Bankruptcy seems inevitable for Contifinancial Corp. as losses mount and more than $400 million of unsecured bank loans come due Friday.

The New York-based home equity lender reported on Wednesday that it lost $237.7 million, or $5.12 per share, in the quarter that ended June 30. That follows a $426 million loss for its fiscal year, which ended March 31. Conti's liabilities now exceed its assets, and several analysts said lenders have little incentive to extend the company's lifeline.

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