Cityscape Financial Corp. was to report earnings this morning, analysts said.
The subprime mortgage company was given until Nov. 14 to report earnings after it announced Oct. 21 that third-quarter results would be significantly below expectations. It would have to ask the Securities and Exchange Commission for more time if it failed to issue the report today, sources said.
This month the company announced that it was on the block after regulatory problems overseas and difficulties raising cash in the United States. Cityscape had been expected to release its earnings last Friday.
Cityscape's bonds were pricing at 64 cents on the dollar late Thursday, according to one trader. He added, however, that there was little activity because investors have "no idea" what is going to happen with the company. "Everyone has heard different rumors," he said.
Representatives from Ocwen Financial Corp., a West Palm Beach, Fla., company that specializes in distressed assets, have been in the United Kingdom this week to evaluate Cityscape's operations there, industry executives said.
In a brief telephone interview Thursday, Cityscape chief executive officer Robert Grosser swatted down rumors that the company is preparing for bankruptcy. "We ain't filing," he said.
- Heather Timmons