American Capital Strategies hired Douglas Cooper as managing director of the commercial mortgage asset management group, the company announced last week. In his new role, Cooper will be responsible for developing a team to manage and invest in commercial mortgage securitizations. Prior to joining ACAS, Cooper was managing director at Allied Capital Corp., where he was involved in all aspects of the company's CMBS investment program, including bond investment selection, real estate due diligence, structuring, securitization and surveillance.
Nelnet Inc. hired Rebecca Stilling and Wendie Doyle from EDFUND, a national provider of student financial aid services under the Federal Family Education Loan Program, to work in its GuaranTec guarantee services unit. Stilling joins Nelnet after serving as vice president of loan operations and then as president of EDFUND and Doyle joins after serving as vice president and general counsel of EDFUND for five years.
Ronan Fox, a director in Standard & Poor's Structured Finance Group in London, was appointed as vice chairman of the board of governors for CMSA-Europe. The CMSA-Europe officers will be elected on a rotating basis. Going forward, the group aims to maintain the educational services it has provided to the U.K. market but said the group was also looking to expand its focus to continental Europe.
According to a preliminary prospectus on the Mexican Securities Exchange, XL Capital may be tapped to insure a Ps550 million, 22-year deal backed by toll-road revenue. The originator is Desarrolladora de Concesiones Omega and the arranger is Banorte. The transaction securitizes toll receipts produced by the Matehuala bypass. Moody's Investors Service and Standard & Poor's have given the transaction a preliminary rating of triple-A on their national scales.
Cendant Corp. announced that its board of directors has approved a plan to separate Cendant into four independent, publicly traded, pure-play companies - one each for Cendant's real estate, travel distribution, hospitality and vehicle rental businesses. The transaction is expected to be effected through three 100% spin-offs scheduled for next summer.
HSBC Holdings has entered into a strategic alliance to acquire the consumer and commercial credit receivables of OfficeMax. HSBC's partnership with OfficeMax is one of the more than 60 active merchant relationships, including Best Buy, Levitz Furniture and Saks Fifth Avenue.
Ford Motor Credit Securitization Manager Shubhi Rao will be presenting to fixed income investors in Tokyo on Monday, from 4:30 p.m. to 6:00 p.m. local Tokyo time. Representatives of the investment community and news media can access the presentation on a listen-only basis. A webcast and supporting materials will be available on the Internet at http://www.shareholder.ford.com
Nelnet, Inc. completed the acquisition of the outstanding stock of secondary market and loan originator LoanSTAR Funding Group. The agreement, announced on Oct. 3, includes the acquisition of LoanSTAR's $864 million student loan portfolio, primarily originated under the Federal Family Education Loan Program. In addition, Nelnet agreed to purchase the servicing assets and assume operational expenses of LoanSTAR Systems related to the servicing of approximately $500 million of the LoanSTAR Funding Group's student loan portfolio.
Banco del Credito del Peru is readying a $280 million deal for November, according to sources. Sized at $230 million, series A notes mature in 2012 and carry a triple-A rating from Standard & Poor's, thanks to an Ambac policy. Rated BBB' by S&P, B notes amount to $50 million and are due 2009. Standard Chartered is the lead. Proceeds are going to pay down roughly $73 million of outstanding paper off the same program, which is backed by diversified payment rights.
Thomson TradeWeb announced that TradeWeb CDS, its Credit Default Swap Indices multi-dealer-to-customer online marketplace for DJ CDX and iTraxx trading, was successfully launched, enabling users to execute and track trades in real-time without paperwork. TradeWeb's CDS is the only electronic trading platform that provides functionality that enables dealers and customers to adhere to the International Swaps & Derivatives Association 2005 Novation Protocol.
Origen Financial announced that its provisions for loan losses resulting from Hurricanes Katrina and Rita are expected to be in a range of $5 million to $7 million. The anticipated losses represent less than 1% of Origen's total loan portfolio. Origen calculates loan losses as resulting from increased defaults from the loss of employment by many of our borrowers, as well as losses due to shortfalls in insurance coverage primarily relating to flood damage in homes that were not in flood zones and had no flood insurance.
Thornburg Mortgage launched a new investor Web site utilizing the ABS discloser infrastructure for in-depth collateral analysis. The Web site incorporates static pool tracking capabilities and the ability to drill down into the stratifications of each transaction. The Web site was developed in conjunction with Lewtan Technologies.
Centex Corp. reported that its total mortgage originations increased 16% in 3Q05, driven by a 20% increase in originations from home building operations. Centex's loan servicing portfolio totaled $8.54 billion as of quarter end, growing 19% from last year. The return earned on the servicing portfolio fell 16 basis points to 1.63% due to an increase in borrowing costs and competitive industry pricing, the company added.
Silicon Graphics announced completion of a new two-year asset-backed credit facility with Ableco Finance and Wells Fargo. The new facility provides for increased credit of up to $100 million, consisting of a $50 million revolving line of credit and a $50 million term loan. The borrowing base under the new credit facility will be determined weekly based on the value of working capital items, real estate and intellectual property.
GE Commercial Finance Corp. appointed Todd Spener as senior vice president of origination, responsible for originating lending opportunities among corporate customers throughout Missouri and Kansas. He will report to Senior Vice President Douglas Vitek. Spener most recently served as Managing Director of Carreden Group, a New York City-based specialty investment banking firm.
XL Capital warned that its third quarter net catastrophe losses will be about $1.5 billion, XL Capital now expects pretax losses of $1.2 billion attributable to Katrina, $264 million for Rita, and $90 million for other natural catastrophes.
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