Impac Mortgage Holdings Inc. of Irvine, Calif., has conducted a reverse stock split, condensing every 10 shares into one.

The split took place Tuesday at 12:01 a.m. As of midday the stock price was down 12.5%, to 7 cents a share, according to the company's Web site.

In August 2007, when Impac stopped funding alternative-A loans, its stock was trading at $4.55 a share; by July 2008, it was down to 73 cents. At that time Impac's shareholders approved the issuance of new shares, and in October the company said the issuance could be completed by yearend.

In a September earnings release, Impac said that over the past two years it had "been seriously challenged by the unprecedented turmoil in the mortgage market, including … significant increases in delinquencies and foreclosures; significant increases in credit-related losses; decline in originations; tightening of warehouse credit and the virtual elimination of the market for loan securitizations."

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