Wednesday, August 15, 2007

Countrywide's Paper is in Trouble; KKR Takes Hit

From CNBC:

dealers in the commercial paper market are currently quoting Countrywide Financial's
30-day commercial paper at a yield of 12.54%--this for a company that was borrowing in that same market at 15 basis points over the London interbank rate, currently around 6%

From AP:

KKR Financial said it sold about $5.1 billion in residential mortgage loans in a move that will result in a $40 million loss for the specialty finance firm.

Kohlberg, Kravis, Roberts taking a haircut? My, my.

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