As expected, Commercial Federal Corp. in Omaha reported a significant first-quarter loss as a result of its decisions to exit the mortgage servicing and wholesale mortgage origination businesses.
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The $10.4 billion-asset company said Tuesday that it lost $53.2 million, or $1.36 per diluted share, in the quarter. It earned $17.9 million in the same quarter last year. As part of its effort to reposition itself as a commercial bank, Commercial Federal sold the bulk of its mortgage servicing portfolio and its entire correspondent mortgage origination network to Wells Fargo & Co.
Commercial Federal reported a 24% increase in commercial and industrial loans from the first quarter of 2004.
