The "restructuring" of Franchise Mortgage Acceptance Corp., where parent-company Bay View Capital Corp. is shutting down all origination operations and slashing approximately 140 jobs, should not have an impact on the outstanding securities in the near term, according to several industry sources.

As stated in the company's press release and a subsequent conference call, Bay View doesn't intend to cut its servicing, which, as FMAC told ASR in July, exceeds $3.4 billion, including $1 billion in balance-sheet franchise loans that FMAC hadn't been able to securitize. Bay View will keep its approximate 40-person servicing team intact, though the company indicated that it's looking to sell the servicing unit, and has already been in talks with potential buyers.

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