mortgage lender sells assets
(about 8 hours later)
US mortgage lender Thornburg has sold $20.5bn (£10.3bn) of assets and reduced its borrowings amid a tough market for home loans.US mortgage lender Thornburg has sold $20.5bn (£10.3bn) of assets and reduced its borrowings amid a tough market for home loans.
The firm said the move would enable it to meet its financing obligations and continue mortgage lending operations.The firm said the move would enable it to meet its financing obligations and continue mortgage lending operations.
Thornburg's shares fell as much as 11.9% as the firm said it had written down the value of some home loans. Thornburg's shares ended 10.2% lower after the firm said it had written down the value of some home loans.
The US mortgage sector has been hit by defaults on sub-prime loans as higher interest rates have hit consumers.The US mortgage sector has been hit by defaults on sub-prime loans as higher interest rates have hit consumers.
The problems from the US sub-prime sector have rippled through the world's stock markets in the past few weeks, leading to big share sell-offs.The problems from the US sub-prime sector have rippled through the world's stock markets in the past few weeks, leading to big share sell-offs.
"Investors' confidence in the mortgage financing space is not doing well," said Larry Goldstone, Thornburg's chief operating officer, in an interview with CNBC television."Investors' confidence in the mortgage financing space is not doing well," said Larry Goldstone, Thornburg's chief operating officer, in an interview with CNBC television.
Last week, Countrywide, the largest mortgage lender in the US, said it had borrowed $11.5bn to continue making home loans, and a report in the Wall Street Journal on Monday said the firm had begun laying off staff.Last week, Countrywide, the largest mortgage lender in the US, said it had borrowed $11.5bn to continue making home loans, and a report in the Wall Street Journal on Monday said the firm had begun laying off staff.
Other mortgage lenders in the US, especially those in the sub-prime market, have been forced to refinance their debts.Other mortgage lenders in the US, especially those in the sub-prime market, have been forced to refinance their debts.
On Monday Luminent Capital, a West Coast-based real estate investment trust, said it was facing losses of $2.3bn on defaulted mortgage obligations, and that the market in secondary mortgage debt had "seized up."On Monday Luminent Capital, a West Coast-based real estate investment trust, said it was facing losses of $2.3bn on defaulted mortgage obligations, and that the market in secondary mortgage debt had "seized up."