Here's the latest on New Century shares. They've been suspended. Here's why (at least in part): "On Monday, investors were concerned that the company did not have enough cash to honour repayments after it was told by creditors that it was in default of debt agreements.
Creditors include Morgan Stanley, Barclays, Bank of America and Citigroup, and they want New Century to buy back the mortgage loans they financed. Should New Century have to buy back all of its bad loans, then it would have to pay many billions of dollars. It currently has about $60m in cash." That's from http://news.bbc.co.uk/2/hi/business/6442063.stm.
I can only imagine what employees and sales representatives of New Century must be going through. The bad news about New Century is only part of the wave of bad news to sweep through the real estate finance industry, which will make obtaining similar employment for former New Century employees much more difficult.
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